2026 budget

On this page:

1. Average residential impact
2. Take the survey
3. Key dates
4. Budget overview
5. Read the budget
6. Learn about municipal budgets

Average residential impact

For the average home in Kitchener, the proposed rate increases for the 2026 budget are:

• Property Tax Increase: 2.20 per cent, or approximately $29 annually.
• Water Utility Rate Increase: 4.90 per cent, or $24 annually.
• Sanitary Sewer Utility Rate Increase: 7.00 per cent, or $45 annually.
• Stormwater Utility Rate Increase: 7.40 per cent, or $19 annually.

Our 2026 budget represents a combined annual increase of $117 for the average household, based on the average assessed value of $326,000 and annual water consumption of 170m3.

Take the survey

We want to know what you think about the proposed budget and its investments. Visit the Budget 2026 Engage Kitchener page to provide your feedback.

Key dates

This year’s budget process involves the following key dates:

• Final budget approval: Thursday, Dec. 11

Budget overview

The 2026 budget includes three key priority areas: 

• affordable city services
• smart infrastructure investments
• focusing on the future

Affordable city services

The City of Kitchener has a long history of prioritizing affordable property tax rate increases for residents. For many years the City has used a two-year inflation average as a benchmark to assess whether the proposed property tax increase is reasonable. The 2026 budget contemplates an increase of 2.2%, matching the two-year inflation average (2.2%) for Ontario. This proposed increase not only supports the operating needs for the continued delivery of programs and services, but also addresses operating budget growth-related pressures, including incorporating the full operating costs for the new Cowan Recreation Centre which represented a 0.9% tax related impact on its own.

Smart infrastructure investments

The City owns and is responsible for maintaining approximately $15B worth of assets. These include transportation-focused infrastructure such as roads and bridges; underground infrastructure related to water, wastewater, and stormwater; and community-based infrastructure such as facilities, parks & open spaces, and forestry.

Addressing all of the City’s new and existing infrastructure needs is not without its challenges, but Kitchener has always found a way to balance taking care of what we have and are responsible for, while still moving ahead with exciting infrastructure projects like the Cowan Recreation Centre, that will not only support residents today but also future residents that will call Kitchener home.

Focusing on the Future

The City’s 2023-2026 Strategic Plan looks at what the City can do today to create the community we want to have not just today, but decades from now. This forward look included a new 20-year vision for Kitchener: Building a city for everyone where, together, we take care of the world around us – and each other.

The 2026 budget includes $1.7 million for community trails to help build a connected city where people can move without the need of a car. It also includes $1.5 million for new neighbourhood parks that will provide much needed green spaces for the local community today and for years to come. There are investments of $5 million for local arts & culture facilities to help foster a diverse economy that is resilient to a constantly changing trade environment. The budget includes an additional $150,000 in RISE grant funding to provide additional opportunities racialized communities as the City fosters a caring environment for all its citizens.

Finally, the 2026 budget includes $2.6 million to modernize core business and technology systems that will keep the City agile in keeping up with modern trends like AI and ensure good stewardship of citizen’s tax dollars.

In addition to funding already included in the 2026 budget, there is $1 million of onetime funding available and unallocated in the budget. Council can provide input as part of the budget process and allocate it to strategic priorities they wish to advance in the next year.

Read the budget

Read our budget summary document to learn learn more.

Related documents:

• 2026 Budget Summary
• Appendix A - Glossary of Terms
• Appendix B - Operating Budget
• Appendix C - Capital Budget
• Get more details on capital projects - Kitchener's OpenBook 
• Appendix D - Reserves
• Appendix E - User Fees
• Appendix G - Issue Papers

Learn about municipal budgets

Check out these videos to learn more about our municipal budget:

• How your city budget works
• Master plans, strategic plans and long-term financial plans
• Region vs. city
• Reserves and debt
• Tax supported budgets vs. rate budgets