As expected by many Canadians, today's federal budget contained spending cuts as the Conservative government attempts to reign in the deficit. Finance Minister Jim Flaherty says the cuts will be worth $5.2 billion by 2015.

Highlights from today's budget include:

- The age of eligibility for Old Age Security will be increasing from 65 to 67, but the change will not be effective until April 2023 with full implementation slated for 2029, and will not affect anyone who is 54 years of age or older as of March 31st, 2012.

- 19,200 federal positions will be eliminated over three years, or 4.8 per cent of the federal workforce.

- Production of the penny will cease, saving the government 11 million dollars per year.

- Providing up to $99.2 million over three years to assist the provinces and territories with the cost of permanent flood mitigation measures undertaken for the 2011 floods.

- $150 million over two years for a new Community Infrastructure Improvement Fund to support repairs and improvements to existing community facilities.

- First Nations reserves will receive $275 million over three years for schools and education and $330.8 million over two years to improve water systems and water quality.

- The duty free allowance for Canadians coming back from the U.S. is increasing from $50 after 24 hours to $200, and from $400 after 48 hours to $800.

- Providing $6 million over three years to extend and expand the ThirdQuarter project to key centres across the country.

- The extension of the Hiring Credit for Small Business for one year to help small businesses to defray the costs of hiring new workers.

- Support for small and medium-sized businesses by making EI premiums more stable and predictable, with annual increases limited to five cents.

- Support further improvements to foreign credential recognition and to work with provinces and territories to identify the next set of target occupations for inclusion, beyond 2012, under the Pan-Canadian Framework for the Assessment and Recognition of Foreign Qualifications.

- Announcing the Government’s intention to better align the Temporary Foreign Worker Program with labour market demands and to ensure that businesses look to the domestic labour force before accessing the Temporary Foreign Worker Program.