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Over the past few decades, the cost of living has skyrocketed throughout the country while wages have stagnated. More Canadians are finding it harder to make ends meet at the end of every month and struggle to pay for necessities such as rent, childcare, and healthy food for their families. To combat this, the government has implemented the Canada Workers Benefit (CWB), a tax benefit designed to put more money in the pockets of low-income workers.
What is the Canada Workers Benefit (CWB)?
Formerly known as the Working Income Tax Benefit, the Canada Workers Benefit is a refundable tax credit that provides financial support for low-income workers and their families. The CWB also includes a disability supplement for eligible Canadians.
How Much Can I Receive From the CWB and CWB Disability Supplement?
| Maximum Amount Basic(Excludes Alberta, Nunavut, and Quebec) | Amount Gradually is Reduced if Your Adjusted Net Income Is Over | No Payment When Adjusted Net Income Exceeds | |
| CWB | $1,590(Single Individuals)$2,739 (Families) | $26,149 (Single Individuals)$29,833(Families) | $36,749 (Single Individuals) $48,093 (Families) |
| CWB Disability Supplement | $821 (Single Individuals & Families) | $36,748(Single Individuals)$48,091(Families) | $42,222 (Single Individuals)$50, 038 (Families) |
The amount of your CWB payments depends on your province of residence, marital status, working income, net income, eligible dependents, and eligibility for the disability supplement.
Please note that maximum amounts and net income levels are different if you live in Alberta, Nunavut, and Quebec. Check out the government’s calculation sheets and the child and family benefits calculator to find out exactly how much you’re eligible for. For some, it could just be the basic amount, while others could qualify for both the basic amount and disability.
Canada Workers Benefit Eligibility
To meet the eligibility criteria for the CWB, you must be:
- a Canadian resident
- 19 years of age or older on December 31 – If you’re under the age of 19, you can still qualify if you have a spouse/common-law partner, or an eligible dependant.
You are not considered to be an eligible individual if you’re:
- A full-time student who’s enrolled in a designated educational institution for more than 13 weeks in the year
- In prison for 90 days or more during the year
- Not required to pay tax in Canada
To be considered eligible recipients for the CWD Disability Supplement, you must:
- have an approved Disability Tax Credit Certificate (Form T2201) on file with the Canada Revenue Agency
- earn a working income
- be eligible for the Canada Workers Benefit
Not only must you meet the adjusted family net income requirements, since this is considered financial assistance, but you must also have your medical practitioner complete the correct forms with the correct information. On top of all of this, you must file your income tax return to claim the disability supplement. You can do this with a paper return, or you can use Netfile to provide your tax information.
Who’s Considered to be an Eligible Dependent
When you’re claiming the basic CWB benefit or the disability benefit, your dependents are only covered if they’re considered to be eligible dependents. As well as meet the income thresholds that include dependents, your dependents in order to claim the CWB must be:
- Not eligible for the CWB
- Be under 19 years old and live with you as of December 31
- Be you, your spouse, or your common law partner's child
An eligible spouse is someone who lives with you as of December 31. However, they also need to be a Canadian resident throughout the year. The circumstances in which a spouse isn’t eligible are:
- Being enrolled for more than 13 weeks of the year at a designated educational institution
- Being confined to a prison or institution for more than 90 days in a year
- No paying tax in Canada because they’re an officer or servant of another country, such as a diplomat, or a family member of such a person
How do I Apply for the Canada Workers Benefit?
You can apply for the CWB in three easy steps:
- When it’s time to file your taxes, fill out Schedule 6 (Canada Workers Benefit) – this can be done using free certified tax software. Complete step 3 in Schedule 6 if you want to apply for the disability supplement.
- Take the amount from line 42 of Schedule 6 and enter it on line 45300 of your income tax and benefit return.
- File your return to the CRA. Be sure to include your completed Schedule 6 forms if you’re mailing it in.
Advanced Canada Workers' Benefit Payments
You don't have to wait for tax season or the end of the tax year. T
he CRA can give eligible Canadians up to 50% of the benefit as an advance payment. The CWB advance payment dates for the 2025 benefit period are:
- January 10, 2025
- July 11, 2025
- October 10, 2025
There are two ways to request advance payment:
- Log in to your CRA account and complete the Canada Workers Benefit advance payments application.
- Fill out the Canada Workers Benefit payments application (Form RC201) and then mail it to the Sudbury Tax Centre. Remember to complete Part 3 of the form if you want to apply for the disability supplement. The form needs to be in by August 31, and you only need to send one application if you and your spouse or common-law partner are both eligible for the CWB.
Can I Get a Loan While Receiving the Canada Workers Benefit?
The CWB can actually increase your chances of getting a loan, as lenders see the benefit as income. Take a look at this article for more information on loan options and how to get a CWB loan from a lender you can trust.
