Some eligible working Canadians are set to receive advanced payments of workers benefits from the federal government this week.
The Advanced Canada Workers Benefit (ACWB) will go out on Friday to individuals and families who earn a low income.
The CWB is a refundable tax credit and the payments are aimed to help workers cope with the rising cost of living, the Canada Revenue Agency says.
How much could Canadians get?
The CWB payment includes a basic amount and a disability supplement.
The CRA calculates these based on a person’s marital status, their province or territory of residence, their income, whether they have dependants and eligibility for the disability tax credit.
Annually, single Canadians can expect to receive a maximum basic amount of $1,518 if their adjusted net income is no more than $24,975.
The maximum disability supplement that single individuals are entitled to is $784 if they earn up to $35,098.
The advanced payments, which are rolled out in three instalments annually, will include half of the total basic amount and half of the disability supplements. That adds up to roughly $1,151 for the full year.
The CRA says the total basic amount for the CWB is gradually reduced if a person’s adjusted net income is more than $24,975 and no payment is made if it exceeds $35,095.
The disability supplement is gradually reduced if the adjusted net income for single individuals is more than $35,098. If it is more than $40,325, they will not receive any disability supplement.
Get weekly money news
Families who earn an adjusted net income of up to $28,494 can expect a maximum basic benefit of $2,616 for the whole year. The maximum disability supplement for families is $784.
The advanced payments can add up to a maximum of $1,700 for the complete year.
These benefit amounts will vary for residents of Quebec, Nunavut and Alberta.
Death, incarceration or emigration can also affect the advanced payments, the CRA says.
Who is eligible?
To be eligible for the basic CWB payment, a person must be a Canadian resident, at least 19 years of age, who earns a working income below a certain threshold set for the province or territory you live in.
To receive the disability supplement, a person must be eligible for disability tax credit and have an approved T2201 form on file with the CRA in addition to meeting the net income level criteria.
“You must be a resident of Canada on the first day of the quarter to be eligible for the advanced payments,” the CRA says.
How to apply
To claim the CWB payments, a person or family should have filed their tax returns.
There is no need to apply for the advanced payments as these benefits are sent automatically based on the tax returns.
To claim advanced payments of CWB, a person should have filed their income tax and benefit return before Nov. 1 of the benefit period.
The next advanced payment of CWB will go out on July 11.
