14 Canadian Government Benefits For Low-Income Families To Apply For in 2024

There are many Government of Canada benefits for low-income families, individuals, and several vulnerable groups, including marginalized indigenous people, recent immigrants, and people with disabilities, who are likely to have low income.

The Government of Canada spends lots of money each year on tax credits, services, and benefits to help mitigate the effects of low income and address the causes of economic disadvantage.

These Canadian benefits for low-income are diverse in their purpose, design, and target population. Each was created independently of the other, at different times, and in response to different policies.

These programs may transfer money directly to the individuals, provide services and support, or give funding to other government levels that provide services and support to these individuals.

If you are a low-income individual in Canada, this article is for you. This article covers in detail a variety of programs and Canada benefits for low-income families and individuals.

14 Canada Benefits for Low-Income Families

To support low-income families, the Canadian government has set up various programs that give money directly to families or provide specific tax measures to assist low-income Canadians families.

These programs seek to mitigate the effects of low income by providing cash or non-cash benefits to help Canadians meet their basic needs like food, housing, and health care.

These benefits are not intended to be universal but provide targeted benefits to low-income individuals or families in Canada.

1. Canada Workers Benefit

The Canada Workers Benefit is a Canadian benefit for low-income workers. It is a refundable tax credit set up to help individuals and families working and earning a low income.

You can claim your CWB and get up to half of the CWB in advance instead of waiting for tax time when you file your income tax return. However, the amount you receive for CWB depends on your income and province or territory of residence.

So, if you are above 19 years, living in Canada, and earning a working income, you could receive a maximum basic amount of $1,395 as a single individual and $2,403 as a family.

There is also a part of CWB for people with disabilities. The CWB disability supplement offers $720 to single individuals and families.

> Read more on Canada workers benefit, eligibility and application

2. GST/HST Credit

The GST/HST credit is a tax-free quarterly payment that helps low-income individuals and families offset the sales taxes they pay when they purchase goods and services in Canada.

If you are at least 19 years, have a spouse, or are a parent, you are eligible to apply for the GST/HST credit so long you are considered a Canadian resident. You could get up to $467 if you are single. If you are married, you could get $612 and $161 for each of your children under 19.

> Read more on GST/HST, eligibility, application and payment dates

3. Canada Child Benefits (CCB)

Canada Child Benefit is one of the most common Canadian benefits for low-income families.

The CCB is a tax-free monthly benefit administered by the Canada Revenue Agency (CRA) to eligible families in Canada, helping them with the cost of raising children below 18 years.

To be eligible for CCB, you must be a Canadian citizen, permanent resident, or a protected person living with a child below 18 years. You must be primarily responsible for the care and upbringing of that child.

You can apply for CCB by registering your new baby with your province/territory or apply online through your CRA account. Either way, you will get your payments within eight weeks of registration. You may also check out provincial child benefits like the ACFB, OCB, and the BC Affordable Childcare Benefit.

> Read more on Canada Child benefits, eligibility, how to apply and payment dates

4. Canada Dental Benefit

The Canada Dental Benefit is designed to reduce dental costs for eligible Canadian families with low incomes. Families who earn less than $90,000 per year are eligible for this benefit.

If your child is under 12 years and receiving dental care but does not have access to a private dental insurance plan, you can get a tax-free payment of $260, $390, or $650 for your child, depending on your adjusted family net income.

This benefit is only available for two periods, i.e. you can only get two payments for each eligible child.

5. Canada Learning Bond for RESPs

Low-income families with Registered Education Savings Plan (RESP) for their child’s post-secondary education and schooling costs receive additional contributions to their child’s RESP via the Canada Learning Bond.

The Canadian government contributes $500 to the Child’s RESP for the first year and $100 for the subsequent years, up to a maximum of $2,000. The contribution stops when your child exceeds the age of eligibility.

The primary caregiver’s and their living partner’s income and the number of children they have are used to determine if they are eligible for this benefit.

6. Old Age Security (OAS)

The Old Age Security (OAS) pension is a monthly payment for Canadians above 65. If you are 65 years or older, are a Canadian citizen and have lived in Canada for at least ten years after the age of 18 years, you can receive this benefit for low-income Canadians.

Although you might be automatically enrolled in the program by Service Canada, you might have to apply for an OAS pension in some cases.

Your payment amount depends on your income and how long you have lived in Canada. However, you can expect to receive your first payment after turning 65.

You can read more on OAS, eligibility and application, and how you can maximize your pension payout by avoiding OAS Clawback.

7. Guaranteed Income Supplement (GIS)

The Guaranteed Income Supplement is another famous Canadian benefit for low-income seniors who have lived in Canada and are above 65 years.

The GIS is an income-tested benefit received by eligible seniors as a top-up to their OAS pension. The GIS is not taxable and is only available to low-income OAS pensioners. You could get a maximum of $968.86 per month.

If you already receive an OAS pension, you still have to apply for GIS payments, as the Canadian government might need more information to enrol you. However, you might receive a letter the month after you turn 64 concerning when your payments will start.

8. Canada Pension Plan Disability Benefit

The CPP disability benefit is a monthly payment you receive if you are below 65 and have a physical or mental disability that stops you from doing any gainful work.

So, if you have made enough contributions to the CPP and have a disability with a long or indefinite duration, you can apply for the CPP disability benefits.

While the CPP disability benefit is for those under 65 and not receiving the CPP retirement pension, the CPP post-retirement disability benefit is for those between 60 and 65 who are already receiving the CPP retirement pension for more than fifteen months.

Related: CPP payment dates, eligibility and application

9. Canada Disability Savings Grant and Bond for RDSPs

The Registered Disability Savings Plan (RDSP) is a savings plan designed to help caregivers plan and save money for their beneficiary living with a disability. Though you cannot deduct RDSP payments from your income, you can contribute to the account until your beneficiary with a disability turns 59. 

The best part about the RDSP is that the Canadian government also contributes to this savings plan through the Canada Disability Savings Grant and Bond until the beneficiary turns 49.

Depending on the beneficiary’s family income, the government matches the contributions at 100%, 200%, or 300%, up to a maximum of $3,500 annually and a $70,000 lifetime contribution.

In addition, the government also pays a $1,000 yearly bond (maximum of $20,000 lifetime) directly to the RDSP of low-income Canadians with disabilities, with no contributions required from their money.

10. Disability Pension Benefits and Allowances

The Disability Pension Benefits and Allowances are for Veterans. The Canadian government compensates and recognizes eligible Veterans who served during wartime and peacetime.

Most times, eligibility depends on the type and severity of the disability. Survivors, dependents, and civilians are compensated for the effects of a service-related disability or death.

11. Provincial Social Assistance Programs

An important arm of the Canadian benefit program is the provincial social assistance programs which provide financial support for low-income individuals and families residing in their jurisdiction.

Each province and territory in Canada has its social assistance programs, with different eligibility criteria, benefit levels, administrative rules, and provisions.

If you are an Ontario resident, you can check the Ontario Works, Ontario Disability Support Program, and Ontario Trillium Benefits.

If you are a resident of Alberta, the Assured Income for the Severely Handicapped is a good start. BC residents can check out my article on the BC Income Assistance program.

The table below displays the social assistance programs in all Canadian provinces.

12. Disability Awards, Critical Injury, and Death Benefits

Canadian Armed Forces (CAF) Veterans and members receive compensation and recognition from the Canadian government for the non-economic effects that a service-related disability might have caused them.

You can also claim this benefit if you are a surviving spouse, common-law partner, or a surviving dependent child.

13. Career Impact Allowance

The Career Impact Allowance (CIA) is a monthly taxable benefit payable throughout a Veteran’s life.

The allowance amount increases for Veterans not able to get gainful employment.

If you are a Veteran and your career options have been limited because of a service-related disease, illness, or injury, you can claim this benefit.

14. Canadian Forces Income Support Benefit

The Canadian Forces Income Support Benefit provides a minimum level of family income to CAF Veterans to meet their family’s basic needs while they search for gainful employment.

It is a tax-free monthly payment to help low-income CAF Veterans who have participated in the Rehabilitation program and no longer qualify for the Earnings Loss Benefit.

7 Canadian Tax Credits You Should Claim While Filing Your Taxes

1. Spouse or Common-Law Partner Credit

The Spouse or Common-Law Partner Credit is a non-refundable credit targeted at taxpayers supporting a spouse or common-law partner.

If you supported your spouse or common-law partner at any time and their net income is less than $14,393, you are eligible to claim the spousal amount.

The credit amount is reduced by the net income of the dependent spouse or common-law partner, as the amount depends on the net income of the supporting taxpayer.

2. Age Tax Credits

The Age Tax Credits is a non-refundable tax credit. It is an income-tested Canadian benefit for low-income seniors aged 65 and above. It is claimed on line 30100 of the personal income tax return and offers $7,898 annually.

The Age Tax Credit is clawed back by 15% of income exceeding a $38,826 threshold and is eliminated when your income exceeds the $92,479 threshold. 

Note that each province has a different threshold for calculating its clawback.

3. Refundable Medical Expense Supplement

The Refundable Medical Expense Supplement is a refundable tax credit available to working low-income individuals. It provides them with assistance for medical and disability-related expenses.

If you live in Canada throughout the year, are 18 years or older, and have impaired physical or mental functioning, you can claim this supplement. 

Your adjusted family net income must be less than $54,146 to be eligible for this supplement. However, this supplement reduces as your income increases.

4. Canada Caregiver Credit (CCC)

The CCC is a non-refundable tax credit available to Canadians who support a spouse or common-law partner with a physical or mental impairment.

Suppose you support your child or grandchild, parent, grandparent, or sibling who has resided in Canada at any time in the year. If they rely on you regularly to provide them with some necessities, you may be eligible to receive $2,295 as CCC benefits.

You would have to provide a signed statement from a medical practitioner stating when the impairment began and the expected duration.

5. Disability Tax Credit (DTC)

The DTC is a non-refundable tax credit that helps Canadians living with disabilities or their supporting persons reduce the income tax they pay.

The DTC provides more significant tax equity by allowing some relief for disability costs because people with disability have to face additional expenses. You can claim the disability amount as soon as you are eligible for the DTC.

However, a medical practitioner must certify that you have a severe and prolonged impairment to qualify for the DTC. You can get up to $8,662 as disability and $5,053 as supplement amounts.

7. Home Accessibility Tax Credit

The HATC is a non-refundable tax credit for eligible home renovation or alteration expenses. Suppose you recently made renovations, additions, or alterations to your home to make it more accessible to a disabled or senior Canadian citizen.

In that case, the Canada Revenue Agency (CRA) will allow you to deduct Home Accessibility Tax Credit (HATC) as a non-refundable tax credit from the taxes you owe. If qualified, you may deduct up to $10,000 as the HATC credit from the taxes you owe.

The CRA does not allow all expenditures. Only Ramps, installation of walk-in or wheel-in tubs and showers, grab rails and grab bars, widening doorways for wheelchair access, and lowering countertops and cabinets for the disabled person to use; qualify as expenses for this tax credit.

8. Canada Training Credit (CTC)

The CTC is a tax credit that offers extra monthly support to eligible Canadians. It is designed to help them financially recover parts of the money spent on training and tuition.

If you are a Canadian resident between 26 and 65 years, have paid tuition to any eligible educational institution or certain professional exams, and filed your tax return during the year you applied, you could get up to $250 yearly or $5,000 in your lifetime as CTC benefits.

5 Special Canadian Programs Available to Indigenous People

The Canadian government offers a series of benefits to Indigenous persons related to or descended from the original peoples of Canada, including the Indian (First Nation), Métis, or Inuit.

These benefits include:

1. Skills and Partnership Fund

The Skills and Partnership Fund (SPF), a complement to the Indigenous Skills and Employment Training Program, is a project-based fund supporting the partnership between industry employers and Indigenous organisations.

The funding program provides skills training for Indigenous people linked to economic opportunities. It helps the First Nations, Inuit, and Metis people develop the necessary skills and training to secure a job.

2. Aboriginal Skills and Employment Training Strategy

The Aboriginal Skills and Employment Training Strategy (ASETS) was designed to help Indigenous people improve their skills and find gainful employment.

The program increases the participation and integration of Indigenous people with the Canadian Labour Force while ensuring that they are engaged in meaningful and sustainable employment.

3. Supplementary Health Benefits for First Nations and Inuit

This program aims to provide sustainable, effective, and appropriate health solutions that can reduce the gaps in health status between the Indigenous people and other Canadians.

The Indigenous Services Canada (ISC), through its First Nations and Inuit Health Branch (FNIHB), provides a range of health services and programs to First Nations and Inuit, like clinical and client care services, community-based health programs, and non-insured health benefits.

4. Family Violence Prevention Investment

The Public Agency of Canada has a Family Violence Prevention Investment. It is a national grant and contribution program focused on preventing and reducing the health impacts of family violence.

The program funds Indigenous communities and organizations for family violence, shelter services and activities.

5. Lands and Economic Development Services

The Canadian government designed this program to support the economic potential of the Indigenous people by promoting partnerships between the Indigenous people, the provinces and territories, and the private sectors.

The Lands and Economic Development Services helps increase Indigenous participation in the economy through laws and programs while allowing communities to have greater control over land management.

Final Thoughts on Canada Benefits for Low-Income Individuals

The government of Canada benefits for low-income are several social welfare and income support programs available in Canada. The programs vary from province to province, and it addresses the needs of low-income Canadians. 

Qualifying for benefits in Canada is easy if you are a resident or citizen of this country and always file your taxes. 

Go ahead and apply for any of these benefits if you are eligible. After all, they are yours to claim.

FAQs on Canada Benefits for Low-Income Individuals

What would be considered low income in Canada?

The Canadian government considers a household low-income if its income exceeds 50% of the median household income.

How can I get free money in Canada?

If you want free money in Canada, we have a long list of ways you can get free money. Look at these 21 legit ways to get free money from the Canadian government.

Who is eligible for Canadian benefits?      

Different benefits programs in Canada have different eligibility criteria. Generally, everyone who is a Canadian citizen or permanent resident and always files taxes is eligible for Canadian benefits.

How much do you get on welfare a month in Canada?

The amount you could get for social assistance welfare ranges from $726 to $1774.