Canada Child Benefit payments to increase this month for many families. Here’s how much it’s going up

Posted on July 13, 2023 in Child & Family Delivery System

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TheStar.com – Politics
July 13, 2023.   By Joshua Chong, Staff Reporter

Some families could receive up to $7,437 per year for each child below the age of six, under the new maximum benefits.

Many families will see an increase to the Canada Child Benefit (CCB) this month as payments are set to be recalculated based on inflation.

The maximum benefits amounts for low-income families will increase by hundreds of dollars compared to the previous benefit year.

Here’s what you need to know about the new CCB amounts, along with how you can apply and when you can expect the payments.

What is the Canada Child Benefit?

The CCB is an income-tested and non-taxable benefit meant to help eligible families with the cost of raising children under 18 years of age. Introduced in 2016, the CCB replaced the taxable Universal Child Care Benefit.

Who is eligible?

To be eligible for the CCB, you must live with a child under 18 years of age and be primarily responsible for the child’s care. You must be a Canadian resident for tax purposes. You or your partner must also be a Canadian citizen, permanent resident, protected person, an eligible temporary resident or an individual registered or entitled to be registered under the Indian Act.

The amount you receive under the CCB is based on several factors, including the number of children in your care, their age, your marital status and your adjusted family net income from last year’s tax return.

Low-income families can now receive up to $7,437 per year for each child under six years of age, an increase of $440 from the previous benefit year.

Families with children between six and 17 years old, meanwhile, can receive a maximum of $6,275 per year for each child, up $372 from before.

The CCB is intended to provide increased support to low- and middle-income families with children. Families with an adjusted net income under $34,863 will receive the maximum amount for each child.

Payments gradually decrease for those with a net income above that threshold. For example, a family with one child under six and an adjusted net income of $45,000 would receive $6,727.41 from the CCB.

Why are payments recalculated?

The federal government indexed the CCB to ensure benefits keep up with inflation. These adjustments are calculated each July, along with changes to a family’s net income.

When can I expect to receive the benefit?

The CCB is paid on the 20th day of each month, except in December, when the benefit is issued on Dec. 13. The next payment date is scheduled for July 20 and will be the first that includes the new maximum benefit amounts.

However, if you’re annual benefit amount is less than $240, you will only receive a lump-sum payment in July instead of monthly installments.

How can I apply?

You can apply for the CCB one of three ways: through birth registration, online through your personal Canada Revenue Agency account or by mail.

https://www.thestar.com/business/2023/07/13/canada-child-benefit-payments-to-increase-this-month-for-many-families-heres-how-much-its-going-up.html

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