The federal government changed the Working Income Tax Benefit in 2018 so that more Canadians could apply and make it easier to get.
There is a chance that you or your family can get the Canada Workers Benefit if you have a low income. The CWB is a quarterly payment that helps working families and people with low incomes. It is an improved version of the WITB.
This piece talks about the Canada Workers Benefit and how to apply, as well as how much you can get and when you’ll get it.
Canada Workers Benefit Payment Dates in 2024
The dates that Canada Workers’ Benefits will be paid this year are:
- July 12, 2024
- 12th October 2024
- December 12, 2025
Sign in to your CRA account on the website or the MyBenefits CRA app on your phone to see your direct deposit information.
How Much is the CWB in 2024?
The Canadian Workers Benefit amount you get is based on how much money you make and where you live in Canada.
For Single Individuals
The most you can get in basic benefits is $1,428, and it goes down slowly if your adjusted net income is more than $23,495.
If you make more than $33,015, you won’t get the full amount.
If your adjusted net income is more than $33,018 a year, the disability bonus goes down slowly until it stops being $737. This vitamin will not be given to people who make more than $37,932.
For families
The most you can get is $2,461, and it goes down slowly if your adjusted family net income is more than $26,805 a year.
If your family makes more than $43,212 a year, you will not get the basic amount.
If your adjusted family net income is more than $43,210, the disability bonus goes down slowly until it stops being $737.
The disability supplement will not be given if either one of the spouses is eligible for the disability tax credit and the family income is more than $48,124, or if both spouses are qualified for the disability tax credit and the family income is more than $53,037.
People who live in Quebec will have different limit amounts for the basic amount and the disability supplement.
What Is the Canada Workers Benefit?
People who work and make low incomes can get the Canada Workers Benefit, which is a tax credit that can be refunded. Families in Canada can make up to $2,461 a year, and people can make up to $1,428 a year.
The CWB is made up of two parts: a basic amount and a handicap amount.
During tax season, when you file your yearly income tax return, you can claim the CWB. It can be used for 2019 and years after that.
The Working Income Tax Benefit (WITB) has been changed into the Canada Workers Benefit. From 2007 to 2018, it was open to families with a job income of more than $3,000.
The WITB has changed a lot since 2007; the 2018 Canadian government budget changed how it works. The CWB now offers more perks and has stricter requirements for who can get them.
Eligibility for The Canada Worker’s Benefit
The following people can get the Canada Workers Benefit. To get in, you need to:
- Earn a working income that’s below the net income level set for your province or territory of residence
- Be a Canadian resident throughout the entire year
- Be 19 years of age or older on December 31, OR live with your spouse, common-law partner, or child
You, your spouse, or your common-law partner are not eligible if they:
- Are a full-time student at a designated educational institution for more than 13 weeks out of the year (unless you have an eligible dependant on December 31)
- Have been in prison for 90 days or more that year
- Are not eligible to pay tax in Canada (because you are a servant or officer of another country or are an employee or family member of that person)
How Is the Canada Workers Benefit (CWB) Calculated?
How much you can get from the CWB relies on where you live and how much money you make each year.
The highest basic amount for a single person is $1,428 and the highest basic amount for a family is $2,461. This amount goes down over time based on how much money you make.
The following details help the Canada Revenue Agency figure out how much you will get:
- Your marital status and if you have an eligible spouse
- The province or territory you reside in
- Your earned working income
- Your family’s net adjusted income
- Your eligible dependents
- Your eligibility for the disability tax credit
You can get a rough idea of how much you will get from the Canada Workers Benefit tool. You can also use a calculation sheet for the province or region where you live.
How To Apply for the Canada Workers Benefit
If you file your taxes online, use the tax software that comes with your computer to find out how to claim the CWB. Fill out Schedule 6, Canada Workers Benefit, and send it in with your paper tax return.
There are two ways to get the handicap supplement:
Only one of you can get the disability tax credit if your spouse or common-law partner is also qualified. The eligible person should claim both the basic amount and the disability supplement.
Both of you should claim the disability supplement if you are eligible and your spouse or common-law partner is also qualified. But only one person can get the basic amount.
You can ask for advance payments if you are qualified to get up to half of your Canada Workers Benefit payments before they are due. You may either
Log in to your CRA account, fill out your application, and send it in.
You have until August 31 to send Form RC201 to the Sudbury Tax Centre by mail.
Canada Workers Benefit (CWB) vs Working Income Tax Benefit (WITB)
The Working Income Tax Benefit (WITB) was changed to the Canada Workers Benefit (CWB) in 2019. From 2007 to 2018, people and families making more than $3,000 a year could get the WITB.
It now checks automatically to see if you are qualified for the CWB, even if you don’t claim it. The CWB is an updated and restructured version of the WITB.
People can get a maximum of $1,428 from the Canada Workers Benefit instead of $1,059, and families can get a maximum of $2,461 instead of $1,922.
The CWB also has a higher income limit before you can’t get it. A person can now make up to $33,015 a year instead of $19,076, and a family can now make up to $43,212 a year instead of $28,975.