The Canada Workers Benefit (CWB) is a tax credit that provides low-income individuals and families with support that is refundable. Starting with the year 2025, single workers are expected to receive a maximum of $1,518 each year, whereas families together can receive a maximum of $2,616.
This article gives readers an introduction to the CWB, in terms of standard currency, such as eligibility, payment dates, and essential information for potential claimants.
Eligibility Criteria
- To qualify for the CWB in 2025, applicants must meet the following conditions:
- Age: Be at least 19 years old as of December 31, 2025, unless residing with a spouse, common-law partner, or dependent child.
- Residency: Be a resident of Canada for income tax purposes throughout the year.
- Income: Have an adjusted net income below specific thresholds:
Single Individuals: Maximum benefit is available for those earning up to $24,975. The benefit decreases as income increases and is phased out entirely at an income of $33,015.
Families (Couples or Single Parents): Maximum benefit is available for those with a combined income up to $43,212. The benefit decreases as income increases and is phased out entirely at a combined income of $56,197.
Certain individuals are found ineligible for the CWB. They include full-time students without dependents who attended educational institutions for more than 13 weeks in the year, individuals confined to prison for a period of 90 days or more, and individuals who do not qualify for income and residency reasons.
Payment Dates
The Canada Revenue Agency (CRA) provides the CWB through advance payments and subsequent supplementary payments after the assessment of tax returns. The advance payment schedule for 2025 follows:
- First Payment: January 10, 2025
- Second Payment: July 11, 2025
- Third Payment: October 10, 2025
- These payments can extend to approximately 50% of an estimated benefit based on the adjusted income of the previous year. After their 2025 returns are reported, reconciliatory adjustments are made.
How to Apply
Individuals who wish to claim the CWB should file a tax return. All these individuals claiming the CWB should complete the appropriate lines on Schedule 6 on their return. CRA officials shall independently determine the eligibility status and benefit after the application is filed.
CRA sends out advance payments to all eligible individuals much in a manual mode. The CRA issues these payments without any request being issued and can only be sent to the beneficiaries who participated the previous year. Those newly enrolling or those who did not obtain the CWB in the previous year shall receive the full benefit after the official tax return has been assessed.
Other details
CWB includes an opportunity to provide an additional amount as a disability supplement for any individuals with disabilities who qualify based on the Disability Tax Credit. The maximum itself is $784 for 2025.
Please, note that benefit amounts and income thresholds could slightly differ by province or territory as the tax regulations may not remain identical. To obtain the most up-to-date information, consult the CRA’s official documentation or discuss with a tax professional.
Conclusion
Across Canada, the Canada Workers Benefit extends substantial financial support to low-wage workers. Anybody can avail of the program, namely individuals or families, if they thoroughly learn about the eligibility factor, payment date, and application process for implementation in 2025.