Canada’s federal government has confirmed that working Canadians with low incomes will once again receive meaningful financial relief in 2025. The Canada Revenue Agency (CRA) announced that the Canada Workers Benefit (CWB) will continue to provide up to \$1428 per quarter, totaling \$5712 annually for individuals. Families will be eligible for even higher amounts depending on their household income and size.

With the cost of living still weighing heavily on millions across the country, this enhanced program is one of Ottawa’s strongest commitments to ensuring that work continues to pay for Canadians. Here’s everything you need to know about the 2025 CWB, from eligibility to payment schedules and planning tips.

Understanding the Canada Workers Benefit

The Canada Workers Benefit is a refundable tax credit designed to support low-income workers. First introduced as an enhancement to the former Working Income Tax Benefit (WITB), the CWB provides targeted relief to individuals and families who are part of the workforce but earn only modest wages.

It has two main components:

• Basic amount: A quarterly and annual payment to eligible individuals or families.
• Disability supplement: An additional amount for those who qualify for the Disability Tax Credit (DTC).

Unlike non-refundable credits, the CWB is paid out even if the recipient owes no taxes, ensuring that every eligible Canadian sees cash in hand rather than just a deduction on paper.

What’s New for 2025?

For 2025, the CRA has reaffirmed the enhanced structure of the benefit. The maximum payout for an individual remains at \$1428 per quarter, meaning that those who qualify can expect \$5712 annually. Families may be entitled to even more depending on household size and income.

2025 Benefit Breakdown

Benefit Type	Max Quarterly	Annual Maximum
Individual Benefit	\$1428	\$5712
Family Benefit	Varies (higher)	Higher
Disability Supplement	Additional	Extra

These payments are not lump sums at tax time but are distributed throughout the year through the advance payments system. This system ensures that workers do not have to wait until they file taxes to receive financial support, but instead get regular assistance every few months.

Why the Benefit Matters Now

With inflation still impacting essentials such as food, housing, and utilities, low-income workers are among those most affected. The CWB helps offset some of these pressures, ensuring that Canadians who remain active in the workforce are not left behind.

Economists highlight that the CWB also serves an important policy purpose: it encourages participation in the workforce by ensuring that “work pays.” Without such programs, some low-income workers might find that the cost of working outweighs their earnings, especially after accounting for taxes, transit, and childcare costs.

Who is Eligible for the Canada Workers Benefit in 2025?

Eligibility is based on age, residency, working income, and household status. To qualify for the CWB in 2025, you must:

• Be at least 15 years old by December 31, 2024.
• Be a Canadian resident for the entire tax year.
• Have earned working income below the designated threshold.
• Not be a full-time student (unless married or with a dependent).
• Not be incarcerated for more than 90 days in the year.

Income Thresholds

For individuals, the phase-out of benefits begins at an income of around \$24975, ending fully near \$33,000. For families, the income limit is higher, allowing broader eligibility for households with dependents or dual earners.

This structure ensures that support is targeted at those most in need, without discouraging modest income growth.

The Disability Supplement

One of the lesser-known but vital parts of the CWB is the disability supplement. This is an extra payment for workers who qualify for the Disability Tax Credit (DTC).

The supplement recognizes that Canadians living with disabilities often face additional costs associated with daily life and workforce participation. These may include medical devices, transportation challenges, or reduced working capacity.

By layering this supplement onto the basic benefit, the program provides tailored relief that acknowledges both financial and health-related challenges.

How to Apply and Receive Payments

For most Canadians, the application process is automatic. When you file your annual tax return, the CRA reviews your information and determines whether you qualify for the CWB. No separate application is required.

However, to ensure timely payments, it’s important to:

• File taxes on time each year.
• Keep your CRA My Account information updated.
• Ensure that your direct deposit details are current to avoid delays.

The CRA also offers online tools to check your benefit status, view upcoming payment dates, and track eligibility.

Advance Payments System

The advance payments system is what makes the CWB especially valuable. Instead of waiting until tax season, qualified individuals receive their benefit in quarterly installments. This ensures that funds are available throughout the year when expenses arise.

This structure is particularly useful for low-income workers who may live paycheck-to-paycheck and need ongoing support rather than one large lump sum.

How Canadians Can Plan Around the CWB

Financial experts recommend that workers use their CWB strategically to cover essential costs such as:

• Rent or mortgage payments.
• Food and groceries.
• Transportation and fuel.
• Utilities and household bills.

By treating the quarterly payment as a budgeting tool, individuals and families can stretch their income further and reduce reliance on credit or loans.

Comparing CWB with Other Federal Supports

The Canada Workers Benefit sits alongside other federal programs such as the GST/HST Credit, Canada Child Benefit (CCB), and Old Age Security (OAS) for seniors. Each program serves a specific demographic, but together they form a broader social safety net designed to address different stages of life.

While OAS and CPP support retirees, and the CCB assists families with children, the CWB uniquely supports low-income workers, recognizing that staying employed should come with tangible financial security.

Broader Policy Context

The CWB also plays into larger national debates around poverty reduction, labour shortages, and the future of work. By supporting low-wage workers, the program helps ensure a more stable and productive labour force.

In addition, the benefit complements provincial measures such as housing subsidies or childcare supports, creating a multi-layered system of financial assistance.

What Critics Are Saying

While widely supported, the CWB is not without critics. Some argue that the payment levels remain too modest compared to rising costs, particularly in major cities such as Toronto, Vancouver, and Montreal where housing prices are exceptionally high.

Others say that because the program is linked to income tax filing, Canadians who do not file taxes regularly—often the most vulnerable—may miss out. Advocacy groups have called on the government to expand outreach and simplify enrollment further.

Looking Ahead

For now, the Canada Workers Benefit remains one of the most generous and accessible supports available to working Canadians with modest incomes. With payments confirmed for 2025 at levels comparable to previous enhancements, low-income workers can plan ahead knowing that reliable assistance will continue.

The CWB’s structure reflects a broader Canadian principle: that hard work deserves reward and dignity, even in difficult economic times.

5 FAQs

Q1: How much will individuals receive under the Canada Workers Benefit in 2025?
A: Eligible individuals can receive up to \$1,428 per quarter, totaling \$5,712 annually.

Q2: Can families receive more than individuals?
A: Yes, family benefits are higher depending on household income and size.

Q3: Is a separate application needed for the CWB?
A: No. The CWB is automatically applied when you file your annual tax return.

Q4: What is the disability supplement under the CWB?
A: It is an additional payment for workers who qualify for the Disability Tax Credit (DTC).

Q5: When are CWB payments distributed?
A: Payments are distributed quarterly through advance payments, not as a single annual lump sum.