Adrian
As of July 2025, the Canada Workers Benefit (CWB) is providing a substantial financial lift to eligible working Canadians, thanks to updated thresholds and indexing tied to inflation.
With payments rising to $730.17 for qualifying recipients, this quarter’s Advance Canada Workers Benefit (ACWB) instalment is among the highest on record.
This benefit is part of the Canadian government’s ongoing efforts to help low-income workers manage financial strain amid rising living costs.
The CRA reviews benefit eligibility annually, meaning changes in 2024 income or family status could increase your payout for 2025.
What Is the Canada Workers Benefit (CWB)?
The Canada Workers Benefit is a refundable tax credit provided to working Canadians with low incomes. It is split into two components:
- Basic Canada Workers Benefit payment
- Disability Supplement for those eligible for the Disability Tax Credit (DTC)
The program aims to:
- Support workforce participation
- Offset the cost of living for working individuals and families
- Provide additional relief to those with disabilities
Understanding the Advanced CWB (ACWB)
To improve cash flow for working Canadians, the Advanced CWB delivers up to 50% of your yearly Canada Workers Benefit amount through three advance payments.
If you’re eligible, you’ll automatically receive the instalments — no separate application is required, just make sure you file your tax return by November 1.
Who Is Eligible for the Canada Workers Benefit?
To qualify for the Canada Workers Benefit, you must:
- Be a resident of Canada for the full year
- Be at least 19 years old by December 31 (unless you have a child or a spouse/partner)
- Earn a working income below the regional thresholds
You may not be eligible if:
- You were a full-time student for over 13 weeks (unless supporting dependents)
- You were incarcerated for 90+ days
- You are exempt from paying Canadian tax due to special diplomatic status
Income limits:
| Category | Income Threshold (Approx.) |
|---|---|
| Single Individuals | Up to $36,749 |
| Families | Up to $48,093 |
To receive the disability supplement, you must be approved for the Disability Tax Credit using Form T2201.
How to Apply for the Canada Workers Benefit
There is no separate application process. Just claim the benefit when filing your income tax return:
- Online filers are guided by the software
- Paper filers should complete Schedule 6
- For the disability supplement, if one partner qualifies, they should claim both the base and supplement. If both qualify, each must file separately for the supplement.
Advance payments are issued if line 45300 is included in your return and submitted on time.
How Much Can You Receive?
Your benefit depends on income, family size, and province. Below are the maximum federal amounts for 2024:
| Type | Max Amount |
|---|---|
| Single Individual (Canada Workers Benefit) | $1,590 |
| Families (Canada Workers Benefit) | $2,739 |
| Disability Supplement | $821 |
Income phase-out begins at:
- $26,149 (single)
- $29,833 (families)
- Disability supplement phases out after $36,748 for singles, $48,091 for families
July 2025 ACWB Payment Breakdown
Here’s what eligible recipients may receive in the first advance payment:
| Recipient Type | Amount |
|---|---|
| Single Individual | $265 |
| Eligible Family | $456.50 |
| Disability Supplement (per adult) | $136.83 |
| Maximum Combined Total | $730.17 |
Note: Quebec, Alberta, and Nunavut may have slightly different values. Use the CRA calculator for exact figures.
Are These Payments Taxable?
No. The Canada Workers Benefit is not taxable. It’s a refundable credit, which means it either reduces your taxes or provides a refund even if you owe nothing. Advance instalments are also non-taxable.
When Will the Payments Arrive?
The first CWB advance payment for 2025 was issued on Friday, July 11, 2025. The remaining instalments are scheduled as follows:
| Instalment | Payment Date |
|---|---|
| Second | October 10, 2025 |
| Third | January 12, 2026 |
These payments are drawn from your annual CWB entitlement, with the remaining balance delivered at tax time.
The $730 Canada Workers Benefit boost offers a welcome financial cushion to low-income workers navigating the rising cost of living in 2025.
With automatic advance payments, streamlined eligibility, and increased support for those with disabilities, this program remains one of Canada’s key tools in reducing working poverty.
Make sure your tax return is accurate and on time to receive the full benefit.
FAQs
How do I know if I qualify for the CWB payment?
You must meet residency, age, income, and employment criteria. Use the CRA online calculator to estimate your benefit.
Do I need to apply separately for advance payments?
No. If you file your tax return before November 1 with line 45300 filled, you’ll receive advance payments automatically.
Can I get the disability supplement even if my income is too high for the basic benefit?
Yes. If you’re eligible for the DTC, you can still receive the disability top-up, even if you’re not eligible for the basic benefit.