On July 12, 2024, the next quarterly payment for the Advanced Canada Workers Benefit (ACWB) is scheduled to be disbursed, aimed at supporting Canada’s lowest-paid workers in managing their living expenses more effectively.
Last year, eligible single workers and families received up to $1,518 and $2,616, respectively, through three basic quarterly payments under the Canada Workers Benefit (CWB), depending on their income levels. Additionally, those eligible for the disability supplement could receive up to $737 annually based on their income.
The ACWB payments, equivalent to 50% of the entitlement for the year, are issued by the Canada Revenue Agency (CRA) annually starting in July. While payments are scheduled for July 12, it may take up to 10 business days for funds to reflect in recipients’ linked CRA bank accounts.
Understanding the Advanced Canada Workers Benefit (ACWB)
The Canada Workers Benefit (CWB) assists individuals and families who work but earn below a certain threshold. It consists of a basic amount and a disability supplement.
Starting from July 2023, the ACWB provides advanced payments equal to 50% of the CWB entitlement for the year, based on the tax returns filed for the 2023 tax year. Recipients who received ACWB in 2023 will automatically receive these advances without reapplying.
Eligibility for Canada Workers Benefit
To qualify for the CWB base amount, individuals must be year-round residents of Canada and meet specific income criteria. The income levels for eligibility are typically updated annually by the CRA.
The disability supplement is available to those who qualify for the disability tax credit, with the exact amounts dependent on income thresholds and family situations.
Table: Income Levels for Canada Workers Benefit (2022 Data)
| Location | Family with Children | Family without Children | Single with Children | Single without Children |
|---|---|---|---|---|
| Canada (excluding Alberta, Quebec, and Nunavut) | $43,212 | $43,212 | $43,212 | $33,015 |
| Quebec | $35,912.95 | $45,060.02 | $21,488.47 | $29,072.64 |
| Nunavut | $58,932 | $58,932 | $58,932 | $58,925 |
| Alberta | $43,952 | $43,952 | $43,952 | $33,093 |
Applying for the Canada Workers Benefit
To claim the CWB, individuals can apply online using certified tax software or by completing and submitting Schedule 6, Canada Workers Benefit, when filing their income tax return.
For the disability supplement, applicants must claim both the base credit and the disability supplement if eligible for the disability tax credit.
For ACWB payments, no separate application is necessary; eligibility is determined based on the filed tax return, with payments issued annually starting in July.
Upcoming Advanced Canada Workers Benefit Payment Dates
ACWB payments are scheduled for July 12, 2024, October 11, 2024, and January 10, 2025.
Ineligibility for Canada Workers Benefit
Individuals are ineligible for the CWB if they are full-time students for more than 13 weeks in the year, spent at least 90 days in prison during the year, or work in Canada but are exempt from paying taxes.
Conclusion
The ACWB plays a crucial role in supporting low-income workers across Canada, ensuring they can meet their basic living expenses effectively. As the CRA prepares to issue the next round of ACWB payments on July 12, 2024, eligible recipients can anticipate financial assistance that helps ease their financial burdens.
