Navigating government benefits can be confusing, but the Canada Workers Benefit (CWB) is designed to provide essential financial support to low-income workers.
In January 2025, eligible Canadians will receive a $566 payment as part of the advance payments for the 2024 benefit year.
This guide breaks down everything you need to know, from eligibility criteria to payment schedules and how to apply.
Canada Workers Benefit Overview
The Canada Workers Benefit (CWB) is a refundable tax credit designed to help low-income workers and families meet their financial needs.
Instead of waiting until tax season, eligible individuals can receive part of their benefit through advance payments, ensuring regular financial support throughout the year.
CWB Payment Breakdown
| Feature | Details |
|---|---|
| What is the CWB? | A refundable tax credit for low-income workers and families. |
| January 2025 Payment | $566 (final installment of advance payments for the 2024 benefit year). |
| Eligibility Criteria | Low-income workers, aged 19+, Canadian residents, meeting income thresholds. |
| Payment Date | January 10, 2025. |
| Maximum Annual Amounts | $1,633 for singles, $2,813 for families, plus $843 for disability supplement. |
| Official Source | Canada Revenue Agency (CRA). |
Who Can Receive the CWB Payment?
To qualify for the $566 CWB payment in January 2025, you must meet the following criteria:
Basic Eligibility
- Age Requirement: At least 19 years old on December 31, 2024, or living with a spouse, common-law partner, or child.
- Residency: You must be a Canadian resident throughout the year.
- Employment Income: Your working income must fall within the specified limits.
Income Thresholds
Your eligibility depends on your income level. The income limits for 2024 (which determine the 2025 payment) are:
| Status | Income Threshold (2024) |
|---|---|
| Single Individuals | $26,855 |
| Families (Married/Common-law with Dependents) | $30,639 |
If your income is slightly above these limits, you may still qualify for partial benefits.
Who is NOT Eligible?
You cannot receive the CWB payment if:
- You were a full-time student for more than 13 weeks in 2024, unless you had dependents.
- You were incarcerated for 90 days or more in 2024.
- You are not required to file a tax return.
These rules help ensure the benefit supports working individuals and families in need.
How Much Can You Receive?
The total CWB amount depends on your income, family status, and whether you qualify for the disability supplement.
Maximum CWB Payments for 2024 (Payable in 2025)
| Category | Maximum Annual Payment |
|---|---|
| Singles (No Dependents) | $1,633 |
| Families (With Dependents) | $2,813 |
| Disability Supplement | Additional $843 |
Understanding the $566 Payment
The $566 January 2025 payment is an advance payment covering up to 50% of your total annual CWB benefit.
- If you qualify for the maximum CWB amount, your total advance payments (received in 3 installments) will be approximately half of your annual entitlement.
- The remaining balance will be provided when you file your 2024 taxes in 2025.
Example Calculation
If you’re a single worker earning $20,000 per year, you may qualify for partial benefits. Your total annual CWB might be $1,000, and your advance payments would be split into three installments, with $566 as the final payment in January 2025.
Disability Supplement
If you have a disability, you may receive an additional $843 per year through the CWB disability supplement.
To qualify:
- You must be eligible for the Disability Tax Credit (DTC).
- You must meet the income and residency requirements for the CWB.
This supplement helps cover the higher living costs associated with disabilities, such as medical care, assistive devices, and transportation.
When Will You Receive the CWB Payment?
The $566 payment is part of the advance payment schedule. Here’s when each installment is sent:
| Installment | Payment Date |
|---|---|
| First Installment | July 11, 2024 |
| Second Installment | October 10, 2024 |
| Third Installment | January 10, 2025 |
If you did not apply for advance payments, you will receive the full CWB amount as a lump sum when you file your 2024 taxes in 2025.
How to Apply for the CWB
The Canada Revenue Agency (CRA) automatically calculates your CWB eligibility when you file your taxes. However, if you want to receive advance payments, you must apply separately.
Step-by-Step Application Process
- File Your Taxes – Ensure you submit your 2024 tax return on time in 2025.
- Apply for Advance Payments – Fill out Form RC201 (Canada Workers Benefit Advance Payments Application).
- Submit the Form – Send your application online through CRA My Account or by mail.
- Keep Your Information Updated – Ensure your income and marital status are accurate to avoid delays.
If you need help, contact the CRA or a tax professional for guidance.
The Canada Workers Benefit provides a crucial financial boost to low-income workers. With the $566 payment in January 2025, this program continues to support Canadians in achieving greater economic stability.
Make sure to check your eligibility, apply for advance payments if needed, and file your taxes on time to receive your benefits.
