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Do you know why the federal government gives Canada Child Benefit (CCB) payments to parents? It is because kids and debt are both are 4-letter words and expensive to have.
For some parents, the costs that accompany the care and upbringing of children can strain their finances. From housing to education, clothing to food, parents struggle to pay bills. Some parents take out a personal loan because of the cost of braces or unforseen bills.
If you are a low-income earner or if you have a low credit score, the impact of adding kids to the budget is devastating.
That is why both the federal and provincial governments provide many programs to help reduce parents’ financial burden. Some programs put money directly into parents’ bank account on a regular basis, while others provide federal tax credits and GST/HST rebates.
One popular type of benefit program is the Canada Child Benefit (CCB).
The CCB is a tax-exempt benefit program available for eligible families with children under 18 years of age. The program’s goal is to help alleviate poverty by providing struggling parents with access to government-sponsored financial aid.
To qualify for the CCB, you must be the primary caregiver for a child under 18 years of age and live with them and be a Canadian resident for tax purposes. Also, you or your spouse must be considered at least one of the following:
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If you have an adjusted net family income (AFNI) family income of $32,797, you should receive the maximum benefit.
For the tax year 2022, you’ll receive payment from July 2022 to June 2023. The maximum you can receive is $6,997 annually for each child under the age of 6 and up to $5,903 for each child between the age of 6 and 17. If you share custody of your children, you’ll get 50% of what you’d have received if you had full custody.
Per Year | Per Month | |
Children under the age of 6 | $6,997 per child | $583.08 per child |
Children between 6 and 17 years of age | $5,903 per year | $491.91 per child |
The government will calculate the monthly amount you qualify for based on your previous years’ tax return. You can use the Government of Canada website CCB calculator to get an idea of what monthly payment you can expect to receive.
The size of your CCB benefit is calculated using several factors, including:
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Your family’s net income is a crucial factor that impacts the amount of money you are entitled to under the CCB program. If your family’s net income is under $32,797, you’ll receive the maximum payment. CCB benefits are clawed back based on your family net income and the number of children you have.
For example, if you have 2 children under the age of 6, the maximum you can receive is $6,997 per child, that’s $13,994 per year. However, let’s say you have a family net income of $95,000. Your benefit would be reduced by $5,166 + 5.7% of your income over the threshold ($71,060). That means you’d qualify for $7,162.5. Below is an illustration of the CCB payment calculations.
Number of children | Family net income over $32,797 and up to $71,060 | Family net income over $71,060 |
1 | 7% of your income above the threshold | $2,678+ 3.2% of your income above the threshold |
2 | 13.5% of your income above the threshold | $5,166 + 5.7% of your income above the threshold |
3 | 19.0% of your income above the threshold | $7,270 + 8% of your income above the threshold |
4 + | 23.0% of your income above the threshold | $8,801 + 9.5% of your income above the threshold |
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The CCB payment period starts in July and ends in June every year. Generally, you should receive your first payment 8 weeks after sending your online application and 11 weeks if you send it by mail. The CCB payments will be sent out to qualified applicants on the following dates:
Canada Child Benefit (CCB) Payment Dates in 2023 |
January 20, 2023 |
February 20, 2023 |
March 20, 2023 |
April 20, 2023 |
May 19, 2023 |
June 20, 2023 |
July 20, 2023 |
August 18, 2023 |
September 20, 2023 |
October 20, 2023 |
November 20, 2023 |
December 13, 2023 |
There are two ways to apply for the CCB: through birth registration or an application with the CRA.
The first method requires completing paperwork at the hospital or medical centre where your child was born. You can fill out and submit this information when you register the birth of your child. If you live in Ontario, British Columbia, or Quebec, you can complete the registration process online. Ensure you give your consent and provide all the necessary details to the Vital Statistics Agency so it can pass on your information to the CRA.
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If you didn’t apply for the CCB upon your child’s birth, you can do so online through the CRA website. Simply log in to your personal CRA account, confirm your details, and provide the required information on your child, such as their name, date of birth, etc.
If you opt to apply by mail, you’ll have to fill out form RC66 and send it to a local tax center. You may also need to include additional documents with your application, depending on your circumstances:
The CCBYCS is an extra tax-free payment that families received for expenses in 2021. If you want to claim retroactive payments, you and, if applicable, your common law partner/spouse must have an assessed 2019 and 2020 tax and benefit return. The last day to comply for any retroactive CCBYCS payment is December 23, 2023.
As mentioned, the maximum you can receive is $1,200 per child for the year. Depending on your income level you can expect to receive:
Family Net Income | CCBYCS Payment Amount |
$120,000 or less | $300 per child |
Above $120,000 | $150 per child |
The CCB is a program that you should investigate if you have children or plan to in the near future. It’s easy to apply for, and you can expect regular monthly payments for as long as you remain eligible. Also, utilizing the CCB won’t disqualify you from other income support benefits, such as the GST/HST rebate and disability tax credit. Having access to extra funds when raising a family is always helpful, so ensure you take advantage of the CCB as well as its provincial equivalents.
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