Canadians will get bigger ACWB payments from the feds in July
Eligible Canadians will get a larger Advanced Canada Workers Benefit (ACWB) payment from the government next month.
The ACWB is an advanced payment of the Canada Workers Benefit (CWB), a refundable tax credit that eligible individuals can claim on their tax return. It aims to help individuals and families who are working and earning a lower income.
Canadians who are entitled to the CWB on their tax return will receive advanced payments of up to 50 per cent of the CWB issued under the ACWB. These are issued automatically across three payments throughout the year.
The payment is usually made on the 12th, but since it falls on a Saturday in July, the next payment is scheduled for Friday, July 11.
You are eligible if:
- You’re over 19 years old on December 31, or live with a spouse or common-law partner or your child,
- You’re a resident of Canada throughout the year, and
- You’re working but earning less than the net income level set for your province or territory of residence
How much can you receive from the ACWB?
The ACWB is set to increase next month, marking the start of the new benefit year.
Several benefits will increase by 2.7% due to indexation.
The maximum basic amount for the CWB will now be $1,633 (up from $1,590) for single individuals; meanwhile, families can receive up to $2,813 (up from $2,739).
The maximum disability supplement amount is $843 (up from $821) for individuals and families, based on adjusted net income.
The maximum basic and disability CWB payment will vary for residents of Quebec, Nunavut, and Alberta.
Canadians eligible for the CWB will receive up to 50 per cent in advance payments.
“You must be a resident of Canada on the first day of the quarter to be eligible for the advanced payments,” states the federal government.
You can use the child and family benefits calculator to estimate your advanced payment amount.
Eligible Canadians don’t need to apply for the ACWB because the Canada Revenue Agency (CRA) determines your eligibility when you file your tax return.
This isn’t the only increased benefit Canadians will receive from the government next month. Expect larger GST credit and Canada Child Benefit payments to land in your bank account in July, as well.