Canada's groundbreaking $2,400 disability benefit launches June 20; Who qualifies, how to apply, and what they're not telling you
Starting June 20, eligible Canadians with disabilities can apply for the Canada Disability Benefit, a federal program providing up to $200 monthly. Aimed at those with the Disability Tax Credit, the benefit seeks to alleviate poverty, with payments beginning July 2025. While praised as a crucial step, concerns remain about eligibility restrictions and potential provincial clawbacks.
Tired of too many ads?
Remove Ads
Letters mailed
Tired of too many ads?
Remove Ads
Eligible Canadians living with disabilities will be able to apply for the long-anticipated Canada Disability Benefit (CDB) starting June 20, a new federal financial support program aimed at lifting thousands out of deep poverty.Announced as part of the federal government's Disability Inclusion Action Plan, the CDB will provide up to $200 per month or $2,400 annually, from July 2025 through June 2026. This landmark benefit targets working-age adults between 18 and 64 who qualify for the federal Disability Tax Credit (DTC) and have filed a 2024 tax return with the Canada Revenue Agency. If applicable, their spouse or common-law partner must also have filed their return.Letters are being mailed to potentially eligible individuals throughout June. These include a unique code and instructions on how to apply. However, those who do not receive a letter may still apply by providing their Social Insurance Number, 2024 net income (line 23600 on the notice of assessment), and direct deposit details.Applications can be made online, by phone, or in person at any Service Canada location. The government emphasizes direct deposit as the preferred method to ensure quicker and more reliable payments. Applications received and approved by June 30 will qualify for the first round of payments, expected to begin in July.Behind the policy rollout are real lives waiting for relief. Laura Chen, 28, from Vancouver, lives with rheumatoid arthritis and describes her financial struggles as 'a constant balancing act.' She said the promise of the new benefit brought her to tears. '$200 might not seem like much, but to me, it's dignity. It means not having to borrow money for groceries or wait until payday to buy medication.'The federal government has committed $6.1 billion over six years to the CDB and an additional $1.4 billion in annual funding thereafter. But critics warn that while the benefit is an important first step, its impact may be limited.Advocacy groups say the strict eligibility requirements tied to the DTC exclude many people with real disabilities. They also caution that because the CDB is not exempt from means-testing, provinces like Alberta have already announced they will reduce provincial disability assistance dollar-for-dollar—what advocates call a 'clawback.'Other provinces, including Ontario, have yet to clarify whether they will follow suit.Still, many say the program symbolizes long-overdue recognition. Eligible recipients may also receive retroactive payments for up to 24 months, though not for any period before July 2025.The rollout of the Canada Disability Benefit marks a historic moment in social policy. But its success will depend not only on how many Canadians receive it, but whether it truly brings the financial relief, autonomy, and dignity its architects envisioned.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
5 hours ago
- Time of India
Canada's new $200/month disability benefit goes live; Apply by June 30 to get paid in July
Canada's new disability benefit program begins accepting applications on June 20, 2025, offering up to $2,400 annually to eligible Canadians with disabilities who have the Disability Tax Credit. Backed by significant federal funding, the program aims to enhance financial security, with first payments scheduled for July 2025 for approved early applicants. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Canada's new disability benefit program is now accepting applications, with the first payments scheduled for July 2025. Canadians aged 18 to 64 who have already qualified for the Disability Tax Credit ( DTC ) and who filed their 2024 tax return, along with any spouse or partner, can open on Friday, June 20, 2025. Those submitted and approved by June 30 will receive their first payments in approved later will still receive their full entitlements, including back payments to June, but no program offers up to $200 per month, or $2,400 per year, with annual inflation adjustments. This amount will be reduced for higher-income and territories (except Alberta) have committed not to claw back existing disability of the federal Disability Inclusion Action Plan , the benefit aims to boost financial security for over 600,000 low-income Canadians with disabilities. It is backed by $6.1 billion over six years, with ongoing $1.4 billion annually, starting in individuals approved for the DTC will receive a letter in June with a unique code and application instructions. However, even without a letter, applicants can still apply by providing their Social Insurance Number and 2024 net incomeApplications are available online, by phone, or in person at Service Canada locations. An estimate tool is also available to help applicants calculate their expected monthly federal government is partnering with community organizations to assist applicants in navigating both the DTC and the Disability Benefit. Direct deposit is encouraged for faster Minister Patty Hajdu acknowledged that the benefit was not designed to fully sustain recipients. She said it provides increased financial autonomy and can be used flexibly alongside other income.
Economic Times
5 hours ago
- Economic Times
Canada's new $200/month disability benefit goes live; Apply by June 30 to get paid in July
Canada's new disability benefit program begins accepting applications on June 20, 2025, offering up to $2,400 annually to eligible Canadians with disabilities who have the Disability Tax Credit. Backed by significant federal funding, the program aims to enhance financial security, with first payments scheduled for July 2025 for approved early applicants. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Canada's new disability benefit program is now accepting applications, with the first payments scheduled for July 2025. Canadians aged 18 to 64 who have already qualified for the Disability Tax Credit ( DTC ) and who filed their 2024 tax return, along with any spouse or partner, can open on Friday, June 20, 2025. Those submitted and approved by June 30 will receive their first payments in approved later will still receive their full entitlements, including back payments to June, but no program offers up to $200 per month, or $2,400 per year, with annual inflation adjustments. This amount will be reduced for higher-income and territories (except Alberta) have committed not to claw back existing disability of the federal Disability Inclusion Action Plan , the benefit aims to boost financial security for over 600,000 low-income Canadians with disabilities. It is backed by $6.1 billion over six years, with ongoing $1.4 billion annually, starting in individuals approved for the DTC will receive a letter in June with a unique code and application instructions. However, even without a letter, applicants can still apply by providing their Social Insurance Number and 2024 net incomeApplications are available online, by phone, or in person at Service Canada locations. An estimate tool is also available to help applicants calculate their expected monthly federal government is partnering with community organizations to assist applicants in navigating both the DTC and the Disability Benefit. Direct deposit is encouraged for faster Minister Patty Hajdu acknowledged that the benefit was not designed to fully sustain recipients. She said it provides increased financial autonomy and can be used flexibly alongside other income.
Time of India
16 hours ago
- Time of India
A simple guide to buy a house in Canada, rules and regulations explained
Owning a home is something that every individual dreams of, but right now, it feels like a distant dream as Canada is in the middle of one of its worst housing crises. Realty prices are high, rental costs are rising, and there just aren't enough houses being built to keep up with demand. Housing Minister Sean Fraser recently said, "I think that we need to deliver more supply, make sure the market is stable. It's a huge part of our economy, but we need to be able to deliver more affordable housing." Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like The Simple Morning Habit for a Flatter Belly After 50! Lulutox Undo The government is focusing on building more houses and helping first-time buyers with new mortgage rules, tax-free savings accounts, and longer repayment plans. Despite the challenges, there are still ways for many Canadians to buy their first house. Live Events Why is the crisis happening? Governments at all levels scaled back investments in housing for decades, failing to anticipate the needs of a growing population. As planning restrictions tightened and affordability declined, Canada fell behind in building houses for future generations. Municipal fees, limited high-density zoning, and retreating federal support all added to higher construction costs and delays. While renewed investments since 2017 sparked a wave of rental projects and first-time buyer support, post-pandemic pressures, rising interest rates, a booming population, and supply-chain challenges have reignited the crisis. Rents and home prices have continued to climb, leaving many young Canadians uncertain about their future. A growing number are now questioning whether they can afford a place to live today, or if they'll ever be able to own a home at all. Solving the housing crisis Prime Minister Mark Carney and the Liberal government have launched an unprecedented $36 billion housing plan, aiming to double Canada's new construction to nearly 500,000 units per year via the new Build Canada Homes initiative . This includes direct federal development of affordable housing on public lands, $25 billion in financing for prefabricated and modular-house builders (leveraging advanced materials like mass timber), and another $10 billion in low-cost loans to spur project starts. To reduce red tape and development costs, the plan halves municipal development charges for multi-unit buildings, revives the old Multiple-Unit Residential Building (MURB) investment tax allowance, and eliminates the GST for first-time homebuyers purchasing homes under $1 million, saving some up to $50,000. The government is also extending the Housing Accelerator Fund to entice provinces and cities to fast-track zoning reforms, easing the construction of "missing middle" houses like duplexes and triplexes. New laws and policies aim to make housing permanently affordable across Canada's diverse communities. Ottawa has signaled a commitment to ensure no household spends more than 30 percent of its income on shelter and is targeting support for Indigenous, newcomer, racialized, disabled, and vulnerable populations. The Affordable Housing and Groceries Act (Bill C‑56) removes GST on rental developments through 2030 to incentivize affordable builds. Financial mechanisms are being modernized as first-time buyers benefit from extended 30-year amortization on new homes, while mortgage and tax structures are being reviewed to expand choice and reduce borrowing costs. Canada's national housing plan aims to restore that dream by building more homes faster, lowering costs, and supporting the most vulnerable. But solving this crisis demands a united, 'Team Canada' effort across all levels of government and community. How can you still manage to own a house? Open a First Home Savings Account First-time buyers can save up to $8,000 annually, with a $40,000 lifetime limit, and enjoy tax-free withdrawals when buying a qualifying home. This program was introduced in 2023, and it helps reduce the financial barrier to entry. Contributions are also tax-deductible. Home Buyers Plan You can withdraw up to $60,000 from your RRSP tax-free (or $120,000 for couples) to buy your first home. Withdrawals made between 2022–2025 have a five-year grace period before repayment begins. Get your mortgage pre-approved A pre-approval shows sellers you're serious and financially prepared. It locks in an interest rate for 60–130 days and gives you a clear idea of your maximum budget. Most lenders now allow fully digital pre-approvals. Different lenders have different definitions and criteria for each step they offer. Co-signer is important If your income or credit history isn't strong, a co-signer, often a parent or close relative, can help you qualify for a larger loan. But remember, they share full legal responsibility for the mortgage if you default. Maximizing the down payment A down payment is the amount of money you put towards the purchase of a home. Your mortgage covers the rest of the price of the home. If you put down at least 20 percent, you won't need to pay mortgage insurance, which can cost thousands. Even a little extra can save you a lot over time. Research local and provisional incentives In 2025, many provinces will offer financial relief for first-time buyers. Ontario provides up to $4,000 in land transfer tax rebates, while British Columbia offers a full exemption (worth up to $10,000) on the property transfer tax for homes under $525,000. Nova Scotia and PEI have first-time homebuyer grants ranging from $5,000–$10,000. Some cities also offer pilot programs with matching down payments or reduced property taxes for affordable homes. These programs can significantly reduce your upfront costs.
