Canada’s new Disability Benefit, launching in June 2025, is a major step toward improving the financial well-being of people living with disabilities. This federal program offers up to $2,400 per year—or $200 per month—to eligible Canadians. It’s designed to reduce poverty, support independence, and ease the financial pressures that come with living with a disability.
Whether you’re applying for yourself or helping a loved one, this guide covers everything from eligibility to application tips so you can get the most out of this new support.
Overview
This benefit complements existing disability supports and is available nationwide, regardless of your province or territory. The payments are non-taxable and income-tested, meaning lower-income individuals receive the full amount.
Here’s a quick breakdown of the core details:
| Feature | Details |
|---|---|
| Annual Amount | Up to $2,400 ($200/month) |
| Eligibility Age | 18 to 64 years |
| Income Thresholds | Starts reducing at $23,000 (single), $32,500 (couples) |
| Working Income Exemption | $10,000 (single), $14,000 (couples) |
| Application Options | Online, mail, in-person, or by phone |
| First Payments Begin | June 2025 |
| Official Resource | Government of Canada Website |
Purpose
Living with a disability often comes with higher expenses—medical equipment, accessible transportation, home modifications, and more. The Canada Disability Benefit (CDB) helps address those costs and reduce financial stress.
This program is not meant to replace provincial disability supports but rather to add a new layer of federal assistance for eligible individuals. It’s a long-awaited move toward greater equity and inclusion.
Eligibility
To qualify for the CDB, applicants must meet a few key conditions:
1. Age and Residency
- Must be between 18 and 64 years old
- Must be a resident of Canada as defined by the Income Tax Act
2. Disability Tax Credit (DTC)
You must have a valid DTC certificate. This proves that you live with a severe and prolonged impairment that affects daily functioning. Common qualifying conditions include:
- Chronic pain
- Mobility limitations
- Cognitive impairments
- Neurological or mental health conditions
If you don’t already have a DTC, ask your healthcare provider to complete and submit Form T2201 to the Canada Revenue Agency (CRA).
3. Status in Canada
You can apply if you are:
- A Canadian citizen
- A permanent resident
- A protected person under immigration laws
- A temporary resident with 18 months of valid stay
- Registered under the Indian Act
4. Tax Filing Requirement
You must have filed your income tax return for the most recent year. This helps determine your income level and benefit eligibility.
Payment Amounts
The maximum benefit is $2,400 per year, but how much you actually receive depends on your income and household status.
Income-Based Reductions
- Singles: Payments start reducing at $23,000, reduced by 20 cents for every dollar over.
- Couples: Reductions begin at $32,500, reduced by 20 cents per dollar.
- Both partners receiving CDB: Reduction is 10 cents per dollar of income over $32,500.
Working Income Exemptions
You can earn up to a certain amount without affecting your benefit:
- Singles: First $10,000 is exempt
- Couples: First $14,000 is exempt
These rules encourage people to participate in the workforce without penalty.
How to Apply
The application process is designed to be simple and accessible. Here’s what to expect:
Step 1
You’ll need:
- A valid DTC certificate
- Proof of identity (e.g., SIN)
- Most recent tax return
- Proof of Canadian residency
Step 2
- Online: Through the Service Canada website using your GCKey or Sign-In Partner
- By Mail: Download the form, fill it out, and send it in
- In-Person: Visit a Service Canada Centre for help
- Phone: Call Service Canada to apply over the phone with an agent’s help
Step 3
Double-check your form to make sure everything is correct. Incomplete applications can slow down your approval. After submitting, you can track your application status through your My Service Canada Account.
Step 4
If Service Canada needs more documents or clarification, respond quickly to keep your application moving.
FAQs
When do CDB payments start?
Payments begin in June 2025.
How much is the monthly CDB?
Up to $200 per month.
Do I need a DTC to qualify?
Yes, a valid DTC certificate is required.
Is the benefit taxable?
No, CDB payments are non-taxable.
Can I work while getting CDB?
Yes, income up to a limit is exempt.
