Why Canada Workers Benefit Payments Are Arriving Sooner

If you receive the Canada Workers Benefit (CWB), you’ll notice a change to how the federal tax credit is delivered: recipients will get part of the benefit earlier. Previously, the CWB was claimed when filing your income tax return for a given year (for example, claiming the 2021 CWB on a return filed in early 2022), and the Canada Revenue Agency (CRA) would then confirm eligibility and issue any payment.

Starting in 2023, the CRA is issuing automatic advance payments of the benefit. The program will deliver three quarterly advance payments—the first issued on July 28, 2023—to anyone who received the CWB for the 2022 tax year. No application is required. These three payments, called the Advanced Canada Workers Benefit (ACWB), together represent 50% of the total CWB amount a recipient was eligible for based on their 2022 income. This change means eligible workers start receiving a portion of their support sooner instead of waiting until their 2023 tax filing is processed.

Chrystia Freeland, deputy prime minister and finance minister, noted in a government news release on July 27 that the CWB “tops up the income of up to 4.2 million hardworking Canadians” and emphasized the importance of delivering quicker support for low-paid and essential workers. The legislation enabling these automatic advance payments, Bill C-47, received royal assent on June 22, 2023. Bill C-47 also includes other measures from the 2023 federal budget, such as implementing the Canadian Dental Care Plan, raising RESP withdrawal limits, and measures targeting predatory lending and house flipping. The July 5 federal grocery rebate was also part of that budget package.

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What is the Canada Workers Benefit?

The Canada Workers Benefit is a refundable tax credit designed to boost the earnings of low-income workers and their families. The credit is indexed to inflation annually, and eligibility is determined by the CRA using your previous year’s tax return. The CWB is intended to help with everyday costs such as food, rent and other essentials.

For 2023, the CWB’s eligibility thresholds mean the benefit phases out at different income levels: adjusted net income reaching $35,094 for single individuals without children and $45,934 for families (including single parents) marks the point where entitlement reduces to zero. A secondary earner exemption introduced in 2021 lets the lower-income spouse or common-law partner in a two-earner couple make up to $15,239 in 2023 without reducing the household’s CWB entitlement. This means dual-earner couples can continue to qualify with family income up to $61,172.

How much is the Canada Workers Benefit?

For the 2023–24 period, the CWB provides up to $1,518 for eligible single workers and up to $2,616 for eligible families—an increase of 6.3% over 2022 entitlements, according to the government. The benefit amount decreases gradually as adjusted net income rises.

There is also a CWB disability supplement. For the 2023 tax year that supplement is $784, and if you qualify you will receive half of that amount through the automatic advance payments in 2023.

When are advance Canada Workers Benefit payments coming?

The first advance payment was issued on July 28, 2023. The remaining two scheduled advance payments are on October 12, 2023, and January 12, 2024. After you file your 2023 tax return, you will receive any remaining balance of your CWB entitlement.

If you received the CWB for 2022, you do not need to apply to get the advance payments—they will be sent automatically. If you qualify for the disability supplement, 50% of that supplement is included in the advance payments as well. If you expect a payment on one of the dates above but don’t receive it, wait 10 business days before contacting the CRA.

Canada Workers Benefit eligibility

The CWB has two main components: the basic amount and the disability supplement.

CWB basic amount

To qualify for the CWB basic amount, you must meet all of the following conditions, per the CRA:

Have working income, and your net income must be below the threshold set for your province or territory of residence
Be a resident of Canada throughout the tax year
Be at least 19 years old on December 31, or live with your spouse or common-law partner, or a child under 19

Who does not qualify for the CWB?

Certain groups are ineligible, including students enrolled full-time at a designated institution for more than 13 weeks in the year unless they have an eligible dependent on December 31; people confined to a prison or similar institution for 90 days or more during the year; and individuals who are exempt from Canadian tax because they are officers or employees of a foreign government (for example diplomats) and their family members or employees.

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CWB disability supplement

To qualify for the CWB disability supplement you must:

Be eligible for the disability tax credit with an approved Form T2201 (Disability Tax Credit Certificate) on file with the CRA
Have net income below the applicable provincial or territorial threshold

How is the CWB amount calculated?

Each year the CRA calculates your CWB using key details from your tax return, including:

Marital status and whether you have an eligible spouse or common-law partner
Your province or territory of residence
Your earned working income
Your adjusted family net income
Whether you have an eligible dependent
Whether you are eligible for the disability tax credit

The CRA offers a child and family benefits calculator to estimate the CWB and other benefits. If you do not currently receive the CWB but think you may be eligible, you can claim it when you file your next income tax return.