A new wave of government payments for Canadians is rolling out this month — and if you’re a low-income worker, there’s a good chance you’re in for a bit of a boost.
The Canada Workers Benefit (CWB) is back for another round of advance payments, and the July 2025 instalment could bring even more money than usual thanks to some annual updates from the Canada Revenue Agency (CRA) for the start of the new benefit year.
Starting in July, most income-tested government payments get recalculated based on your 2024 tax return. So if your income or personal situation shifted last year, your eligibility or payment amount could shift too — possibly in your favour.
Plus, the CRA adjusts the benefit every year to account for inflation, and this year’s CWB is actually getting a bigger bump than most other payments.
Here’s a breakdown of what to expect from the July 2025 Advanced Canada Workers Benefit payment, including who qualifies and how much money could be heading your way.
What is the Canada Workers Benefit?
The Canada Workers Benefit (CWB) is a refundable tax credit that helps individuals and families earning a low income. It’s meant to support Canadians who are working but still facing financial challenges.
The benefit includes two parts: a basic amount available to eligible workers, and a disability supplement.
What is the Advanced Canada Workers Benefit?
The Advanced Canada Workers Benefit (ACWB) gives eligible Canadians early access to part of their CWB before tax time.
Instead of waiting until tax time for your benefit, the CRA automatically sends out up to 50% of your total benefit in advance — spread across three payments each year. If you’re also eligible for the disability supplement, half of that amount will be included in your advance payments too.
To qualify for these early payments, you need to be eligible for the CWB and living in Canada on the first day of each payment quarter. There’s no need to apply separately for advance payments — they’re issued automatically based on your most recent tax return.
Who is eligible for the Canada Workers Benefit?
To qualify for the Canada Workers Benefit (CWB), you must meet several basic conditions. You need to be a resident of Canada for the entire year and at least 19 years old by December 31 — unless you live with your spouse, common-law partner or child. You also must earn working income and have a family net income below the limit for your province or territory.
Income limits vary by location and household type — for example, a single worker without children can earn up to $36,749 in most provinces, while that limit rises to $48,093 for families.
You’re not eligible for the CWB if you were a full-time student for more than 13 weeks during the year (unless you had an eligible dependant on December 31). The benefit is also off-limits if you were incarcerated for 90 days or more, or if you don’t pay Canadian taxes due to diplomatic status or a similar exemption.
To be eligible for the disability supplement, you must qualify for the Disability Tax Credit (DTC) and have an approved Form T2201 on file with the CRA. There’s also a separate, higher income threshold for the supplement — so even if your income is too high to get the base payment, you could still be eligible for the supplement.
How to apply for the Canada Workers Benefit
You don’t need a separate application to get the Canada Workers Benefit — just claim it when you file your taxes.
If you’re filing online, your tax software will guide you through the steps automatically. For paper returns, you’ll need to fill out Schedule 6 and include it with your completed tax package.
If you’re eligible for the disability supplement, the process depends on your situation. If only one person in a couple qualifies for the DTC, that person should claim both the basic CWB and the disability supplement. If you both qualify, only one of you can claim the basic amount — but each of you should fill out your own Schedule 6 to claim the disability supplement.
Advance payments under the ACWB are handled automatically. If your tax return — including line 45300 — shows you’re entitled to the CWB, and it’s filed before November 1 of the benefit period, the CRA will take care of the rest.
How much is the Canada Workers Benefit?
The amount you receive from the Canada Workers Benefit depends on your income, household situation and where you live in Canada.
For the 2024 tax year, the maximum basic CWB amount is:
- $1,590 for single individuals, with payments starting to reduce when your income goes over $26,149. You won’t receive the benefit at all if your income is above $36,749.
- $2,739 for families, which includes couples and single parents. This amount begins to decrease once your adjusted family net income is more than $29,833 and cuts off completely at $48,093.
If you’re eligible for the disability supplement, you could receive up to an additional $821:
- For single individuals, the reduction starts at $36,748 and phases out entirely at $42,222.
- For families, the payments start reducing at $48,091, and the income cap depends on how many people in the household qualify. If only one spouse is eligible, payments stop at $53,565. If both are eligible, the cut-off rises to $59,038.
Since the Advanced Canada Workers Benefit is paid out in three instalments over the year, the July 2025 payment could be up to:
- $265 if you’re single, or
- $456.50 if you have a spouse, common-law partner or dependant(s), plus
- $136.83 more if you qualify for the disability supplement
The actual amount you receive will vary depending on your specific situation, and these figures are based on federal amounts — residents of Quebec, Alberta and Nunavut have different maximums and income limits. You can check the CRA’s benefits calculator to get an estimate tailored for you.
Is the Canada Workers Benefit taxable?
No, the Canada Workers Benefit is not considered taxable income — in fact, it’s the opposite. It’s a refundable tax credit, which means it’s meant to either reduce your taxes owing or give you a refund if you don’t owe anything. So even if you receive advance payments during the year, you won’t be taxed on that money.
When are the Canada Workers Benefit payment dates?
The next Advanced Canada Workers Benefit payment is set for next Friday, July 11.
This marks the first instalment for the current benefit cycle. Two more advance payments will be sent out this cycle, scheduled for:
- October 10, 2025
- January 12, 2026
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