With the Finance Minister Bill Morneau set to announce the country’s economic update on Tuesday, officials expect a bump in the child benefits payment made to families that qualify for it.
The Canada Child Benefit (CCB) program was introduced by the Liberals in July 2016. Under the programme, Canadian families with children below the age of 18 are entitled to a monthly payment by the Canadian government. The amount is decided on the basis of the family’s income.
Currently, the CCB pays up to $5,400 per child aged six and above and up to $6,400 per child aged below six. The amount of payments decreases once the family’s net income crosses $30,000.
The government has provided an online calculator that helps parents obtain the estimated amount of money they are eligible to receive under the program.
A family that has one child below the age of six and net income below $30,000 can be eligible for a tax-free benefit amounting to $533 per month or $6,400 per year maximum.
Things will be different for a family that has one child below the age of six and a net income of $90,000. The maximum tax-free benefit they will receive amounts to $262 each month or $3,150 a year.
On the other hand, a family that earns a net income of $150,000 and has one child aged less than six will receive a maximum tax-free benefit of $102 per month or $1,230 yearly.
In addition to these payments, families who have children that qualify for the disability payments receive an extra $227 every month from the government.
An increase in the child benefit payments will definitely be a welcome change for families with young kids. The additional amount per child added to the family’s monthly net income does make considerable difference in the lives of people who can barely make ends meet.