This plan is meant to help those who are having a difficult time with the cost of inflation make life more affordable. This plan covers more than just extra payments; it also helps with things like dental care or other costs that aren’t already covered.
Who is Eligible for the Canada Affordability Plan?
This is a tough question to answer because there are so many different parts to this plan. Every piece of it has different qualifications.
Canada Workers Benefit
Those who are eligible for the CWB will receive more benefits. The exact amount is unknown, just that it is more. Those who are currently receiving these benefits are getting extra support through their 2024 tax return. This will continue every tax year.
Old Age Security
If you receive OAS, you should have gotten an increase to your existing benefits, as long as you are 75 or older. This can work out to an extra $800 per year for those who receive a full pension.
Universal Early Learning and Childcare System
This system is set to save families around 50% of what they normally pay just this year. Depending on the province that you live in, the savings will be different.
| Province | Savings |
| British Columbia | Up to $6,000 |
| Ontario | Up to $6,000 |
| Alberta | Up to $5,610 |
| Nova Scotia | Up to $4,690 |
| Newfoundland and Labrador | Up to $5,090 |
| Saskatchewan | Up to $3,910 |
| New Brunswick | $3,910 |
| Prince Edward Island | $3,390 |
| Manitoba | $2,610 |
Quebec has its own child care programs, but the government will assist with creating 37,000 new openings.
Housing Affordability Payment
It’s no secret that housing prices are higher than ever, whether you are buying or renting. Since it will take time to build more affordable housing and other issues that make it difficult to afford the current prices, the Canadian government gave $500 as a one-time payment to nearly 1 million people who are struggling to afford housing.
Canada Dental Benefit
While the government does cover health care for Canadian families, dental is usually only covered if you have some form of dental insurance. Since many Canadians avoid dental care due to the cost, if you have an annual family income of $90,000 or less, the government will help with dental coverage. As of right now, the program is available to everyone.
In order to apply for this program, you must be up to date on your taxes. This is because your approval is based on your annual household income. This will determine what your coverage is for the year.
Inflation on Government Benefits
Government benefits like the Canada Child Benefit, GST Credit, Canada Pension Plan, OAS and Guaranteed Income Supplement will be rising to reflect the current inflation. This means you will be getting more money on top of your existing benefits.
Former Climate Action Incentive Payments
Certain provinces like Ontario, Manitoba, Saskatchewan, New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, and Alberta received the Climate Action Incentive benefit payments, now referred to as the Canada Carbon Rebate, from the Canada Revenue Agency because of the government’s price on pollution.
| Province | Amount |
| Ontario | $560 |
| Manitoba | $600 |
| Saskatchewan | $752 |
| Alberta | $900 |
| New Brunswick | $380 |
| Nova Scotia | $412 |
| Prince Edward Island | $440 |
| Newfoundland and Labrador | $596 |
Keep in mind these numbers are based on amounts for an individual. A good portion of the time, families received more in incentives than they paid. The government also emphasized that as the prices for pollution increase, the benefits given would increase as well. However, this program ended in April 2025 when the federal fuel charge was cancelled.
When Does the Canada Affordability Plan Start?
The Canada Affordability Plan started in 2022, but the different phases of it will start at different times. The old age security started in July 2022, and other aspects like the one-time housing payment and the free dental care were also predicted to start in 2022. Some programs are still getting changes made to them currently, in 2026.
What is the Canada Housing Benefit Program?
This helps to provide relief to families with a net income below $35,000 or individuals with a net income below $20,000. In order to receive it, you have to apply and be approved first. The requirements are:
- Must be paying and prove you are at least 30% of adjusted net income on a place to live
- Prove that you pay rent for your primary residence and provide the address, the amount of rent that was paid in the year, as well as the landlord’s contact information.
- Consent to the CRA verifying information
Once you were approved, you would have been able to receive the payments as well as the one-time $500 top-up. This payment didn’t affect the amounts from any other government benefits you received, like the Canada Child Benefit, the Goods and Services Tax Credit and the Guaranteed Income Supplement.
How do you apply for the Canada Affordability Plan?
How you apply for this program depends on the parts of it that you qualify for. Many of the factors in this plan are government benefits that people have already applied for, and their benefit amounts will just increase. The childcare portion of it will slowly be implemented across the country and won’t be in the form of funding. You will just pay less money directly to the childcare provider.
The Canada Housing Benefit program allowed those who qualify to apply online at Canada.ca. Once you had entered your information and qualified, you’d receive the payments online.
Lastly, the Canada Dental Care Plan is based on what you earn in the previous tax year. That being said, you do still need to apply to receive the payments. You can do this over the phone or online through the Canada Revenue Agency.
Is Dental Care Currently Covered in Canada?
As we mentioned above, currently, unless you have dental benefits (either with an employer or elsewhere) or have purchased a private benefits plan, dental care will be paid out of your pocket. This is the reason a lot of people avoid it and can often end up going to the hospital when their dental issues become too bad. Many tooth infections can become dangerous and need to be treated, often with tooth removal. With this new support becoming available, hopefully, a lot of this will be dealt with.
What is the Current Goods and Services Tax credit in Canada?
In Canada, currently you can receive different amounts from the GST credit depending on if you are single, married or have any children.
| Single | $519 |
| Married/Common-law | $680 |
| Each child under 19 | $179 |
You are eligible for this benefit based on your tax return from the previous year. It is calculated based on your family net income as well as the amount of children that you have. In order to qualify, your net income must be under $54, 704. If you qualify, this payment is made every 3 months either via check or direct deposit.
Changes to the GST/HST Tax Credit
As of 2026, the GST/HST tax credit is having a name change. This credit is going to be called the Canada Groceries and Essentials Benefit. This is going to increase by 25% for the next 5 years. There’s also a one-time top-up payment that individuals are supposed to receive by June of 2026. Right now, the current income levels are in place, but this is likely to change by July.
What is Considered Low Income in Canada?
That amount that is considered to be low-income by the federal government changes over time and is defined by the median household income. If the income is less than 50% of the median low income then it is considered to be low income. This is also adjusted based on family size. A couple and a family of 5 with the same incomes would fall in different categories.
The current low-income threshold in Canada are:
| Size of Family | Low Income Threshold |
| 1 person | $27,589 |
| 2 people | $34,346 |
| 3 people | $42,224 |
| 4 people | $51,267 |
| 5 people | $58,145 |
| 6 people | $65,578 |
| 7 people | $73,011 |
| If more than 7 (each additional person) | $7,433 |
Different numbers may be used in different programs based on the province’s criteria. This, however, is the general average for Canada
Benefits Available in Ontario
Along with federal benefits like the Canada Child Benefit (CCB) and the Advanced Canada Workers Benefit (ACWB), there are provincial programs as well. In Ontario, the most common benefit is the Ontario Trillium Benefit (OTB). This benefit then consists of 3 sub-benefits. These are the Ontario Sales Tax Credit, the Northern Ontario Energy Credit, and the Ontario Energy and Property Tax Credit.
In order to receive these benefits, though, you don’t have to qualify for all three. In fact, you only need to qualify for one. However, if you do qualify for more than one, then your payment dates will be the same, and the payment amounts will be combined. Unlike other government benefits, this is also a monthly payment instead of a refundable or non-refundable tax credit.
Besides this program and federal benefits, other provincial benefits that you could receive with a low or modest income are child care subsidy as well as assistance through the Ontario Disability Support Program. This program is often also referred to as ODSP. It can be combined with the federal Canada Disability Benefit.
Alberta Low-Income Benefits
In Alberta there are a few different low income benefits available. The most popular is the Alberta Child and Family Benefit. While the Canada Child Benefit is given out in monthly installments, the ACFB is given out on a quarterly basis and different benefit payment dates.
In order to receive this benefit, because it is issued by the Government of Canada, you do have to file your income tax return. This is the normal qualification to receive federal benefits because your income affects your amount. While the idea of this benefit is to help with the cost of raising children, it is given to eligible families with low or modest incomes. However, you do have to have children to qualify.
For Canadian residents living in Alberta, there are other official government benefits that provide meaningful support. The payment amounts you receive from these programs, however, are based on your income so tax filing is important. Along with determining who are eleiglbe Canadians, it helps track cash flow for tax purposes and collect data to determine payment increases and adjustments. You have access to federal benefits like the Goods and Services Tax/Harmonized Sales Tax Credit as well as income support and AISH for those with disabilities.
The New $1200 Benefit in Canada
On January 12, 2026, it was expected that eligible seniors in Canada would receive a one time deposit of $1200. It’s for low income seniors who already receive Old Age Security and is mean to be used to offset the increased cost of living in Canada. In Alberta, there’s also a Critical Worker Benefit of $1200 that some people may automatically receive in their bank accounts.
Is the Ontario Government Giving Everyone $500?
In short, no, the Ontario Government is not giving everyone $500. However, in Janurary and February of 2025 the government mailed out $200 rebate cheques to eligible taxpayers. However, this was a one time thing and likely won’t be happening again this year.
Some other reasons you might receive a lump some of money in Ontario are the $200 top up for the Canada Child Benefit and the Ontario Senior Homeowners Property Tax Credit. This credit provides up to $500 for low to moderate income seniors. In 2023 there was also the one time Canada Housing Benefit.
Final Thoughts
With the cost of living constantly increasing, the federal government is constantly finding new ways in order to help Canadians make ends meet. This includes top-up to federal programs, new federal programs, and even changes in criteria to the current benefits. This means that you might be eligible for more or different benefits than ever before.
