What You Need to Know About the Canada Disability Benefit

If you or your loved one lives with a disability, it can come with many additional costs and financial considerations. Some federal government programs are designed to ease the weight of these extra expenses, especially for lower income individuals and families.

For example, the Disability Tax Credit (DTC) offers a tax-free benefit to disabled adults. If you already receive the DTC, you may also qualify for the new Canada Disability Benefit (CDB).

Read on to find out the latest on the DTC and CDB, along with who's eligible for these benefits, how to apply, and the amount you could receive.

What is the Canada Disability Benefit?

The purpose of the Canada Disability Benefit (CDB) is to provide tax-free financial assistance to working-age adults with disabilities. Service Canada—which is part of the federal government—manages the program. Its goal is to help alleviate any financial hardship that may be experienced by disabled individuals.

Who is eligible for the Canada Disability Benefit?

To qualify for the Canada Disability Benefit program, you’ll need to be: 

• A Canadian resident, a permanent resident, an individual registered under the Indian Act, a protected person, or a temporary resident who lived in Canada for the past 18 months 
• Between the ages of 18 and 64
• Already approved for the Disability Tax Credit (T2201 Form is required)
• Have filed your most recent income tax return (or have a spouse or common-law partner who has)
• Have a certain income that doesn't exceed a certain threshold.

How much can you receive from the credit?

The maximum Canada Disability Benefit amount you can receive is $200 a month. For example, from July 2025 to June 2026, you may receive up to $2,400 ($200 x 12 months = $2,400).

When you submit your application, you may receive back payments for up to 24 months (which dates back to July 2025). Going forward, Service Canada will adjust the amount annually to account for inflation.

How your income affects your disability benefit amount

The amount you’re eligible to receive is based on your adjusted family net income, which is your family’s net income that factors the Registered Disability Savings Plan (RDSP) income received or repaid.

Also, you can claim a working income exception which is up to $10,000 for singles, and up to $14,000 for couples.

If your household income exceeds a certain threshold, you may not be eligible for payments.

Here's an overview of the income thresholds:

Are CDB payments counted as income?

Disability benefits are not considered taxable income, which means they should not reduce your eligibility for other federal benefits. As a result, the Canada Disability Benefit will not impact other disability support payments across all provinces and territories—except for Alberta. If you live in Alberta, you can learn more about disability benefits here.

When will the CDB begin?

The program began accepting new CDB applications as of June 20, 2025. This is welcome news for those eager to fill out their application form and begin receiving CDB payments now.

What's the application process for the CDB?

To ensure a smooth process, you'll need to collect some pertinent information needed for the application form.

Step 1—Gather the following information:

• Your Social Insurance Number (SIN) 
• Your residency status in Canada
• Your mailing address 
• The unique application code, if you received a letter from Service Canada
• The net income (line 23600) from your 2024 Notice of Assessment (NOA), if you didn’t receive a letter from Service Canada
• Direct deposit information (optional, but highly recommended for fast and efficient payments to your account)

Step 2—These are the options for filling out and submitting your Canada Disability Benefit application: 

• Online application portal (recommended)
• By phone at 1-833-486-3007
• In person at a Service Canada Centre
• By mailing in a printed form

How to know if you're approved

If you applied on your own, it may take up to 28 calendar days to receive the letter regarding the eligibility decision. However, if a legal representative applies on your behalf, it can take up to 49 calendar days to receive the decision letter due to Service Canada verifying the legal authority and ensure that there's no fraudulent activity.

What to do if you're not approved

If you disagree with the eligibility decision, payment amount, or believe an error has been made, you can request reconsideration, which you'll be required to fill out a form.

Be sure to submit your request within 180 days of receiving your decision letter. Otherwise, you’ll need to explain why you were unable to submit your request within the 180 days.

When are the Canada Disability Benefit payment dates?

If you are approved, you’ll begin receiving payments the following month. Payments are issued on the 3rd Thursday of each month. Also, you can choose to accept payments by direct deposit or cheque.

For instance, if you’re approved in September 2025, then you’ll start receiving payments on October 16, 2025. Also, the payments will be back-dated to July 2025. 

Be sure to save these CDB payment dates in your calendar:

Please note that if your total yearly payment is less than $240 ($20 per month x 12 months = $240), you'll receive a single lump sum payment for the whole year instead of monthly payments.

Other disability credits and benefits

There are other benefits available to disabled adults in Canada. Here are a few to note: 

• Disability Tax Credit (DTC). A non-refundable tax credit that assists people with disabilities—or a family member—to lower the amount of income tax they may owe
• Child Disability Benefit. A tax-free benefit for families caring for a child with a disability
• Registered Disability Savings Plan (RDSP). A long-term savings plan to help Canadians with disabilities save for their future

Improving your financial security

People living with disabilities often face physical, emotional, and financial challenges. With the launch of the new Canada Disability Benefit program, many individuals and families across Canada will be able to afford their daily living costs. 

Service Canada is accepting applications now. So, be sure to submit yours promptly to start receiving these benefits as soon as possible.

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