Madison
The Canadian Federal Government’s new Canada Disability Benefit (CDB) is set to provide monthly financial support to working-age Canadians with disabilities.
Launching in mid-2025, this initiative aims to reduce poverty among eligible persons aged 18 to 64, beginning June 2025 for eligibility and payments from July 2025.
This article covers everything you need to know about eligibility, payment amounts, application timing, and how to prepare to apply.
What Is the Canada Disability Benefit?
The CDB is a newly introduced federal benefit administered by Service Canada and supported by the Canadian budget. It offers direct payments to adults (18-64) with disabilities who meet tax and residency requirements.
The program is designed to supplement, not replace, existing provincial/territorial disability supports, and address financial hardship linked to disability-related expenses.
Eligibility Requirements for 2025 (Canada Disability Benefit)
To be eligible for the benefit, applicants must meet all of the following:
- Be aged 18 to 64 at the time of application (with special rules if turning 65 shortly).
- Be a Canadian resident for tax purposes and hold one of the qualifying statuses (citizen, permanent resident, protected person, registered under the Indian Act, or a temporary resident with at least 18 months’ residence).
- Have been approved for the Disability Tax Credit (DTC).
- Both you and, if applicable, your spouse or common-law partner must have filed your 2024 federal income tax return.
- Not be serving a federal sentence of 2 years or more (except eligibility for first and last month of incarceration).
These criteria ensure the benefit targets those already formally recognised for disability support and filing taxes.
Payment Amounts & Timing For the Canada Disability Benefit
Here’s how the CDB payments are structured:
| Item | Detail |
|---|---|
| Maximum monthly payment | $200 CAD per month (approx.) |
| Maximum annual payment | $2,400 CAD per year (for July 2025–June 2026 period) |
| First eligibility month | June 2025 |
| First payment month | July 2025 (for applications received & approved by June 30) |
| Back-payment period | Up to 24 months back until June 2025 eligibility begins |
| Income-tested benefit | Payment amount reduces above income-thresholds |
For example, if you filed your 2024 tax return and were approved for DTC, and you apply by June 30 2025, your first payment will arrive in July and include any back-payments from June if applicable.
How to Apply & What to Expect (Canada Disability Benefit)
The application process is designed to be accessible:
- Applications open in June 2025 (online, phone or in-person at Service Canada).
- Applicants should have their Social Insurance Number (SIN) ready, direct-deposit banking details, proof of approved DTC status, and a filed 2024 tax return.
- After submitting, you’ll receive confirmation of receipt; once approved your payments will begin on the third Thursday of the month following approval.
- If you are already receiving provincial disability supports it’s important to verify whether the CDB will be exempt from claw-backs in your province (some provinces have declared exemption).
Effects of Income & Other Support (Canada Disability Benefit)
The CDB is income-tested: your adjusted family net income will determine how much of the full payment you receive.
Working income up to a certain exempt amount (e.g., $10,000 if single) is excluded before reduction begins. The benefit will not fall if the cost of living decreases — it will stay stable or rise with inflation.
In provinces such as British Columbia, the CDB will not reduce existing provincial disability/income-assistance payments, meaning recipients can keep the full federal payment and their provincial supports simultaneously.
The Canada Disability Benefit in 2025 offers a meaningful step toward improving financial security for Canadians aged 18-64 living with disabilities.
With up to $200/month, applications opening mid-2025, and the first payments arriving in July, eligible individuals should prepare now — ensure your DTC is approved, your 2024 taxes are filed, and you have banking and SIN details ready.
While this benefit doesn’t replace provincial programs, it boosts income and in some provinces avoids claw-backs altogether. If you qualify, the CDB represents a monthly support you don’t want to miss.
FAQs
When will I receive my first payment for the Canada Disability Benefit?
If your application is approved by June 30 2025, your first payment will be in July 2025, arriving on the third Thursday of that month.
How much can I receive from the Canada Disability Benefit?
The maximum amount is about $200 CAD per month, or $2,400 CAD per year (for the period July 2025–June 2026). The exact amount depends on your income.
Do I need the Disability Tax Credit (DTC) to apply?
Yes — you must be approved for the DTC before you apply for the CDB. Without a valid DTC approval you won’t meet the eligibility criteria.