January is often a tight financial month for Canadians, but if you're working and earning a lower income, some relief could be on its way.
A major government payment from the Canada Revenue Agency is set to arrive next week, and for many eligible workers, the amount could make a real difference.
The Canada Workers Benefit offers financial support to people who are employed but earning a low income. It's meant to ease the pressure of rising costs, and depending on your household situation, the payout can be substantial.
Hundreds of workers across the country will receive this payment, and in certain cases, the benefit can be boosted even higher — especially if you qualify for the disability supplement or live in Quebec, Alberta or Nunavut, where different rates apply.
This Canada Workers Benefit instalment marks the final advance payment for the current 2025-26 benefit cycle. After this, the next CWB money you'll see will come as part of your tax refund when you file your tax return this spring — that portion represents about 50% of your total yearly benefit.
Once tax season wraps up, a new benefit cycle will begin in July, with payment amounts increasing by 2.7% to match inflation.
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Here's everything to know about the Advanced Canada Workers Benefit payments for January 2026, including eligibility, timing and how much you could receive.
What is the Canada Workers Benefit?
The Canada Workers Benefit (CWB) is a refundable federal tax credit that helps working Canadians with lower incomes. It's structured to provide support whether you're single or supporting a family.
The benefit includes two parts: a base amount available to all qualifying workers, and a separate disability supplement for those approved through the Disability Tax Credit program.
What is the Advanced Canada Workers Benefit?
The Canada Revenue Agency distributes the CWB through four separate payments. You'll receive half of your total benefit split into three instalments called the Advanced Canada Workers Benefit (ACWB), paid out in July, October and January. The remaining half comes in your tax refund when you file your taxes.
The advance payments give you access to some of your money earlier in the year instead of waiting until you submit your tax return. If you're approved for the disability supplement, half of that is also paid out through these instalments.
Getting the ACWB doesn't require any special application. You simply need to meet the CWB requirements and be a Canadian resident on the first day of the payment period. The CRA processes everything automatically using information from your latest tax filing.
Who is eligible for the Canada Workers Benefit?
To qualify for the CWB, you need to be a Canadian resident for the full year and have reached 19 years of age by December 31, though exceptions exist if you're in a common-law relationship or have children. Working income is required, and your family's total income must stay under specific provincial thresholds.
In most provinces, single individuals qualify with earnings up to $36,749. Families — including couples and single parents — can earn up to $48,093. If you live in Alberta, Quebec or Nunavut, these thresholds will look different.
You also won't be eligible if you attended school full-time for over 13 weeks (with exceptions for those with eligible dependants), spent 90 or more days incarcerated, or have tax-exempt status due to diplomatic privileges.
The disability supplement requires approval for the Disability Tax Credit along with a current Form T2201 filed with the CRA. The supplement also has higher income limits, meaning some people who don't qualify for the base CWB may still receive disability payments.
How to apply for the Canada Workers Benefit
There's no standalone application for the CWB — you claim it directly on your income tax return.
Online tax software typically guides you through the process step by step. Paper filers need to fill out Schedule 6 and submit it with their return.
The disability supplement has its own claiming rules. When only one partner qualifies for the DTC, that individual should claim both the basic CWB and disability portion. If both partners have DTC approval, split the base amount by having one person claim it, while each completes their own Schedule 6 for the disability supplement.
You don't need to do anything special to receive advance payments. File your return before November 1 of the benefit period, and if you qualify, the CRA automatically issues your ACWB payments quarterly.
How much is the Canada Workers Benefit?
Your CWB amount varies based on your income level, household situation and province or territory. For the current benefit year, maximum annual amounts are:
- $1,590 for individuals without dependants (decreasing when income exceeds $26,149 and phasing out completely above $36,749)
- $2,739 for households with a partner or children (decreasing at $29,833 and ending at $48,093)
The disability supplement adds up to $821 annually for eligible individuals and families, with higher income cut-offs:
- Single recipients see reductions starting at $36,748, and the benefit ends completely at $42,222.
- Family reductions begin at $48,091, with upper limits varying by household — $53,565 for one qualifying individual or $59,038 when both partners qualify.
Since the advance payments are made up of half your annual total, split across three payments, each instalment maxes out at approximately:
- $265 for single filers, or
- $456.50 for families with dependants, plus
- $136.83 for the disability supplement
A family with two adults qualifying for disability support could receive as much as $730.16 this month.
Actual amounts differ by situation and location — Quebec, Alberta and Nunavut follow distinct rates and income limits. The CRA's benefits calculator can estimate your potential payment.
Is the Canada Workers Benefit taxable?
No — the Canada Workers Benefit isn't considered taxable income. As a refundable tax credit, it works to reduce what you owe or provides a refund when no tax is owed.
Advance payments received throughout the year remain tax-free as well. This money won't be counted as income on your next tax return.
Advanced Canada Workers Benefit payment dates
The upcoming Advanced Canada Workers Benefit payment arrives on Monday, January 12.
This marks the final advance payment for the 2025-26 benefit cycle. Your next CWB money will come with your tax refund after you file your 2025 return this spring — the exact date varies depending on when you submit your filing.
Following tax season, a new benefit cycle launches, with the remaining two payments of the year scheduled for Friday, July 10 and Friday, October 9.
The CRA typically issues ACWB payments on the 12th of January, July and October each year. When that date lands on a weekend or holiday, the payment goes out on the last business day before the 12th — which is why all three 2026 instalments arrive slightly earlier.
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