The Canada Disability Benefit (CDB) launches in July 2025, offering $200 per month (up to $2,400 annually) to eligible Canadians aged 18–64 with low incomes and approved for the Disability Tax Credit (DTC).
First payments kick in the month after your application is approved—so early applicants (by June 30) will receive July’s payment right away.
What Is the Canada Disability Benefit?
The Canada Disability Benefit (CDB) is a new monthly federal benefit designed to assist working-age adults with disabilities who have low incomes. As part of Canada’s Disability Inclusion Action Plan, the program aims to reduce poverty and improve the standard of living for people facing daily challenges due to disability.
The benefit amount is $200 per month, which totals $2,400 per year, and it will be adjusted annually to reflect inflation. The program officially starts in July 2025, with retroactive eligibility for those approved early.
Key Features at a Glance
Here are the main details of the benefit for quick reference:
| Aspect | Details |
|---|---|
| Benefit Amount | $200/month or $2,400 annually (July 2025–June 2026) |
| Inflation Adjustment | Indexed annually |
| Retroactive Payments | Back-pay available from June 2025 |
| Age Eligibility | 18 to 64 years |
| Tax Filing Requirement | Must file 2024 federal tax return (self and spouse/partner) |
| DTC Requirement | Must be approved for the Disability Tax Credit (DTC) |
| Residency Criteria | Must be a Canadian tax resident |
Who Qualifies for the CDB?
To qualify for the monthly $200 Canada Disability Benefit, applicants must meet all of the following criteria:
- Be 18 to 64 years old
- Be approved for the Disability Tax Credit (DTC)
- Have filed their 2024 income tax return
- Be a Canadian resident for tax purposes, including:
- Canadian citizens
- Permanent residents (PRs)
- Indigenous peoples
- Protected persons
- Temporary residents (residing in Canada for 18+ months)
- Have an adjusted family net income (AFNI) below specific thresholds
How Income Affects Your Benefit
The benefit amount is income-tested, meaning your earnings determine how much support you receive. However, a portion of income is exempted from calculations:
- Single individuals: First $10,000 of income is exempt
- Couples: First $14,000 of income is exempt
Once exempt income is deducted, the benefit decreases by $0.20 for every $1 earned over the threshold:
- Single individuals: Full benefit available up to ~$23,000 AFNI
- Couples: Full benefit available up to ~$32,500 AFNI
At higher income levels, the benefit phases out completely.
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When Will Payments Be Made?
The application portal opened on June 20, 2025. If you apply by June 30, 2025, and are approved, you’ll receive your first payment in July.
Those approved later will still get retroactive payments, but only from June 2025 onward—not before.
Monthly payment schedule is set for the third Thursday of every month:
- July 17
- August 21
- September 18
- October 16
- November 20
- December 18
You can receive funds via direct deposit (recommended) or cheque.
How to Apply for the Canada Disability Benefit
Before applying, make sure you’re approved for the Disability Tax Credit (DTC). If not, apply using CRA Form T2201 first.
Once you have DTC approval, apply through any of the following:
- My Service Canada Account (MSCA) – Online
- Phone
- In-person at Service Canada
If you’ve received a letter from Service Canada, you can use the 6-digit code provided for faster access. If not, be prepared to share your Social Insurance Number (SIN), tax information, and residency status.
For faster payments, include your direct deposit details in the application.
Processing time is generally:
- 28 days for standard applications
- 49 days if a representative is applying on your behalf
How the CDB Can Help You
The Canada Disability Benefit is expected to support Canadians in covering basic living expenses. Common uses of the monthly $200 include:
- Housing and rent
- Groceries and nutrition
- Transportation
- Health and medical costs
- Clothing and personal care
This benefit is not just financial relief—it’s about improving quality of life and independence for Canadians living with disabilities.
Missed the Deadline? Don’t Worry
If you missed the June 30, 2025 deadline, you can still apply later and receive back-pay starting from June 2025, as long as you apply within the next 24 months.
Will the CDB Affect Other Benefits?
No. The Canada Disability Benefit is completely separate from other federal benefits. It will not reduce your entitlement to:
- Canada Child Benefit (CCB)
- Guaranteed Income Supplement (GIS)
- Or any other provincial or federal support programs
How Quickly Will You Get Paid?
After approval, payments are disbursed on the third Thursday of the following month. In most cases, Service Canada processes applications within 28 days.
For example, if your application is approved in August, your first payment will be sent on September 18.
Why You Should Act Now
The Canada Disability Benefit offers an important opportunity to receive monthly financial support without impacting other benefits. By applying now and ensuring your DTC approval and tax filings are in place, you position yourself for a stable $200 monthly boost.
This is more than a government program—it’s a step toward economic security and dignity for Canadians with disabilities.
