In a significant move to support Canadian families, the Canada Child Benefit (CCB) is set to increase in July 2025 for the 2025-2026 benefit year. This change, an inflation-based adjustment of approximately 2.7%, will see maximum monthly payments rise to $666 per child under 6 and $562 for children aged 6 to 17. This increase offers much-needed relief to families facing rising living costs and inflationary pressures.
Here’s a detailed breakdown of the upcoming changes, including eligibility, how payments are calculated, new income thresholds, the Child Disability Benefit (CDB) payment, and the updated CCB payment schedule.
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What is the Canada Child Benefit (CCB)?
The Canada Child Benefit (CCB) is a tax-free monthly payment provided by the Canada Revenue Agency (CRA) to help families with children under 18 years old. Launched in 2016, it replaced earlier programs such as the Universal Child Care Benefit (UCCB) with a more targeted approach aimed at reducing child poverty and supporting families with essential expenses like food, clothing, and housing.
The CCB is income-tested, meaning the amount families receive depends on their annual income. This structure ensures that the families who need the most help receive the highest benefit. The CCB continues to be a vital element of Canada’s social support system, benefitting millions of households each year.
Full Details of the Mid-2025 Payment Increase
In response to inflationary pressures, the CCB will see a 2.7% increase, effective July 2025. This adjustment aligns with the Consumer Price Index (CPI), ensuring that benefits keep pace with the rising cost of living.
For the 2025-2026 benefit year, the new maximum monthly payment amounts will be:
- Children under 6: $666.42 per month
- Children aged 6 to 17: $562.33 per month
This increase, calculated based on 2024 tax returns, will automatically adjust payments for eligible families, starting in mid-2025. This change comes at a crucial time when Canadian households are grappling with inflation and rising living expenses.
Eligibility Criteria for the CCB
To be eligible for the CCB, the following criteria must be met:
- Residency: You must be a Canadian resident for tax purposes, which includes citizens, permanent residents, protected persons (e.g., refugees), and some temporary residents.
- Care Responsibility: You must live with the child and be the primary caregiver.
- Child’s Age: The child must be under the age of 18.
Eligibility for Temporary Residents and New Immigrants
- Temporary Residents: You qualify if you have lived in Canada for at least 18 consecutive months and hold a valid permit (e.g., work or study permit) in the 19th month. Some exclusions apply, such as permits that do not confer status.
- New Immigrants: Permanent residents can qualify immediately upon arrival. Other immigrants (e.g., refugees) may need to establish their residency status. Retroactive payments are available for up to 10 years if eligibility was missed.
To determine eligibility, families must file annual tax returns, which are used to calculate the adjusted family net income (AFNI).
How Is the CCB Payment Calculated?
The amount families receive from the CCB depends on their adjusted family net income (AFNI) and the number of children in their care. For the 2025-2026 benefit year, the CCB payment will be calculated as follows:
Maximum Benefit:
- Children under 6: $7,997 annually ($666.42 monthly)
- Children aged 6 to 17: $6,748 annually ($562.33 monthly)
Income Threshold:
- Families with an AFNI of $37,487 or less qualify for the maximum benefit.
- The benefit gradually reduces for families with an AFNI over this amount.
For families with an income above the threshold, the CCB reduces as follows:
- For incomes between $37,487 and $81,222, the reduction rate is approximately 13.5% for certain family sizes.
- For incomes above $81,222, the reduction rate increases to 5.7%.
The CRA provides an online calculator to help families estimate their CCB payments.
How to Apply for the CCB?
Applying for the CCB can be done in several ways:
- Online: Apply through the CRA My Account. You’ll need to register, verify your identity, and submit required information.
- Mail: Complete Form RC66 (Canada Child Benefit Application) and, if necessary, Form RC66SCH (for status in Canada/income information). Mail these to your local tax center.
- Newborns: For babies born in Canada, you can apply through provincial birth registration, often at the hospital. Processing typically takes about 8 weeks.
Late applicants must provide supporting documents like birth certificates or immigration documents. Once approved, payments will begin the next month and may include retroactive amounts.
All The CCB Payment Dates for 2025
CCB payments are generally issued on the 20th of each month, except when the 20th falls on a weekend or holiday. Here’s the 2025 schedule:
- January 20, 2025
- February 20, 2025
- March 20, 2025
- April 17, 2025 (adjusted for Easter)
- May 20, 2025
- June 20, 2025
- July 18, 2025 (adjusted for weekend)
- August 20, 2025
- September 19, 2025
- October 20, 2025
- November 20, 2025
- December 12, 2025 (adjusted for holidays)
The Child Disability Benefit (CDB) Overview
In addition to the CCB, families with children under 18 who are eligible for the Disability Tax Credit may also receive the Child Disability Benefit (CDB). This is a tax-free monthly benefit aimed at supporting families with extra costs related to disabilities.
For the 2025-2026 benefit year, the CDB will increase by 2.7%, bringing the annual payment to $3,411, up from $3,322 in 2024-2025.
New CCB Changes Effective January 2025
As of January 2025, an important policy change ensures that CCB and CDB payments will continue for six months after the death of a child. This extension helps families manage additional costs associated with the loss of a child, including funeral expenses.
Additionally, provincial benefits (e.g., the BC Family Benefit) may be combined with the CCB, providing extra financial assistance to low- and middle-income families.
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March 2025 Government Benefits: Payment Dates, Application Details, and Amounts
How Much is the CCB Increase in 2025?
The CCB increase in 2025 means families can receive up to the following amounts based on their child’s age and family income:
- Under 6: $666.42 per month ($7,997 annually)
- 6 to 17: $562.33 per month ($6,748 annually)
What is the New Income Threshold for Maximum CCB Benefits in 2025?
To receive the maximum CCB benefit in 2025, your adjusted family net income (AFNI) must be below $37,487. Families with an AFNI above this threshold will receive reduced payments.
This mid-2025 increase to the Canada Child Benefit underscores Canada’s commitment to supporting families during challenging economic times. With an automatic increase, transparent eligibility criteria, and simple application processes, the CCB continues to be a critical financial lifeline for millions of Canadian households.