Canadian families relying on the Canada Child Benefit (CCB) will see slight increases in 2025 due to annual inflation adjustments. This tax-free benefit supports families in managing child-rearing costs and ensures assistance keeps up with the rising cost of living.
Starting July 2025, adjustments will reflect changes to the Consumer Price Index (CPI), and families will notice differences in their CCB payments. Curious about the updated benefit amounts? Here are the details.
What is the Canada Child Benefit (CCB)?
The Canada Child Benefit (CCB) is a tax-free monthly payment designed to help Canadian families cover their child-related costs. Eligible parents with children under 18 automatically receive this benefit, with exact amounts based on factors like income, number of children, and whether the child qualifies for the Child Disability Benefit.
The CCB has proven to be an essential support tool, lifting hundreds of thousands of children out of poverty since its implementation in 2016. By indexing payments to inflation annually, the benefit ensures families maintain purchasing power in changing economic conditions.
CCB increase 2025: Comparing new and old rates
The CCB is adjusted yearly to reflect inflation, ensuring families can keep up with rising costs. Starting in July 2025, families will see increases in their monthly and annual benefit amounts.
| Age Group | 2024-2025 Rates | 2025-2026 Rates | Annual Increase |
|---|---|---|---|
| Under 6 years | $7,802/year ($650.17/month) |
$7,997/year ($666.42/month) |
+$195 (2.5%) |
| 6-17 years | $6,583/year ($548.58/month) |
$6,748/year ($562.33/month) |
+$165 (2.5%) |
The income threshold for families to qualify for the full CCB remains at $37,487 for 2025-2026. Benefits reduce beyond this threshold, depending on adjusted family net income (AFNI) and family size.
Visual summary of CCB by child age group
- Children under 6 years: Maximum $666.42 per month ($7,997 annually). This is a $16.25 monthly increase over 2024.
- Children aged 6-17: Maximum $562.33 per month ($6,748 annually). This is a $13.75 monthly increase over 2024.
These enhanced benefits can provide extra relief to families purchasing essential items like diapers, school supplies, or extracurricular fees.
How does income affect the CCB?
The CCB payment amount decreases gradually as family income rises above the $37,487 threshold. The rates at which benefits reduce depend on the number of children:
- 7% reduction for families with 1 child
- 13.5% reduction for families with 2 children
- 19% reduction for families with 3 children
- 23% reduction for families with 4 or more children
If your adjusted family net income exceeds $81,222, the CCB phases out entirely. However, increases in income thresholds and benefit amounts ensure that families below these cutoffs get maximum help.
Don’t forget provincial supplements!
In addition to the federal CCB, many provinces offer supplemental benefits that further support families:
- Alberta Child and Family Benefit (ACFB): Up to $1,469 for the base component, plus $752 working component for one child.
- British Columbia Family Benefit: Up to $775 for the first child, $750 for a second, and $725 for each additional child.
- Ontario Child Benefit: Maximum $143.91 per child monthly for qualifying families.
These amounts are automatically applied alongside your federal CCB, so you don’t need to apply separately. If you recently moved provinces, check for eligibility updates.
How to make the most of your CCB
Planning is key when managing family finances. Here are practical steps to ensure you maximize your CCB:
- File your taxes annually: Ensure all tax information is up-to-date to access calculated benefits.
- Maintain accurate details: Inform the CRA if you move, marry, or divorce to avoid delays or overpayments.
- Budget with future payments: Plan family expenses around the new CCB rates starting in July 2025.
- Monitor your CRA My Account: Track payments, update details, and access benefit summaries online.
- Explore provincial options: Review additional benefits accessible within your province of residence.
Real-world impact of CCB increases
The slight raise in CCB rates delivers meaningful support to Canadian families. For parents like Jessica, a single mom from Vancouver, these increases help cover necessities like groceries and extracurricular activities for her two children. She emphasizes the importance of staying updated with benefits to maximize family security.
Plan ahead and calculate your benefits
Updates to the Canada Child Benefit for 2025 ensure families can continue receiving the support needed to care for their children. Use our calculator today to estimate your updated monthly payment for the next benefit year and simplify your financial planning!
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