Canada Workers Benefit 2026 — CWB Calculator & Amounts

The Canada Workers Benefit (CWB) is a refundable tax credit designed to provide financial support to low-income working Canadians and to make work more financially rewarding than social assistance. Unlike non-refundable credits, the CWB is refundable — meaning if the credit exceeds your taxes owing, you receive the difference as a cash refund. The CWB is claimed on Schedule 6 of your T1 return and is one of the most impactful credits available to lower-income earners.

2025 CWB Basic Amounts

CWB Disability Supplement (2025)

How the CWB Is Calculated

The CWB uses a phase-in and phase-out structure:

1. Phase-in: The credit phases in at 27 cents per dollar of working income above $3,000. Working income includes employment income and net self-employment income.
2. Maximum reached: Once working income reaches the level where 27% of the excess above $3,000 equals the maximum credit amount, the full credit is earned.
3. Phase-out: Above the phase-out threshold (adjusted net income), the credit is reduced at 15 cents per dollar of adjusted net income above the threshold until it reaches zero.

Example (single, 2025): Working income $20,000, adjusted net income $20,000. Phase-in: ($20,000 – $3,000) × 27% = $4,590. Maximum is $1,590, so credit is capped at $1,590. Phase-out doesn't apply yet ($20,000 < $24,975). CWB = $1,590.

Canada Workers Benefit Calculator

CWB Advance Payments

Since 2023, the CRA automatically issues CWB advance payments to eligible Canadians who received the CWB in the prior year. You receive three advance payments — in July, October, and January — equal to 50% of your prior year's CWB entitlement, paid out in advance. The remaining 50% is reconciled when you file your return (you may owe back some advance payments if your income changed).

You do not need to apply for advances — the CRA calculates them based on your prior year return. If you did not receive the CWB last year but expect to qualify this year, file your return and the CWB will be assessed at that time.

Who Does NOT Qualify

• Full-time students enrolled for more than 13 weeks in the year (unless you have an eligible dependant)
• Individuals confined to a prison or similar institution for 90+ days during the year
• Those who were not residents of Canada for part of the year
• Individuals under 19 with no eligible spouse or dependant
• Those with working income below $3,000

Provincial Supplements

Several provinces offer additional supplements to the federal CWB. Alberta has its own Working Income Tax Benefit supplement for Alberta residents. BC, Saskatchewan, and other provinces may integrate provincial low-income working credits with the federal CWB. Check your provincial tax return or use certified tax software to capture all available provincial supplements.