Increase to the maximum annual Canada Child Benefit (CCB) payment amounts

Increasing the Canada Child Benefit by $300 per child for the month of May 2020.  The benefit for children under the age of six will increase from $6,639 to $6,939 and the benefit for children ages six to seventeen will increase from $5,602 to $5,902.

This analysis is based on Statistics Canada’s Social Policy Simulation Database and Model.  The assumptions and calculations underlying the simulation results were prepared by the PBO and the responsibility for the use and interpretation for these data is entirely that of the PBO.  PBO used SPSD/M v. 28.0 to estimate the cost of this measure as well as the number of recipients.  The 2019-2020 CCB benefit amounts were entered into SPSD/M for the baseline year, and the increased amounts were entered into the variant year. 

This estimate accounts for any interactions with the previously announced increase to the Basic Personal Amount.  PBO used its glass box file to account for this interaction.  The Commodity Tax flag was de-selected.

$1.9 billion for 2020-21;

3.4 million recipients with an average benefit of $556 per recipient.

SPSD is a simulated database and the resulting calculations may differ from actual payments.  PBO does not expect a behavioural response to this announcement.

• Estimates are presented on an accrual basis as would appear in the budget and public accounts.
• A positive number implies a deterioration in the budgetary balance (lower revenues or higher spending). A negative number implies an improvement in the budgetary balance (higher revenues or lower spending).
• “-“ = PBO does not expect a financial cost.