Financial support for families with children
Increasing the Canada Child Benefit (CCB) in 2021 by $1,200 for each child under the age of 6 for families with an adjusted net income at or below $120,000 who are entitled to the CCB.
Increasing the Canada Child Benefit (CCB) in 2021 by $600 for each child under the age of 6 for families with an adjusted net income above $120,000 who are entitled to the CCB.
Increasing the Children’s Special Allowance in 2021 by $1,200 for each child under the age of 6 that is under the care of child protection services.
This is an independent cost estimate of a budgetary measure contained in the federal government’s Fall Economic Statement 2020 (FES 2020).
Increasing the Canada Child Benefit (CCB) in 2021 by $1,200 for each child under the age of 6 for families with an adjusted net income at or below $120,000 who are entitled to the CCB.
Increasing the Canada Child Benefit (CCB) in 2021 by $600 for each child under the age of 6 for families with an adjusted net income above $120,000 who are entitled to the CCB.
Increasing the Children’s Special Allowance in 2021 by $1,200 for each child under the age of 6 that is under the care of child protection services.
Children’s Special Allowance
The number of children under the age of 6 eligible for the Children’s Special Allowance in 2019-20 was determined by multiplying the total number of children maintained by federal or provincial agencies or institutions in 2019-20 by the proportion of children under the age of 6 that were in foster care in 2011.
To determine the number of children that would be eligible for the benefit in 2020-21 and 2021-22, the estimated number of eligible children in 2019-20 was grown by the average yearly growth in the number of children maintained by federal or provincial agencies or institutions over the last 5 years. These numbers were then multiplied by $300 in 2020-21 and $900 in 2021-22 to arrive at the total cost in those years.
Canada Child Benefit
Statistics Canada’s Policy Simulation Database (SPSD/M) was used to determine the number of children that would be eligible for the Canada Child Benefit in 2020-21 and 2021-22, based on benefit amounts, income thresholds, and estimated household income for the 2020-21 program year, and grown by PBO’s projected CPI and household income in the September Economic and Fiscal Outlook.
The total cost of the measure is $2.4 billion provided to 2.2 million recipients over two fiscal years.
SPSD/M is a simulated database and the resulting calculations may differ from actual payments. Additionally, the proportion of children under the age of 6 eligible for the Children’s Special Allowance may differ than the one used. PBO does not expect a behavioural response to this announcement.
- Estimates are presented on an accruals basis as would appear in the budget and public accounts.
- Positive numbers subtract from the budgetary balance, negative numbers contribute to the budget balance.