Since the pandemic started in 2020, the Canadian government has provided a series of economic support. These benefits are only available to certain groups. The Canada Recovery Caregiving Benefit is available to households caring for children and family members as a result of COVID-19. CRCB was recently extended to May 7, 2022. To learn more about the benefit, continue reading below.
What is the Canada Recovery Caregiving Benefit (CRCB)?
The Canada Recovery Caregiving Benefit (CRCB) is an economic support program available to individuals and families caring for children. You must hold employment or self-employment. But unable to work due to caring for children or family members. In some cases, families and individuals may not be able to work due to school lockdowns or unavailable supervised care programs. CRCB is available to Canadians because of the ongoing COVID-19 pandemic. It is an emergency response benefit. It is a part of the government’s economic response plan. Recently, the Canadian government announced the program was being extended to May 7, 2022.
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Who is eligible to apply for CRCB?
The Canada Recovery Caregiving Benefit eligibility criteria are as follows:
- Unable to work at least 50% of your scheduled work because you’re caring for a child under 12 years of age or a family member
- Your child under 12 years of age or a family member requires your care because of one of the following reasons:
- Their school, day program, or care facility is closed or unavailable due to the pandemic
- Their regular care services are unavailable due to COVID-19
The person you’re caring for:
- is sick with COVID-19 or has symptoms of the virus
- At the risk of health complications if they get COVID-19, as advised by a medical professional
- Self-isolating due to COVID-19
You did not apply for or receive any of the following benefits during the same period:
- The Canada Recovery Benefit (CRB)
- Canada Recovery Sickness Benefit (CRSB)
- Canada Worker Lockdown Benefit (CWLB)
- Employment Insurance (EI) benefits
- Quebec Parental Insurance Plan (QPIP) benefits
- Short-term disability benefits
You earned at least $5,000 in 2019, 2020, 2021, or in the 12 months prior to the date you apply from the following income sources:
- Employment income (total or gross pay)
- Net self-employment income (after deducting expenses)
- Maternity and parental benefits from EI or similar QPIP benefits
- You are:
- The only individual in your household applying for the benefit
- Not on paid leave from your employer during the same period
- Not self-isolating or in quarantine due to international travel
- Currently residing and present in Canada
- At least 15 years old
- In possession of a valid Social Insurance Number (SIN)
If you meet all of the above criteria, you are eligible to apply. If not, consider the other pandemic support offered by the government. It’s possible you’re eligible for another benefit.
How long does CRCB last?
CRCB was originally introduced on September 27, 2020. The program was set to finish at the end of 2021. However, an extension to May 7, 2022, is in effect. This means each household could apply for up to 44 weeks of the benefit.
How do I apply for CRCB?
Before you can apply for CRCB, you may need to do some prep. First, make sure that you filed your personal income taxes for the 2019 and 2020 years. You should also register with the CRA if you haven’t already. Ideally, with direct deposit set up. If you haven’t done these things, do them before applying for Canada Recovery Caregiving Benefit. CRCB is available in 1-week periods. You can apply on a Monday immediately following the 1-week period you’re applying for. Applications do not renew automatically. This means you must apply each week you’re eligible.
If you missed previous periods, you can still apply up to 60 days after the period ended. If you’re ready to apply, you can complete your CRCB application online or by phone. Using the online option, you must apply through your CRA My Account. If you choose the phone option, you can call the CRA directly at 1-800-959-8281. Be sure to have your SIN, name, date of birth, complete address and tax information available during the call.
How much do I get?
CRCB provides a payment of $500 per household for each 1-week period applied for. The CRA withholds 10% tax at the source. This means you’ll receive $450 per week in income support after tax withholdings.
How will CRCB affect my taxes?
As mentioned above, 10% is withheld at the source by the CRA. This tax deduction alleviates the tax burden on your household at the end of the year. When you file your taxes, you may owe less or more than the 10% amount. At this time, you will either make the additional payment or receive a refund. The total amount of personal taxes you pay depends on your personal finances and circumstances.
For any COVID-19 benefits you received, the CRA will issue a T4A tax information slip. The document is usually mailed and available in your CRA My Account. You must report any CRCB payments you received as income on your tax return. The same is true for any other pandemic benefits you received from the Canadian government. From there, you can calculate your taxes and determine how much you owe or receive back.
CRCB and You
The Canada Recovery Caregiving Benefit is one of many pandemic relief options in Canada. CRCB benefits have helped many families get through challenging circumstances. If you’re eligible for the CRCB, apply today. If you’re not eligible, check out the other options. With that said, the Canadian government will eventually stop these benefits. For this reason, it’s important to get personal finances under control and adapt to the changing economic landscape. If you need help managing debt, creating a budget or applying for benefits, reach out to Consolidated Credit today. Their team of experts can help you at any time!