Canadians Set to Receive More Federal Money in 2026
As 2026 approaches, millions of Canadians can expect higher federal benefit payments and tax changes that will boost take‑home money. The increases come from Ottawa’s long‑standing practice of indexing key benefits and credits to inflation, ensuring payments keep pace with rising costs. This year’s indexation is based on inflation as measured by the Consumer Price Index.
Officials have confirmed that a 2 per cent inflation adjustment will apply to many programs, meaning several benefits and tax credits will increase starting next year. These boosts will affect families, workers, seniors, and people with disabilities.
Boosts to Child and Disability Benefits
The GST/HST credit, which helps lower‑income Canadians offset federal sales tax costs, will go up in 2026–27. Single adults will see higher quarterly payments, and couples and families will also benefit, including extra amounts for children.
The Canada Child Benefit (CCB) will rise as well. Starting in July 2026, the maximum annual CCB will increase significantly for children under age six and for children aged six to 17. These changes will result in larger monthly payments for eligible families.
Similarly, the Child Disability Benefit, which supports families raising children with severe and prolonged disabilities, will also be higher for the 2026‑27 benefit year.
Other Benefits Getting More Money
Low‑income workers will see a modest increase in the Canada Workers Benefit, a refundable tax credit that helps supplement earnings. The maximum amounts for both individuals and families will rise in 2026.
The Canada Disability Benefit, introduced in mid‑2025, will also be adjusted upward with the new benefit year. These changes will be reflected in monthly payments starting in July 2026.
Pension Income Adjustments
Retirement benefits such as the Canada Pension Plan (CPP) will be indexed in January 2026. CPP payments rise each year to keep up with inflation, ensuring retirees maintain purchasing power.
The Old Age Security (OAS) pension also adjusts regularly throughout the year as needed to reflect cost‑of‑living changes.
What This Means for Canadians
These automatic increases are designed to protect household budgets as prices change. By indexing benefits, Ottawa helps Canadians manage rising costs while keeping social support programs relevant and effective.
