Working: More Than a Paycheque
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Benefits and supports you are eligible for when you leave assistance for employment.
The government is committed to building the best system of support for British Columbians in need, and helping people who are able to work to find and keep jobs. To help income assistance clients with their employment goals, the government invests $74 million a year on a number of programs designed to meet their needs. Clients often ask if they would be better off working than on income assistance and the answer is a resounding “YES.” Not only do clients who work earn income, on average, almost two to three times what they receive on income assistance, they also retain most of their benefits and remain eligible for other provincial and federal programs.
Provincial Programs
Rental Assistance Program provides a direct monthly payment to eligible low-income, working families who are not on income assistance, have at least one child under the age of 19 and a gross household income less than $35,000 per year. Payments range from $50 to $765 per month. For example, a family of four living in Vancouver with an income of $24,000 per year and paying monthly rent of $875 would receive $129 per month in assistance.
BC Child Care Subsidy provides a monthly payment to eligible low- and middle-income parents, based on income and family size, to help cover the fee for eligible child care: Licensed, License Not Required, Registered License Not Required, or In Child’s Home. A single parent with a child under six in licensed group care can save up to $550 per month, or $6,600 per year.
BC HST Credit starting July 2010, pays up to $230 per person for low- and modest-income individuals and families. This is paid quarterly together with the federal GST Credit and Low-Income Climate Action Tax Credit.
Low-Income Climate Action Tax Credit pays eligible low-income individuals and families up to $105 per year for each adult and the first child of a single parent plus $31.50 per additional child. This is paid quarterly together with the federal GST Credit and BC HST Credit.
Free Medical Services Plan coverage is available to individuals and families on income assistance and to those with a total income under the income thresholds for MSP Premium Assistance. Over the course of a year, a single person can save up to $684 per year while a family of three or more can save more than $1,368.
Pharmacare pays 100% of prescription costs for individuals and families on income assistance. Off assistance, Fair PharmaCare pays a percentage of eligible drug costs based on net income. Persons With Disabilities who leave assistance for employment or federal income support retain 100% of their Pharmacare coverage, subject to their total income.
Healthy Kids Dental and Optical Benefits are available to families with dependent children who qualify for MSP Premium Assistance to help pay for basic dental care, up to $1,400 per child every two years, and prescription eyeglasses.
Medical Equipment and Supplies Supplements provide up to 100% coverage of necessary medical equipment and supplies for Persons With Disabilities. These benefits may be retained by Persons With Disabilities who leave assistance for employment or federal income support, subject to their total income.
Basic Dental and Orthodontic Supplements provide basic dental (up to $1,000 over two years) and orthodontic services, as well as emergency dental services, to Persons With Disabilities. These services may be retained by Persons With Disabilities who go off assistance for employment or federal income support, subject to their total income.
Supports you take with you when you leave assistance for employment.1
Expected to Work |
NO CHILDREN |
WITH CHILDREN |
| On Income Assistance |
Off Income Assistance |
On Income Assistance |
Off Income Assistance |
| Provincial Programs |
| Rental Assistance Plan |
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|
√ |
| BC Child Care Subsidy |
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√ |
√ |
| Free Medical Services Plan |
√ |
√ |
√ |
√ |
| Pharmacare – prescription costs paid, not PWD |
100% |
70% |
100% |
70% |
| Healthy Kids (Dental & Optical) |
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√ |
√ |
| Low-Income Climate Action Tax Credit |
√ |
√ |
√ |
√ |
| BC HST Credit |
√ |
√ |
√ |
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| BC Earned Income Benefit |
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√ |
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| Persons With Disabilities (PWD): |
| PWD Dental and Orthodontic Benefits |
√ |
√ |
√ |
√ |
| PWD Medical Equipment and Supplies |
√ |
√ |
√ |
√ |
| Employment Programs for PWDs |
√ |
√ |
√ |
√ |
| Federal Programs |
| Base Canada Child Tax Benefit |
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√ |
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| National Child Benefit Supplement |
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√ |
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| Universal Child Care Benefit |
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√ |
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| Working Income Tax Benefit |
√ |
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| GST Credit |
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Persons With Disabilities designation: Clients retain their Persons With Disabilities designation when they stop receiving assistance and are not required to go through the adjudication process if they re-apply for assistance at a later date.
¹All benefits are income-tested except the Universal Child Care Benefit, which is taxable.
Employment Services are provided to Persons With Disabilities, both on and off assistance, including a range of disability support services, assistive technologies, employment planning and support services and self-employment services.
BC Earned Income Benefit is provided to eligible low-income families with dependent children who have employment earnings. The maximum monthly benefit a family may receive is dependent on the number of eligible children in the family and the family’s net income. Benefits are combined with the Canada Child Tax Benefit (CCTB) into one monthly payment.
Federal Programs
Base Canada Child Tax Benefit provides a base monthly payment to eligible low and middle-income families to help them with the cost of raising children under age 18. Families making less than $40,970 per year receive $1,348 per child per year, plus an additional $94 for the third and each additional child.
National Child Benefit Supplement provides extra support to low-income families with children by topping up the base monthly payments they receive under the Canada Child Tax Benefit system. This is up to $2,088 for the first child. For a single parent family with three children, it adds up to an additional $5,694 per year.
Universal Child Care Benefit pays all families $100 per month per child under six years of age. Unlike all other benefits, it is taxable income.
Working Income Tax Benefit supplements employment earnings over $4,750 annually to a yearly maximum of $1,150 for low-income singles and $1,825 for low-income working couples and families. A supplement of an additional $515 per year is paid to persons who are eligible for the disability tax credit on their income tax.
GST Credit provides a refundable tax credit payment quarterly to low- and middle-income Canadians to help offset the costs of paying the GST on taxable purchases. A single person receives up to $250 per year, plus an additional $131 if they work. A two-parent family with an income of less than $32,506 per year and two children receives $762 per year.
For More Information
Contact the Ministry of Social Development by calling toll-free:
1 866 866-0800
