Total welfare incomes in 2022

Welfare income refers to a household’s total income from all government transfers, not just social assistance payments. Individuals and families who qualify for basic social assistance benefits are also eligible for financial support through refundable tax credits, child benefits for households with children, and, where applicable, additional social assistance payments that are automatic and recurring (e.g., an annual back-to-school allowance). Together, these form the total welfare income of a household. The amount varies in every province and territory because each jurisdiction has its own distinct social assistance program(s) and refundable tax credit and benefit programs.

This section is an overview of welfare incomes across all 13 Canadian jurisdictions. It includes a summary of total welfare incomes, an analysis of changes to welfare incomes from the previous year, a summary of income adequacy relative to Canada’s poverty measures, and an analysis of income adequacy by household for both the provinces and territories.

Total welfare incomes: Provinces

Table 1CA shows the maximum total welfare incomes that the four example households would have received in 2022 in each province. All households are assumed to be living in the province’s largest city, receiving provincial social assistance starting January 1 and for the entire year, and earning no employment income. The child in the single-parent household is two years old, and the children in the couple household are ten and 15. Other assumptions for calculating incomes are in the methodology section.

Table 1CA: Total welfare incomes for all example households in each province, 2022

Unattached single considered employable: The highest total welfare income of an unattached single considered employable household was in Quebec, at $20,905, and the second highest was in Prince Edward Island, at $16,861. These were followed by three incomes around $12,000 in Saskatchewan, Newfoundland and Labrador, and British Columbia, and two incomes around $10,200 in Manitoba and Ontario. The lowest welfare incomes for this type of example household were in Alberta at $9,800, Nova Scotia at $9,493, and New Brunswick at $8,031.

Unattached single with a disability: The highest total welfare income of an unattached single with a disability household was in Alberta at $21,319 for the household eligible for the Assured Income for the Severely Handicapped (AISH) program. The second highest was in Newfoundland and Labrador at $20,400, the third was in Prince Edward Island at $18,715, and the fourth was in British Columbia at $18,054. Four provinces followed with welfare incomes between $14,125 and $17,039. The three lowest welfare incomes for this type of example household were in Nova Scotia at $12,687, in Alberta through the Barriers to Full Employment (BFE) program at $11,268, and in New Brunswick at $10,884.

Single parent with one child: The highest welfare income of a single parent with one child household was in Prince Edward Island at $30,162. Six provinces followed with incomes between $24,078 and $25,876. The lowest welfare incomes for this type of example household were in Ontario at $23,102, in Nova Scotia at $21,724, and in New Brunswick at $21,657.

Couple with two children: The highest welfare income of a couple with two children household was in Quebec at $58,338, followed by Prince Edward Island at $47,897, and British Columbia at $38,298. These were followed by five provinces with incomes between $33,368 and $35,089. The lowest welfare incomes for this type of example household were in Newfoundland and Labrador at $32,177, and New Brunswick at $28,664.

Overall, the highest total welfare incomes for both the unattached single considered employable and the couple with two children households were in Quebec, while the highest for the unattached single with a disability household was in Alberta in the AISH program, and the highest for the single parent with one child household was in Prince Edward Island. The lowest total welfare incomes for all example household types were in New Brunswick.

Total welfare incomes: Territories

Table 2CA shows the maximum total welfare incomes that the four example households would have received in 2022 in each territory. Although we calculated the incomes in the territories using the same methodology that we used for the provinces, the provinces and territories are not directly comparable due to significant differences in the cost of living and the nature of income security programs in the North.

Table 2CA: Total welfare incomes for all example households in each territory, 2022

Welfare incomes in the Northwest Territories and the Yukon were generally higher than in the provinces, reflecting the higher cost of living in the territories. However, welfare incomes in Nunavut were considerably lower than in the other two territories; this is because, in Nunavut, many households that receive social assistance also live in public housing where rent and other housing costs are highly subsidized.¹

The highest total welfare incomes for the unattached single considered employable and the unattached single with a disability households were in the Northwest Territories, at $25,986 and $31,744 respectively. The highest welfare incomes for the single parent with one child and the couple with two children households were in the Yukon, at $37,789 and $55,251 respectively. As noted above, Nunavut had the lowest total welfare incomes for all household types, which in part reflects their subsidized housing costs.

Cost-of-living payments

Additional one-time financial supports were made available to all households related to the higher cost of living resulting from high inflation in 2022, as shown in Table 3CA. The federal government provided one benefit that was available to all four example household types in every jurisdiction. In addition, eight out of the ten provinces and one out of the three territories provided cost-of-living payments through social assistance benefits or as a refundable tax credit/benefit.

The 2020 and 2021 Welfare in Canada reports included COVID-19 pandemic-related payments; however, no such payments were made in 2022.

The “About Welfare in Canada” section outlines the methodology used to determine which benefits are included in our calculations and how we have accounted for benefit changes related to the higher cost of living in 2022. Note that cost-of-living payment amounts are included in the “Total welfare incomes in 2022” section above.

Table 3CA: Cost-of-living payments for all example households in each province and territory, 2022

All four example household types in every jurisdiction received cost-of-living payments from the federal government in the form of an additional one-time GST/HST refundable tax credit, which was paid in November 2022 and was equivalent to the two regular GST/HST credit payments received in the latter half of 2022. These payments amounted to $153 for the unattached single considered employable and the unattached single with a disability households, $386.50 for the single parent with one child households, and $467 for the couple with two children households.

The one-time GST/HST refundable cost-of-living tax credit included an additional GST/HST credit supplement amount for those who qualified. Twenty of the 27 unattached single households qualified for this additional amount, which was up to $80.50. Note that the single parent with one child households automatically received the maximum increase to the supplement, which is counted in the $386.50 mentioned above.

Eight provinces and one territory provided additional cost-of-living payments that were consistent with our methodology and as such were included in our analysis. These payments were available to all four example household types in every jurisdiction except Manitoba, where they were only available to households with children. Alberta, Nunavut, the Northwest Territories, and Ontario were the only jurisdictions that did not provide additional cost-of-living payments.

Of the eight provinces providing cost-of-living payments, Quebec paid the highest amounts, giving an additional $1,100 to three of the households and $2,200 to the couple with two children. The second highest was Newfoundland and Labrador, giving an additional $700 to both unattached single households, $900 to the single parent with one child household, and $1,400 to the couple with two children household.

Three other provinces provided a similar range of cost-of-living payments depending on the household type: Saskatchewan provided payments in the range of $500–$1,000, Prince Edward Island in the range of $300–$900, and Nova Scotia in the range of $400–$850. British Columbia, Manitoba, and New Brunswick provided more modest additional payments ranging from $0 for unattached single households in Manitoba to $450 for couple with two children households in Manitoba and New Brunswick.

Only one territory, the Yukon, provided cost-of-living payments in 2022, with an additional $150 to both unattached single households, $300 for the single parent with one child household, and $600 for the couple with two children household.

Changes to welfare incomes in 2022

Changes in total welfare incomes: Provinces

Tables 4CA and 5CA compare the 2021 and 2022 total welfare incomes of each jurisdiction without adjusting for inflation. The cost of living increased by about 6.8 per cent in 2022, based on the national rate of inflation.² As such, households whose total welfare incomes increased by less than 6.8 per cent would have been worse off in 2022 than in the previous year.

Although the Consumer Price Index (CPI) measure of inflation reflects changes in consumption patterns and remains the most robust indicator of changes to living costs, it is important to recognize that high inflation in 2022 and the increased cost of living may have impacted the households in very different ways depending on their circumstances.

Table 4CA: Change in total welfare incomes between 2021 and 2022 for all example households in each province

Trends in changes between 2021 and 2022

• Total welfare income decreases: Four of the 41 households, or about ten per cent, saw their total incomes decrease in real dollars between 2021 and 2022. These decreases occurred for the single parents with one child households in Alberta, British Columbia, Manitoba, and Ontario.
  
  The two main reasons for these income declines were the elimination of pandemic-related supports, especially the federal Canada Child Benefit Young Child Supplement, and the stagnating value of provincial social assistance benefits in these jurisdictions.
  
  The steepest decline was for the single parent with one child household in British Columbia at -3.7 per cent. British Columbia was the only province to provide pandemic-related supports in 2021; although there were new supports related to the higher cost of living available in 2022, they did not sufficiently compensate for the loss of the 2021 supports.

• Total welfare income increases below inflation: More than half of the example households — 22 out of 41, or 54 per cent — saw their total incomes nominally increase between 2021 and 2022, but those increases were at a rate below the 6.8 per cent inflation increase, which means that their incomes did not keep up with the rising cost of living. These households are:
  • the unattached single considered employable households in four provinces: Alberta, British Columbia, Manitoba, and Ontario;
  • seven of the unattached single with a disability households: Alberta (both households), British Columbia, Manitoba, New Brunswick, Ontario, and Saskatchewan;
  • the single parent with one child households in five provinces: New Brunswick, Newfoundland and Labrador, Nova Scotia, Quebec, and Saskatchewan; and
  • the couple with two children households in six provinces: Alberta, British Columbia, Manitoba, New Brunswick, Ontario, and Saskatchewan.

The nominal increases for these households were primarily due to one-time cost-of-living payments; in some instances, these increases were due to modest enhancements to existing supports. Some of these increases would be considered notable in previous years, with nine of the 22 households seeing increases between 3.3 per cent and 6.7 per cent. However, the high 6.8 per cent inflation rate in 2022 undercut the value of these increases.

• Total welfare income increases above inflation: Fifteen households in six provinces, or 37 per cent of the total 41 households, saw welfare incomes rise by more than the cost of living between 2021 and 2022. These households are:
  • all four households in Prince Edward Island;
  • three of four households (except the single parent with one child) in Newfoundland and Labrador, Nova Scotia, and Quebec; and
  • the unattached single considered employable households in New Brunswick and Saskatchewan.
• The highest percentage increases were for the unattached single considered employable household in Quebec at 61.2 per cent, followed by the couple with two children household in Quebec at 47.1 per cent, then three of the Prince Edward Island households at around 20 per cent. The other ten increases ranged between 7.1 and 13.2 per cent.
  
  Above-inflation increases in New Brunswick, Nova Scotia, Newfoundland and Labrador, and for the unattached single with a disability household in Quebec were primarily due to one-time cost-of-living payments from both the federal and provincial governments. These higher incomes were also due to the indexation of social assistance benefits in New Brunswick and Quebec and increases to basic social assistance in Newfoundland and Labrador. The increases in Prince Edward Island and Saskatchewan primarily resulted from higher basic social assistance benefit amounts, as well as the one-time cost-of-living payments. The unattached single considered employable and couple with two children households in Quebec saw very large increases in 2022 due to significant changes to their basic social assistance benefits: they became eligible for Manpower Training benefits under the Aim for Employment program as of August (see the Quebec section for more information).

Breakdown of changes

Changes to provincial social assistance benefits

• Seven provinces increased basic or additional social assistance benefit amounts.
  • In Manitoba, the basic necessities amount increased in November 2022, which marks the first increase in this benefit since 2004. The increase was $50 per month for the unattached single considered employable household and $20 per month for the unattached single with a disability household. The two households with children did not see any increases. As well, Rent Assist benefits increased with inflation in July 2022.
  • New Brunswick increased basic social assistance amounts with inflation for all households as of April 2022.
  • In Newfoundland and Labrador, monthly Basic Assistance amounts increased in November 2022, which is the first increase since 2014. The increase was $27 per month for both unattached single households, $35 per month for the single parent with one child household, and $37 per month for the couple with two children household.
  • Ontario increased Ontario Disability Support Program (ODSP) rates by five per cent in September 2022, and tied future increases to inflation. As a result, the unattached single with a disability household saw their Basic Needs and Shelter allowances increase by $34 per month and $25 per month respectively.
  • In Prince Edward Island, basic social assistance amounts increased twice. In January 2022, the Basic Unit Rate increased by $50 per month for unattached single households, $121 per month for the single parent with one child household, and $375 for the couple with two children household. The second increase was in December 2022, when both the Basic Unit Rate and the shelter amount increased. The Basic Unit Rate increased by $36 per month for both unattached single households, $58 per month for the single parent with one child, and $123 for the couple with two children. The shelter amount increased by $56 per month for both unattached single households, $39 for the single parent with one child, and $50 for the couple with two children. In addition, all households became eligible for the monthly Communication Rate benefit in December, which provided $40 to the unattached single households and $60 to the households with children. Note that the couple with two children no longer received the one-time top-up to the school-age allowance of $225, which was only available in 2021.
  • In Quebec, basic program allowances for all households increased with inflation as of January 2022. As well, households in the Aim for Employment program — the unattached single considered employable and the couple with two children households — became eligible to receive the Allocation d’aide à l’emploi, or Manpower Training benefit, as of July 2022. Although there are several pathways under this benefit, the example households received the amount associated with qualifying training in the Skills Development component, which is $475 per adult per week. More information about this change is available in the Quebec section of this report.
  • In Saskatchewan, the three households in the Saskatchewan Income Support program saw an increase to their basic social assistance benefits in May 2022. The Adult Basic Benefit increased by $30 per month for the unattached single considered employable and the single parent with one child households, and by $60 per month for the couple with two children household. The Shelter Benefit increased by $25 per month for all three households. The unattached single with a disability was the only household in this province who did not see an increase to their basic social assistance benefits.
• Four provinces provided one-time cost-of-living support payments through additional social assistance benefit payments:
  • In New Brunswick, all households received a one-time Emergency Food and Fuel Benefit in June 2022. The unattached single households received $225 and the households with children received $450.
  • In Newfoundland and Labrador, all households received a One-Time Benefit in April 2022 in the amount of $200 for the unattached single households and $400 for the households with children.
  • In Nova Scotia, all households received two Cost of Living Support payments. The first, paid in March 2022, provided households with $150 per individual. The second, paid in December 2022, provided each household with $250.
  • In Prince Edward Island, all households received a One-Time Inflation Top-Up Payment in March 2022, which provided $150 per individual in each household.
• Only four provinces had at least some social assistance benefits indexed to inflation in 2022.
  • The households that had their social assistance amounts increase in line with inflation include all households in New Brunswick and Quebec. In Manitoba, all four households only had their shelter component (Rent Assist) of social assistance increase with inflation. Both Alberta and Ontario (only for the unattached single with a disability) announced that social assistance amounts would be indexed to inflation; Alberta’s beginning on January 1, 2023, and Ontario’s on July 1, 2023.
• In British Columbia, the 2021 pandemic-related BC Recovery Supplement of $450 per adult was no longer available in 2022, which meant that all households saw a decrease in the amounts we include as basic social assistance benefits.

Changes to other provincial benefits

• Six provinces provided one-time cost-of-living supports outside of social assistance through tax credits, benefits, or enhancements in response to high inflation in 2022:
  • British Columbia enhanced the October 2022 payment of the BC Climate Action Tax Credit, providing an additional $164 to the unattached single households, $328 to the single parent with one child household, and $410 to the couple with two children household.
  • In Manitoba, households with children received the Family Affordability Benefit in October 2022, which provided $250 for the first child and $200 for the second child. Unattached single households did not receive cost-of-living payments from the province.
  • Newfoundland and Labrador provided a One-Time Cost-of-Living Relief benefit in the fall of 2022 in the amount of $500 per adult in all four households.
  • In Prince Edward Island, all households received a one-time inflationary support payment in July 2022 in the amount of $150 for the unattached single households and $300 for households with children.
  • Quebec provided two cost-of-living payments in 2022, which were available to all four households. In May, the Special One-Time Cost-of-Living Tax Credit paid each adult $500. In December, the Refundable Cost-of-Living Tax Credit paid each adult $600.
  • In Saskatchewan, all households received the Saskatchewan Affordability Tax Credit in late 2022, which provided each adult with a one-time payment of $500.
• Nova Scotia and Prince Edward Island also provided one-time payments to assist with the impact of Hurricane Fiona. In Nova Scotia, each household received $150 in September 2022. In Prince Edward Island, all households received the Hurricane Fiona one-time relief payment in September, which provided $150 for each adult and dependant, and a one-time payment of $250 that was made through the Red Cross in the fall.
• Prince Edward Island introduced a one-time Carbon Rebate in July 2022, providing each household with $140.
• Automatic annual inflationary increases to provincial tax credits and benefits occurred in some, but not all, jurisdictions. Tax credits in three provinces are indexed to inflation: the Ontario Trillium Benefit, the Solidarity Tax Credit in Quebec, and the Saskatchewan Low-Income Tax Credit. Provincial child benefits in Newfoundland and Labrador, Ontario, and Quebec are also indexed to inflation. Note that provincial child benefit rates are not indexed in British Columbia, but the income eligibility threshold is indexed. For more information, see Appendix 3.
• No province provided COVID-19 pandemic-related payments in 2022. The only provincial pandemic-related payment that was made in 2021, the British Columbia Recovery Benefit, was no longer available in 2022. The loss of this benefit amounted to a decrease of $500 for unattached single households and $1,000 for households with children.

Changes to federal benefits

• Amounts from two federal government programs — the GST/HST credit and the Canada Child Benefit — were slightly higher in 2022 due to automatic annual inflationary increases. These increases take effect in July of each year.
• The federal government also provided an additional one-time GST/HST credit payment related to the cost of living in November 2022. The payment amount was equivalent to the two regular GST/HST credit (and credit supplement if applicable) payments received in the latter half of 2022.
• Households received the federal government’s climate action incentive (CAI) payments in four provinces — Alberta, Saskatchewan, Manitoba, and Ontario. In 2022, these payments were lower than in 2021 because the CAI began to be paid quarterly rather than annually; this means that they only received three quarters of the 2022 CAI amount, and will receive the last quarter of the amount in January of 2023.
• In 2022, the single parent with one child households no longer received the federal government’s pandemic-related Canada Child Benefit Young Child Supplement, which amounted to $1,200 in 2021.
• The federal government did not provide any COVID-19 pandemic-related payments in 2022.

Changes in total welfare incomes: Territories

Table 5CA: Change in total welfare incomes between 2021 and 2022 for all example households in each territory

Trends in changes between 2021 and 2022

• Total welfare income decreases: Five of the 12 households in the territories saw their total welfare incomes decrease between 2021 and 2022. These are:
  • all four households in the Northwest Territories, and
  • the single parent with one child household in Nunavut.

The steepest decline was for the couple with two children household in the Northwest Territories at -3.7 per cent, while the others declined by 1.9 and 3.4 per cent. The main reason for the decline in welfare incomes in the Northwest Territories was a significant decrease in the average amounts we included for utilities payments under basic social assistance for all four households, which itself may be due to a marked decline in the number of people receiving assistance in that territory in 2022. The decline was also due in part to otherwise stagnating income supports. The incomes of the single parent with one child households in the Northwest Territories and Nunavut were also impacted by the loss of the COVID-19 pandemic-related Canada Child Benefit Young Child Supplement.

• Total welfare income increases below inflation: The majority of households in the territories — seven of the 12 — saw their total incomes increase between 2021 and 2022. However, those increases were below inflation, which means that they did not keep up with the rising cost of living. These households include:
  • all households in the Yukon, and
  • all households in Nunavut except the single parent with one child.

Three of the households in the Yukon saw their welfare income increase above four per cent; although this is a significant increase, it was still below the 6.8 per cent inflation rate in 2022. The other four households saw increases between 1.1 per cent and 2.2 per cent.

The increases in the Yukon are due to the territory’s indexation of social assistance benefit amounts, as well as the introduction of cost-of-living payments. In Nunavut, income supports generally stagnated, with some small increases that were primarily due to federal cost-of-living supports.

• Total welfare income increases above inflation: None of the households in the territories saw their total incomes increase above the rate of inflation.

Breakdown of changes

Changes to territorial social assistance benefits

• Social assistance benefits only increased in the Yukon, where social assistance is indexed to inflation. Social assistance benefit rates remained unchanged in Nunavut. In the Northwest Territories, the value of most basic benefits remained the same in 2022, while lower average utility costs resulted in a decrease in the total amount of basic benefits included in our calculations.
• The Yukon was the only territory to introduce a cost-of-living payment in 2022. The one-time inflation support payment of $150 per individual in a household, including dependants, was paid in November.

Changes to other territorial benefits

• None of the territories provided COVID-19 pandemic-related payments in 2022.
• None of the territorial tax credits and benefits included in our calculations is indexed to inflation. For more information about indexed benefits, see Appendix 3.

Changes to federal benefits

• Amounts from the two federal government programs — the GST/HST credit and the Canada Child Benefit — were slightly higher in 2022 due to automatic annual inflationary increases. For more information about indexed benefits, see Appendix 3.
• As in the provinces, households in all three territories received an additional one-time GST/HST credit payment from the federal government in November 2022. The payment amount was equivalent to the two regular GST/HST credit (and credit supplement if applicable) payments received in the latter half of 2022.
• In 2022, the single parent with one child households in all three territories no longer received the federal government’s 2021 Canada Child Benefit Young Child Supplement, which amounted to a loss of $1,200.
• The federal government did not provide any COVID-19 pandemic-related payments in 2022.

Adequacy of welfare incomes in 2022

Adequacy of welfare incomes: Provinces

Table 6CA shows how the 2022 total welfare incomes of each example household type in the provinces compared to the Market Basket Measure (MBM), which is Canada’s Official Poverty Line, and the Deep Income Poverty (MBM-DIP) threshold.

The MBM-DIP is equivalent to 75 per cent of the Official Poverty Line. It was ncluded for the first time in the 2020 Welfare in Canada report to identify which example households are living in deep poverty. As noted in a 2021 Institute for Research on Public Policy report, “Living in deep poverty means that individuals and families must use all of their income to meet basic necessities such as shelter and food, making it virtually impossible to address other needs or plan for their future.”³

To demonstrate the range existing across Canada’s provinces, Table 6CA shows the provinces with the highest and lowest welfare incomes relative to the two poverty thresholds. The total welfare income and both poverty thresholds in the table are for the largest city in each province.

Please note that neither the MBM nor the MBM-DIP account for the higher cost of living faced by people with disabilities and that these additional costs are not reflected in our analysis.

Table 6CA: Highest and lowest adequacy of example household total welfare incomes among the provinces in 2022

Overview

The welfare incomes of 40 out of the 41 example households receiving social assistance in the provinces were below Canada’s Official Poverty Line — that is, 98 per cent of households were living in poverty in 2022. The only exception was in Quebec, where the welfare income of the couple with two children household was 127 per cent of the poverty threshold.

In addition, 34 of the 41 example households— or 83 per cent— were living in deep poverty in 2022. Only two of these households had incomes that were between 95 and 100 per cent of the MBM-DIP; the incomes of the remaining 33 households were between 44 and 94 per cent of the MBM-DIP.

Between 2021 and 2022, the welfare incomes of two example households fell below the MBM-DIP: the single parent with one child households in both Manitoba and Newfoundland and Labrador. Conversely, the welfare income of one household increased to above the MBM-DIP: the unattached single considered employable household in Quebec.

Note that the significant increases to the welfare incomes of the Quebec unattached single considered employable and the couple with two children households in 2022 were the result of a significant policy change that impacted employment- and training-related benefits in the province. Also note that our calculations include maximum benefit amounts. More information is available in the Quebec section of this report.

Adequacy by household: Provinces

Unattached single considered employable

Figure 1CA: Adequacy of total welfare incomes for example unattached single considered employable households in each province, 2022

The unattached single considered employable households in all ten provinces had incomes below the MBM and as such were living in poverty in 2022. Furthermore, nine out of ten had incomes below the MBM-DIP and were living in deep poverty. The only exception was in Quebec, where the household had an income that was 91 per cent of the MBM, and 21 per cent above the MBM-DIP.

Among the other nine households, the only one that came close to the Deep Income Poverty threshold was in Prince Edward Island. The welfare incomes in the remaining eight provinces were below 50 per cent of the Poverty Line; the lowest was in New Brunswick at 33 per cent of the Poverty Line.

Unattached single with a disability

Figure 2CA: Adequacy of total welfare incomes for example unattached single with a disability households in the provinces, 2022

In 2022, all 11 of the unattached single with a disability households were living in poverty, and nine were also living in deep poverty. The household in Newfoundland and Labrador had the highest income relative to the MBM, at 80 per cent. Alberta had both the second highest and the lowest incomes relative to the MBM depending on whether they received benefits through AISH or BFE. The household receiving BFE benefits had the least adequate welfare income, amounting to just 40 per cent of the Poverty Line. Only two unattached single with a disability households had welfare incomes above their respective Deep Income Poverty thresholds: the Alberta household receiving AISH and the household in Newfoundland and Labrador.

Single parent with one child

Figure 3CA: Adequacy of total welfare incomes for example single parent with one child households in the provinces, 2022

All ten single parent with one child households in the provinces were living in poverty in 2022, and eight were also living in deep poverty. The household living in Prince Edward Island had the most adequate welfare income, at 84 per cent of the MBM. The household living in Nova Scotia had the least adequate welfare income, at 59 per cent of the Poverty Line and 78 of the Deep Income Poverty threshold, followed closely by the household in Ontario, at 59 per cent of the Poverty Line and 79 of the Deep Income Poverty threshold. In only two of the ten provinces — Prince Edward Island and Quebec — the welfare incomes of the single parent with one child households were above their respective Deep Income Poverty thresholds. Note that the households living in Manitoba and Newfoundland and Labrador had incomes above their Deep Income Poverty thresholds in 2021 but fell below them in 2022.

Couple with two children

Figure 4CA: Adequacy of total welfare incomes for example couple with two children households in the provinces, 2022

Only one of the ten couple with two children household in the provinces did not live in poverty in 2022. The other nine lived in poverty, and eight also lived in deep poverty. The couple with two children living in Quebec was the only household of this type in any province to have an adequate welfare income, living almost 27 per cent above the Official Poverty Line. The household in Prince Edward Island was the only one of the remaining households to not be living in deep poverty, with an income that was 94 per cent of the MBM. The household living in New Brunswick had the least adequate income, at 59 per cent of the Poverty Line.

Adequacy of welfare incomes: Territories

In November 2022, Statistics Canada released the finalized Northern Market Basket Measure (MBM-N) for the Northwest Territories and the Yukon. Since then, it has become possible to assess the adequacy of welfare incomes in these two territories using the MBM-N, the Official Poverty Line, and the Northern Deep Income Poverty (MBM-N-DIP) threshold, which is 75 per cent of the MBM-N.

A similar poverty measure is still being developed for Nunavut and will be included in future reports when it becomes available.

Note that neither the MBM-N nor the MBM-N-DIP account for the higher cost of living faced by people with disabilities and that these additional costs are not reflected in our analysis.

Overview

Of the eight households in the Northwest Territories and the Yukon, none had a total welfare income that was above the MBM-N in 2022. Six of the eight households had incomes that were below the MBM-N but above the MBM-N-DIP. Two households had incomes that were below the MBM-N-DIP. This means that all of the households were living in poverty in 2022, and two were also living in deep poverty.

Adequacy by household: Territories

Unattached single households

Figure 5CA: Adequacy of total welfare incomes for example unattached single considered employable and unattached single with a disability households in the territories, 2022

Among the unattached single households in the Yukon and the Northwest Territories, all four lived in poverty and, of those, one also lived in deep poverty.

The household with the highest income relative to the MBM-N was the unattached single with a disability household living in the Northwest Territories, at almost 95 per cent. It is also important to note that the income of this household was above the MBM-N in 2021 but fell below it in 2022. The household with the least adequate welfare income was the unattached single considered employable in the Yukon, at 68 per cent of the MBM-N and 91 per cent of the MBM-N-DIP.

Households with children

Figure 6CA: Adequacy of total welfare incomes for example single parent with one child and couple with two children households in the territories, 2022

Among the households with children in the Yukon and the Northwest Territories, all four lived in poverty in 2022 and, of those, one also lived in deep poverty.

The couple with two children in the Yukon had the most adequate welfare income at 93 per cent of the MBM-N. The couple with two children household in the Northwest Territories had the least adequate welfare income at 72 per cent of the MBM-N and 96 per cent of the MBM-N-DIP. The latter household lived above the MBM-N-DIP in 2021 but fell below it in 2022.

Access to data

All Welfare in Canada, 2022 data is available for download, including:

1. Components of welfare income for all households, with a breakdown of cost-of-living payments.
2. Welfare incomes in 2022 constant dollars over time for all households.
3. Welfare incomes in real dollars over time for all households.
4. Adequacy of welfare incomes: a comparison of each household’s welfare income with all four poverty and low-income thresholds in the provinces, and with the two poverty thresholds in two of the territories.
5. Adequacy over time: each household’s welfare income relative to the Official Poverty Line (MBM or MBM-N) in the provinces from 2002 to 2022, and for each household in the territories from 2018 to 2022.

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Footnotes

1. See “Components of welfare incomes” and “Changes to welfare incomes” in the Nunavut section of this report for further information.
2. Statistics Canada. (2023, January 17). Consumer Price Index, annual average, not seasonally adjusted.
3. Herd, D., Kim, Y., & Carrasco, C. (2020, September 15). Canada’s forgotten poor? Putting singles living in deep poverty on the policy radar. Institute for Research on Public Policy.