Individuals and families who receive social assistance benefits will also be eligible for financial support through refundable tax credits, child benefits for households with children, and, where applicable, additional social assistance payments. Some of these benefits and credits are indexed to inflation while others are not. Inflation indexing is important as it protects the value of benefits and credits from being eroded by increasing costs of living. Indexing is especially crucial when inflation is high, as it continued to be in 2023.

The summary sections below and Table A4 indicate which benefits and credits were indexed to inflation in all 13 provinces and territories in 2023, as those benefits apply to the example households in Welfare in Canada. Other benefits and credits that may be indexed are not included. Pertinent additional information is in the footnotes.

The summaries and table only include provincial and territorial benefits and credits. Of the three federal benefits that our example households are eligible for, two — the GST/HST credit and the Canada Child Benefit — are indexed to inflation. The third, the federal climate action incentive (received by households in Alberta, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, and Saskatchewan), is adjusted based on changes to the federal carbon tax.

Note that some jurisdictions delivered one-time or time-limited supports in 2023 in response to high levels of inflation. These benefits offered temporary relief but are not equivalent to indexation. Information on these supports is included in the footnotes as well as in the jurisdictions’ individual total welfare income sections.

Basic social assistance benefits

Four of the 13 jurisdictions had indexed basic social assistance benefits as of 2023. Alberta resumed indexation of core benefits starting January 1, joining New Brunswick, Quebec, and the Yukon. One other jurisdiction, Manitoba, had indexed shelter benefit payments, which are also available to other low-income households (i.e., RentAssist). Manitoba also indexed basic needs amounts in the newly created Manitoba Supports for Persons with Disabilities program, which came into force as of January 1. Another jurisdiction, Ontario, began indexing basic benefits in one of its social assistance programs (the Ontario Disability Support Program) starting July 1, but not in the other (Ontario Works).

Additional social assistance benefits

Only one jurisdiction had indexed additional social assistance benefits as of 2023. Alberta indexed the Children’s School Expenses benefit, applicable to the couple with two children, starting January 1.

Provincial or territorial child benefits

Five jurisdictions had indexed their provincial or territorial child benefit as of 2023. Alberta and the Yukon began indexation starting July 1, joining Newfoundland and Labrador, Ontario, and Quebec. Note that Prince Edward Island and Saskatchewan do not have child benefit programs, and that Manitoba’s program is not available to households that receive social assistance.

Provincial or territorial tax credits

Three jurisdictions had indexed the amount of their provincial or territorial tax credits or benefits as of 2023: Ontario, Quebec, and Saskatchewan. No jurisdictions instituted new indexation of tax credits or benefits in 2023.

Table A4: Indexation of Provincial/Territorial Benefits and Credits, 2023

31. This applies to the Children’s School Expenses benefit available to the couple with two children.

32. Note that Alberta provided a monthly Alberta Affordability Payment to eligible households between January and June of 2023, and all example households were eligible. This benefit was intended to address the impacts of inflation but is not an ongoing payment.

33. Although the amount of the BC Family Benefit is not indexed to inflation, the net income reduction threshold is indexed.

34. Note that British Columbia provided a monthly BC Family Benefit Temporary Enhancement between January and March 2023. This benefit was intended to address the impacts of inflation but is not an ongoing payment.

35. The amount of the BC Climate Action Tax Credit is adjusted in step with changes to carbon tax rates.

36. Note that British Columbia provided two BC Affordability Credit payments in January and April, which accompanied the BC Climate Action Tax Credit. These payments were intended to address the impacts of inflation but are not ongoing.

37. Monthly income support benefits from the new Manitoba Supports for Persons with Disabilities program are indexed to the March Manitoba CPI of each year. Indexation increases apply as of July 1.

38. Shelter support for households in private rental accommodation, also known as Rent Assist, is indexed to the median market rent set by the CMHC.

39. The Manitoba Child Benefit is not available to households receiving income assistance.

40. Social assistance benefits are indexed to the New Brunswick CPI on April 1 each year.

41. Note that New Brunswick provided an Emergency Food and Fuel Benefit in January/February 2023. This benefit was intended to address the impacts of inflation but is not an ongoing payment.

42. The Newfoundland and Labrador Child Benefit (NLCB) is indexed to the Newfoundland and Labrador CPI calculated from October to September. Note that the phase-out threshold for the NLCB is not indexed.

43. The Northwest Territories pays actual costs for rent up to 25 per cent over CMHC average rents, using Canadian National Occupancy Standards for bedrooms. The Northwest Territories also pays actual fuel and utilities costs.

44. The amount of the Northwest Territories Cost of Living Offset is adjusted in step with changes to carbon tax rates.

45. The majority of Income Support households in Nunavut reside in public housing. Rents and utilities are heavily subsidized by the territorial government.

46. Prince Edward Island does not currently have a provincial child benefit program.

47. Note that Prince Edward Island provided a one-time Inflationary Support Payment in January 2023. This benefit was intended to address the impacts of inflation but is not an ongoing payment. See the PEI section for more information.

48. Social assistance basic benefits are indexed to the Quebec CPI excluding alcoholic beverages, tobacco products, and recreational cannabis.

49. Additional benefits received through social assistance are indexed to the Quebec CPI as above. Shelter benefits received as an additional benefit through Revenu Québec are not indexed.

50. The Family Allowance is indexed to the Quebec CPI as above.

51. Note that Saskatchewan pays for actual utilities costs for the household receiving benefits from the Saskatchewan Assured Income for Disability (SAID) program, as well as the set amount of the Living Income Benefit.

52. Saskatchewan does not currently have a provincial child benefit program. Within its social assistance programs, Saskatchewan provides a Children’s Basic Benefit for residents of the Northern Administrative District; this benefit is not indexed.

53. Indexation of the Saskatchewan Low Income Tax Credit (SLITC) was suspended from 2017 to 2021. Indexation resumed in July 2021. The SLITC is indexed to the national CPI.

54. Note that the Yukon provided limited-time inflation relief payments of $100 per month to eligible social assistance recipient households starting March 2023. These payments will continue until the territory completes a review of its social assistance benefit rates.

55. The amount of the Yukon Carbon Price Rebate varies with the amount of federal levies collected on fuel use in the territory.