In this section you will find:
Components of welfare incomes
In the Northwest Territories, households that qualify for basic social assistance payments also qualify for:
- Federal and territorial child benefits for households with children, and
- Federal and territorial tax credits or benefits.
Together, these components form a household’s total welfare income. Households may receive less if they have income from other sources, or more if they have special health- or disability-related needs.
Table 1NT shows the value of the welfare income components of the four example household types in the Northwest Territories in 2025. All four households are assumed to be living in Yellowknife, receiving territorial 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 1NT: Components of welfare incomes for all example households in the Northwest Territories, 2025
Note: Amounts in the table are rounded to the nearest dollar and, as such, totals may not exactly add up.
Total annual welfare incomes in 2025 ranged from $33,273 for the unattached single considered employable to $58,817 for the couple with two children. The income of the unattached single with a disability was $37,272 and that of the single parent with one child was $47,038.
Basic social assistance: Monthly Basic Benefit Allowance amounts for the three households receiving Income Assistance did not change in 2025. The unattached single considered employable and the single parent with one child received $573 while the couple with two children received $810. Note that 2025 was the first full year that these amounts were in force after being increased significantly in July 2024.
The Monthly Basic Benefit Allowance received by the unattached single with a disability receiving Income Assistance for Seniors and Persons with Disabilities (IASPD) was $866. Note that 2025 was the first full year that this amount was in force after the program was introduced in July 2024.
In the Northwest Territories, the benefits paid for the costs of shelter, fuel, and utilities are based on the actual costs of each recipient household. The Accommodation Allowance is included in our calculations because we assume our example households live in market rental housing (see the Methodology section). This amount is a maximum based on average market rents that are calculated annually by the Canada Mortgage and Housing Corporation. These amounts increased in 2025 for all four households. Note that the Accommodation Allowance is only provided to those households who provide proof that their name is on the waitlist for low-cost/public housing. The fuel and utilities components are an average of the amount paid in 2025 to program recipients in each of our household types, and are provided by the Department of Education, Culture and Employment. These average amounts increased in 2025 for all households.
The Furnishing Allowance and the One-Time Additional Benefit were not available in 2025. These amounts were previously provided as responses to the COVID-19 pandemic and the higher costs of food in the North, respectively.
Additional social assistance: No recurring additional social assistance benefits were available to the example households in 2025.
Federal child benefits: Both households with children received the Canada Child Benefit (CCB), which increased with inflation in July from $648.92 to $666.42 per month for a child under six years of age and from $547.50 to $562.33 per month for a child aged six to 17. The single parent with one child received the maximum amounts but the couple with two children received reduced amounts in both six-month periods ($1,089.70 for the January–June period and $1,096.50 for the July–December period) based on prior years’ income.
Territorial child benefits: Both households with children received the Northwest Territories Child Benefit, which provided maximum monthly benefits of $67.91 for one child under 6 years old and $97.83 for two children aged 6 to 17. The single parent with one child received monthly payments of $67.20 from January to June and $67.37 from July to December while the couple with two children received $84.17 from January to June and $78.26 from July to December, which are reduced amounts based on prior years’ income.
Federal tax credits/benefits: All four households received the GST/HST credit, which increased with inflation in July. The households received the following total amounts, paid in quarterly instalments throughout the year: the unattached single households received $344.50, the single parent with one child received $689, and the couple with two children received $1,052.
Three households also received the GST/HST credit supplement, in the following amounts: the unattached single households and the single parent with one child each received the maximum amount of $181.50.
Territorial tax credits/benefits: All four households received the Northwest Territories Cost-of-Living Offset (COLO). However, in 2025, the federal government removed the federal fuel charge and the requirement for provinces and territories to have a consumer price on carbon. This policy change ending the “carbon tax” also meant the end of carbon tax-related rebate payments, not only in the provinces in which the Canada Carbon Rebate was in effect but also in the provinces and territories that had their own carbon pricing and rebate programs, such as the COLO. Each of these rebate programs ended in spring 2025. As a result, households in the Northwest Territories received significantly reduced rebate payment amounts in 2025 compared to 2024. The differences inCOLO payment amounts between 2024 and 2025 for the Northwest Territories households are indicated in Table 2NT.
Table 2NT: Difference in carbon tax rebate payments in the Northwest Territories, 2024 to 2025
Note: Amounts in the table are rounded to the nearest dollar and, as such, totals may not exactly add up.
Changes to welfare incomes
Figures 1NT and 2NT show how the total welfare incomes for each of the four example household types in the Northwest Territories have changed over time.
Note that the values are in 2025 constant dollars, not current dollars, and are calculated using the Canada Consumer Price Index (CPI). Using constant dollars takes into account the effect of inflation given that inflation reduces current dollar values over time. Also note that using the CPI for the Northwest Territories would have resulted in a slightly different trendline.
Figure 1NT: Welfare incomes for example unattached single households in the Northwest Territories 1993–2025, in 2025 constant dollars
The welfare incomes of the unattached single considered employable and the unattached single with a disability followed a nearly identical pattern since the time series began in 1993. A substantial decline in 1997 was followed by a gradual increase until 2008 and a slight decrease thereafter until 2013. Large fluctuations followed until 2018, which were the result of the way that utility and shelter costs were calculated for the purposes of this report rather than changes to benefit program policy. Increases through 2020 resulted in the high point for both households’ incomes. Decreases through 2022 were followed by slight increases in both 2023 and 2024, and a significant increase in 2025.
Increases between 2018 and 2020 were due to three main changes: a significant increase in utilities costs in the Northwest Territories and a corresponding increase in the average amounts paid for those costs; a 2019 increase in maximum shelter amounts; and the implementation of the NWT Cost-of-Living Offset and COVID-19 pandemic-related payments from both territorial and federal sources. The decline in 2021 was primarily due to the loss of most of those payments, and, in the case of the unattached single with a disability, a decline in average monthly utilities amounts. The decline in 2022 was largely due to a much lower average utilities amount, as well as to the impact of high inflation on benefit rates. The increase in 2023 was largely due to a rebound in average monthly utilities amounts for each of the households. In 2024, the increase for the unattached single considered employable was due to a combination of factors, including increased Basic Benefit Allowance and average utilities amounts and the One-Time Additional Benefit. The slight decrease for the unattached single with a disability was primarily due to the loss of the federal Grocery Rebate coupled with a decrease in the annual average utilities amount. The substantial increase in 2025 was primarily the result of receiving the new, higher Basic Allowance from Income Assistance for the full year.
In 2025, the welfare income of the unattached single considered employable was $33,273, which is an 11 per cent increase compared to 2024, and an increase of 50 per cent since the start of the time series, in constant 2025 dollars. The welfare income of the unattached single with a disability was $37,272, which is a 7 per cent increase compared to 2024, and an increase of 48 per cent since the start of the time series, in constant 2025 dollars.
Figure 2NT: Welfare incomes for example households with children in the Northwest Territories 1993–2025, in 2025 constant dollars
After a decline in their total welfare incomes through the 1990s, the households with children saw increases in 1999, followed by a lengthy period of relative stability with some fluctuations (especially for the single parent with one child) until 2013–2014. The drop in 2007 was primarily the result of a significant decline in the level of basic social assistance benefits in that year. After 2014, a generally increasing trend lasted until 2020, which was the high point for both households across the time series. Two years of declines through 2022 were followed by increases in 2023. The trendlines diverged in 2024, with the single parent with one child experiencing a decrease and the couple with two children experiencing an increase. In 2025, the welfare incomes of both households increased, with that of the single parent with one child increasing by a larger amount.
Increases after 2015 were largely due to changes in federal child benefits, while those in 2020 resulted from the addition of COVID-19 pandemic-related payments from both territorial and federal sources. Declines in 2021 primarily resulted from the loss of COVID-19 pandemic-related supports, as well as the impact of inflation on unchanged social assistance benefit amounts. The steeper drop in 2022 resulted from the loss of pandemic-related supports available to the single parent in 2021, a significant decline in average utilities amounts, and the impact of high inflation. The increases in 2023 were largely the result of a rebound in average monthly utilities amounts for both households. In 2024, the slight decrease for the single parent with one child was due to the significant decline in average monthly utilities amounts for this household, which was due to the lower number of program recipients in this example household type. The increase for the couple with two children was due to a combination of factors, including increased Basic Benefit Allowance and average utilities amounts and the One-Time Additional Benefit. Like the unattached single households, the increase for these households in 2025 was primarily the result of receiving the new, higher Basic Allowance for the full year.
In 2025, the single parent with one child had a welfare income of $47,038, which is a 14 per cent increase compared to 2024, and a 17 per cent increase since the start of the time series, in constant 2025 dollars. The couple with two children had a welfare income of $58,817, which is a 2 per cent increase compared to 2024, and a 21 per cent increase since the start of the time series, in constant 2025 dollars.
Adequacy of welfare incomes
The adequacy of a household’s total welfare income can be assessed by comparing it to established thresholds of poverty. The Market Basket Measure (MBM) was adopted as Canada’s Official Poverty Line in 2018; however, to recognize the specificity of various aspects of life in the North, the Government of Canada subsequently designated the Northern Market Basket Measure (MBM-N) as the official Poverty Line for the territories.
We use two measures of poverty to assess the adequacy of total welfare incomes in the Northwest Territories:
- The Northern Market Basket Measure (MBM-N), Canada’s Official Poverty Line for the territories, identifies households whose disposable income is less than the cost of a “basket” of goods and services that represents a basic standard of living.
- The Deep Income Poverty (MBM-N-DIP) threshold identifies households in the territories whose disposable income is less than 75 per cent of the MBM-N.
Note that MBM-N thresholds vary by territory and community size. As such, we use the thresholds for the territory’s largest city, Yellowknife, in the analysis below.
Note also that although we use the Low Income Measure (LIM) and the Low Income Cut-Off (LICO) for adequacy comparisons in the provinces, they do not appropriately reflect life in the North and, as such, Statistics Canada does not produce LIM or LICO thresholds for the territories. Thus, as in past reports, we do not provide adequacy comparisons for households in the territories using these measures.
As well, note that none of the poverty measures currently in use in Canada accounts for the higher cost of living faced by people with disabilities and that these additional costs are not reflected in our analysis.
More information about the thresholds is available in the Methodology section.
A spreadsheet containing comparisons of the welfare incomes of the four example household types in the Northwest Territories with the two poverty thresholds is available for download.
Poverty threshold comparisons
The welfare incomes of all four example household types in the Northwest Territories were below Canada’s Official Poverty Line (MBM-N) in 2025, meaning that all four households were living in poverty. However, the welfare incomes of all four households were above the Deep Income Poverty threshold (MBM-N-DIP), which means that none of the households was living in deep poverty in 2025.
Figures 3NT and 4NT compare 2025 welfare incomes for the four example household types to the 2025 MBM-N and MBM-N-DIP thresholds for Yellowknife.
Figure 3NT: Welfare incomes and poverty thresholds for example unattached single households in the Northwest Territories, 2025
The welfare income of the unattached single considered employable was $4,665 above the Deep Income Poverty threshold but $4,871 below the Poverty Line. This means their income was 116 per cent of the MBM-N-DIP but 87 per cent of the MBM-N.
The welfare income of the unattached single with a disability was most adequate relative to the poverty thresholds among the four households. Their welfare income was $8,665 above the Deep Income Poverty threshold and $871 below the Poverty Line. This means their income was 130 per cent of the MBM-N-DIP and 98 per cent of the MBM-N.
Note that the poverty experienced by people with disabilities is underrepresented because neither the MBM-N nor the MBM-N-DIP accounts for the additional costs associated with disability. See the Methodology section for more information.
Figure 4NT: Welfare incomes and poverty thresholds for example households with children in the Northwest Territories, 2025
The welfare income of the single parent with one child was $6,581 above the Deep Income Poverty threshold but $6,905 below the Poverty Line. This means their income was 116 per cent of the MBM-N-DIP but 87 per cent of the MBM-N.
The couple with two children had the least adequate income relative to the poverty thresholds. Their welfare income was $1,602 above the Deep Income Poverty threshold and $17,470 below the Poverty Line. This means their income was 103 per cent of the MBM-N-DIP and 77 per cent of the MBM-N.
Changes to adequacy of welfare incomes
Figures 5NT and 6NT show the total welfare incomes of each of the four example household types in the Northwest Territories as a percentage of the MBM-N for Yellowknife, starting in 2018.
The black line at the top of the graphs (i.e., the 100 per cent threshold) represents the MBM-N, which is Canada’s Official Poverty Line for the North. This means that the graphs show the relationship between the four households’ total welfare incomes and the Poverty Line over the past eight years.
The grey line indicates the Deep Income Poverty threshold, which is 75 per cent of the MBM-N. The graphs therefore also show the relationship between total welfare incomes and deep poverty in each year since 2018.
Two trendlines for each household are shown in the graphs. These lines illustrate the relationship between welfare incomes and the MBM-N, including changes made to the MBM-N due to “rebasing.” The rebasing in 2023 is indicated with a dotted vertical line. Rebasing updates the measure, including the items and costs included in the basket, to better reflect contemporary circumstances. The trendlines in these graphs demonstrate changes to household poverty levels within the years in which each base is applied. A rise in the trendline indicates an improvement in their level of poverty while a decline indicates a deepening of their poverty. For the year in which rebasing took place (2023), we include the percentage of welfare income relative to the MBM-N using both the previous and the new base to show how rebasing affects adequacy.
Note that fluctuations in the graph trendlines are due to a combination of changes in welfare incomes and the cost of living. Both factors must be considered when analyzing trends.
Figure 5NT: Welfare incomes as a percentage of the MBM-N for example unattached single households in the Northwest Territories, 2018–2025
The income of the unattached single considered employable started the eight-year time series at 74 per cent of the Poverty Line in 2018, increased to its highest point – 89 per cent of the Poverty Line – in 2020, and declined to 78 per cent in 2022. Their income declined to 75 per cent after the 2023 rebasing, rose to 78 per cent in 2024, and rose sharply thereafter to end the time series in 2025 at 87 per cent of the Poverty Line.
Overall, the income of the unattached single considered employable increased by 13 percentage points relative to the Poverty Line across the time series. Although this is an improvement, households in these circumstances would still have been living below the Poverty Line across the entire eight-year period. It is notable, however, that households in these circumstances would have lived at or above the Deep Income Poverty threshold for seven of the past eight years, which means that although they would have been living in poverty, they would not have been living in deep poverty for most of the time series.
The income of the unattached single with a disability was most adequate relative to the Poverty Line of the four example households. It followed the same general trajectory as that of the unattached single considered employable between 2018 and 2023 but diverged in 2024. Their income started the time series at 92 per cent of the Poverty Line, increased to a peak of 109 per cent in 2020, and fell to 95 per cent in 2022. Their income was 92 per cent after the 2023 rebasing, stayed at that level in 2024, and ended the time series in 2025 with an increase to 98 per cent of the Poverty Line.
Overall, the income of the unattached single with a disability increased by 6 percentage points between 2018 and 2025, which represents an improvement in the level of poverty experienced by households in these circumstances. It is important to note that households in these circumstances would have lived above the Deep Income Poverty threshold in all eight years and above the Poverty Line for three of those years. This means that households in these circumstances would not have lived in deep poverty in any year between 2018 and 2025 and would have lived out of poverty for nearly half of those years.
Figure 6NT: Welfare incomes as a percentage of the MBM-N for households with children in the Northwest Territories, 2018–2025
The welfare income of the single parent with one child started the time series at 81 per cent of the Poverty Line, increased to a high point of 89 per cent in 2020, and fell to 79 per cent in 2022. Their income was 78 per cent after the 2023 rebasing. After decreasing slightly to 77 per cent in 2024, their income ended the time series in 2025 with a sharp increase to 87 per cent of the Poverty Line.
Overall, the income of the single parent with one child increased by 6 percentage points relative to the Poverty Line over the eight-year period, indicating an improvement in the level of poverty experienced by households in these circumstances. It is notable that households in these circumstances would have lived above the Deep Income Poverty threshold in every year, which means that although they would have been living in poverty, they would not have been living in deep poverty in any year between 2018 and 2025.
The total welfare income of the couple with two children was least adequate relative to the Poverty Line of the four example households. Their income started the time series in 2018 at 76 per cent of the Poverty Line, increased to a high point of 82 per cent in 2020, and fell to a low point of 72 per cent in 2022. Their income remained at the same level after the 2023 rebasing, increased to 76 per cent in 2024, and ended the time series at the slightly higher level of 77 per cent of the Poverty Line in 2025.
Overall, the income of the couple with two children increased by just 1 percentage point relative to the Poverty Line over the eight-year period. This indicates a slight improvement in the level of poverty experienced by households in these circumstances. As well, they would have lived above the Deep Income Poverty threshold in six of the last eight years. This means that although households in these circumstances would have been living in poverty for all of the past eight years, they would have been living above the threshold of deep poverty in all but two of those years.
Access to data
The data for the Northwest Territories is available for download, including:
- Components of welfare income for all households, including the 2024-2025 difference in carbon tax-related rebate payments.
- Welfare incomes in 2025 constant dollars over time for all households.
- Welfare incomes in current dollars over time for all households.
- Adequacy of welfare incomes: a comparison of each household’s welfare income with the two poverty thresholds applicable in the North.
- Adequacy over time: Welfare income relative to the Official Poverty Line (MBM-N) for each household from 2018–2025.