In this section you will find:
Components of welfare incomes
In Ontario, households that qualify for basic social assistance payments also qualify for:
- Federal and provincial child benefits for households with children, and
- Federal and provincial 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 1ON shows the value of the welfare income components of the four example household types in Ontario in 2025. All four households are assumed to be living in Toronto, 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 1ON: Components of welfare incomes for all example households in Ontario, 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 $10,242 for the unattached single considered employable to $35,353 for the couple with two children. The income of the unattached single with a disability was $18,230 and that of the single parent with one child was $24,163.
Basic social assistance: All households received Ontario Works (OW) benefits except for the unattached single with a disability who received Ontario Disability Support Program (ODSP) benefits. Monthly basic OW benefit amounts were unchanged in 2025, which marks the seventh consecutive year of stasis. Monthly basic ODSP benefits increased by 2.8 per cent in July due to inflation indexing.
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.
Provincial child benefits: Both households with children received the Ontario Child Benefit, which increased with inflation from $140 to $143.92 per month per child in July.
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.
Two households also received the GST/HST credit supplement, in the following total amounts: the unattached single with a disability received $88.96 and the single parent with one child received the maximum amount of $181.50.
All four households received the Canada Carbon Rebate (CCR). However, in 2025, the federal government removed the federal fuel charge (the “carbon tax”), which also meant the end of carbon tax-related rebate payments. As a result, the CCR ended in spring 2025, meaning that households in Ontario received significantly reduced rebate payment amounts in 2025 compared to 2024. The differences in CCR payments between 2024 and 2025 for the Ontario households are indicated in Table 2ON.
Table 2ON: Difference in carbon tax rebate payments in Ontario, 2024 to 2025
Note: Amounts in the table are rounded to the nearest dollar and, as such, totals may not exactly add up.
Provincial tax credits/benefits: All four households received the Ontario Trillium Benefit, which increased with inflation in July. The unattached single considered employable received $66.63 per month from January to June and $68.37 per month from July to December. The unattached single with a disability received $69.61 per month from January to June and $71.95 per month from July to December. The single parent with one child received $101.67 from January to June and $104.33 from July to December. The couple with two children received $163.95 per month from January to June and $168.44 per month from July to December.
Changes to welfare incomes
Figures 1ON and 2ON show how the total welfare incomes for each of the four example household types in Ontario 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 Ontario would have resulted in a slightly different trendline.
Figure 1ON: Welfare incomes for example unattached single households in Ontario 1986–2025, in 2025 constant dollars
The total welfare income of the unattached single considered employable increased through the late 1980s to a peak in 1991, followed by two years of relative stasis and a fairly steep decline through to 1996. A period of gradual decline followed until 2008, when a period of gradual increase began. A slightly sharper increase in 2020 resulted from the addition of federal COVID-19 pandemic-related payments and the federal climate action incentive (CAI). Declines in 2021 and 2022 were the result of the loss of pandemic-related payments and the impact of high inflation on unchanged basic social assistance benefits. The slight decrease in 2024 was primarily the result of the impact of high inflation on unchanged basic benefits. In 2025, the decrease was largely due to the reduction in Canada Carbon Rebate (CCR) payments as well as unchanged basic social assistance benefits. Overall, the total welfare income of this household was $10,242 in 2025, which is a 4 per cent decrease between 2024 and 2025, and a 20 per cent decrease across the time series, in constant 2025 dollars.
The welfare income of the unattached single with a disability followed a similar trendline across the time series, although it started at a much higher level and did not decline as drastically in the mid-1990s. A period of gradual decline between 1994 and 2008 was followed by a slight increase through 2011 and a period of relative stasis until 2019. An increase in 2020 was the result of pandemic-related payments and the federal climate action incentive (CAI). The loss of pandemic-related payments and the impact of high inflation led to declines in 2021 and 2022. The increases in 2023, 2024, and 2025 were primarily the result of increases to basic social assistance benefits. The total welfare income of this household was $18,230 in 2025, which is a marginal 0.2 per cent since 2024, and a 9 per cent decline across the time series, in constant 2025 dollars.
Figure 2ON: Welfare incomes for example households with children in Ontario 1986–2025, in 2025 constant dollars
The total welfare income of the single parent with one child followed a similar pattern to those of the unattached singles. The peak across the time series occurred in 1992, followed by two years of relative stasis and a sharp decline in 1996. A period of gradual decline through 2005 was followed by an increase through to 2010. Another gradual decline continued until 2014, followed by a period of gradual increase – largely due to changes in federal child benefits – until 2017. Two subsequent years of slight declines were followed by a sharper increase in 2020 due to federal COVID-19 pandemic-related payments and the federal climate action incentive (CAI). Two years of sharp declines through 2022 were due to the loss of pandemic payments and the impact of high inflation on unchanged basic benefits. The latter issue was the primary cause of the slight decline in 2023; in 2024, this was compounded by the loss of the federal Grocery Rebate. In 2025, continuing stasis in basic benefits and a reduction in Canada Carbon Rebate (CCR) payments resulted in a further decline. Overall, the total welfare income of this household was $24,163, which is a 2 per cent decrease between 2024 and 2025, and a 6 per cent decrease across the time series, in constant 2025 dollars.
The total welfare income of the couple with two children followed a nearly identical trajectory across the time series, although at a higher income level. The increase that started in 2015 was largely due to changes in federal child benefits. The increase in 2020 and the declines thereafter were due to the same factors: the loss of pandemic payments and the impact of high inflation on unchanged basic benefits. The slight decline in 2024 resulted from the latter issue combined with the loss of the federal Grocery Rebate. The further decline in 2025 was primarily due to unchanged basic benefits. Overall, the total welfare income of this household was $35,161, which is a 1 per cent decrease between 2024 and 2025 but a 4 per cent increase across the entire 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 and/or low income.
Two measures of poverty are commonly used in Canada:
- The Market Basket Measure (MBM), Canada’s Official Poverty Line, 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-DIP) threshold identifies households whose disposable income is less than 75 per cent of the MBM.
Two measures of low income are also commonly used:
- The Low Income Measure (LIM) identifies households whose income is substantially below what is typical in society (i.e., less than half of the median income).
- The Low Income Cut-Off (LICO) identifies households that are likely to spend a disproportionately large share of their income on food, clothing, and shelter.
Note that MBM thresholds vary by province and community size, and LICO thresholds vary by community size. As such, we use the thresholds for the province’s largest city, Toronto, in the analysis below. Note also that we use after-tax LIM and LICO thresholds, and that the LIM thresholds for 2025 are estimates based on increasing the 2024 thresholds to account for inflation.
Also note that none of the poverty or low-income 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 speadsheet containing comparisons of the welfare incomes of the four example household types in Ontario with all four poverty/low-income thresholds is available for download.
Poverty threshold comparisons
The welfare incomes of all four example household types in Ontario were below, and in one case less than half of, Canada’s Official Poverty Line (MBM) in 2025, and all four were below the Deep Income Poverty threshold (MBM-DIP). This means that all four households were living not only in poverty in 2025, but in deep poverty.
Figures 3ON and 4ON compare 2025 welfare incomes for the four example household types to the 2025 MBM and MBM-DIP thresholds for Toronto.
Figure 3ON: Welfare incomes and poverty thresholds for example unattached single households in Ontario, 2025
The unattached single considered employable had the least adequate total welfare income relative to the poverty thresholds. Their income was $13,338 below the Deep Income Poverty threshold and $21,198 below the Poverty Line. This means their income was only 43 per cent of the MBM-DIP and only 33 per cent of the MBM.
The unattached single with a disability fared better, with a total welfare income that was $5,350 below the Deep Income Poverty threshold and $13,210 below the Poverty Line. This means their income was 77 per cent of the MBM-DIP and 58 per cent of the MBM.
Note that the poverty experienced by people with disabilities is underrepresented because neither the MBM nor the MBM-DIP accounts for the additional costs associated with disability. See the Methodology section for more information.
Figure 4ON: Welfare incomes and poverty thresholds for example households with children in Ontario, 2025
The single parent with one child had a total welfare income that was $9,185 below the Deep Income Poverty threshold and $20,300 below the Poverty Line. This means their income was 72 per cent of the MBM-DIP and 54 per cent of the MBM.
The couple with two children had the most adequate total welfare income relative to the poverty thresholds. Their income was $11,807 below the Deep Income Poverty threshold and $27,526 below the Poverty Line. This means their income was 75 per cent of the MBM-DIP and 56 per cent of the MBM.
Low-income threshold comparisons
The welfare incomes of the example households were also below, and in one household lower than half of, the low-income thresholds, as shown in the spreadsheet linked below.
The unattached single considered employable had the least adequate income relative to the low-income thresholds, at 32 per cent of the LIM and 39 per cent of the LICO.
The unattached single with a disability had the most adequate income relative to the LIM, at 57 per cent; their income was also 69 per cent of the LICO. The single parent with one child had an income that was the most adequate relative to the LICO, at 75 per cent; their income was also 53 per cent of the LIM.
The couple with two children had an income that was 55 per cent of the LIM and 71 per cent of the LICO.
The LIM and LICO thresholds used are for after-tax income, as noted above.
Changes to adequacy of welfare incomes
Figures 5ON and 6ON show the total welfare incomes of each of the four example household types in Ontario as a percentage of the Market Basket Measure (MBM) threshold for Toronto, starting in 2002.
The black line at the top of each graph (i.e., the 100 per cent threshold) represents Canada’s Official Poverty Line. This means that the graphs show how far below the Poverty Line the four households’ total welfare incomes have been in each year over the past 24 years.
The grey line indicates the Deep Income Poverty threshold, which is 75 per cent of the MBM. The graphs therefore also show the relationship between total welfare incomes and deep poverty in each year from 2002 to 2025.
Four trendlines for each household are shown in the graphs. These lines illustrate the relationship between welfare incomes and the MBM, including changes made to the MBM due to “rebasing.” The three rebasings, occurring in 2008, 2018, and 2023, are 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 trendline rise within those periods indicates an improvement in a household’s level of poverty while a decline indicates a deepening of their poverty. For the years in which rebasing took place (2008, 2018, and 2023), we include the percentage of welfare income relative to the MBM 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 5ON: Welfare incomes as a percentage of the MBM for example unattached single households in Ontario, 2002–2025
The welfare income of the unattached single considered employable was the least adequate relative to the Poverty Line of all example households in Ontario across the time series. Their income started the time series in 2002 at 45 per cent of the Poverty Line and stayed virtually the same until 2018. After a drop following the 2018 rebasing, their income saw a slight improvement in 2020, before gradually declining to 37 per cent in 2022. Another slight decline after the 2023 rebasing was followed by two more years of declines to 2025, when the welfare income of this household ended the time series in 2025 at its lowest point of only 33 per cent of the Poverty Line.
Overall, the welfare income of the unattached single considered employable decreased by 12 percentage points across the time series, which represents a deepening of the already very deep poverty experienced by households in these circumstances. They also would have lived below the Deep Income Poverty threshold across the entire time series, which means households in these circumstances would have consistently lived in deep poverty for the last 24 years.
The welfare income of the unattached single with a disability started the time series at 78 per cent of the Poverty Line. After a gradual decline followed by a lengthy period of stasis through to 2017, their income dropped relative to the Poverty Line after the 2018 rebasing, rose in 2020, and declined to 57 per cent in 2022. After another decline to 56 per cent as a result of the 2023 rebasing, their income rose slightly over the next two years, reaching 58 per cent of the Poverty Line at the end of the time series in 2025.
Overall, the welfare income of the unattached single with a disability decreased by 20 percentage points relative to the Poverty Line between 2002 and 2025. This represents a significant deepening of the poverty experienced by households in these circumstances across the time series. As well, they would have started the time series living above the Deep Income Poverty threshold but would have fallen below the threshold starting in 2008, meaning that households in these circumstances would have consistently lived in deep poverty for most of the past 24 years.
Figure 6ON: Welfare incomes as a percentage of the MBM for example households with children in Ontario, 2002–2025
The welfare income of the single parent with one child started the time series in 2002 at 65 per cent of the Poverty Line and generally increased until 2017 with some variations, including a decrease from 63 to 58 per cent after the 2008 rebasing. After a drop following the 2018 rebasing, their income rose to 67 per cent of the Poverty Line in 2020 but declined again to 59 per cent in 2022. After another decline following the 2023 rebasing, their income fell again over the following two years, ending the time series in 2025 at 54 per cent of the Poverty Line.
Overall, the welfare income of the single parent with one child declined by 11 percentage points between 2002 and 2025, which represents a deepening of the poverty experienced by households in these circumstances across the time series. As well, they would have lived below the Deep Income Poverty threshold across the entire time series, meaning that households in these circumstances would have consistently lived in deep poverty for the last 24 years.
The welfare income of the couple with two children started the time series in 2002 at the lower level of 61 per cent of the Poverty Line and followed a similar trendline to that of the single parent with one child. A gradual increase through to 2007 was followed by a decline after the 2008 rebasing, then another gradual increase to a high in 2017. After the decline following the 2018 rebasing, their income rose to 68 per cent of the Poverty Line in 2020 but fell to 60 per cent in 2022. Another decline after the 2023 rebasing was followed by a slight decline over the subsequent two years, with their income ending the time series in 2025 at 54 per cent of the Poverty Line.
Overall, the welfare income of the couple with two children ended the time series 5 percentage points lower relative to the Poverty Line in 2025 than it was in 2002. This means that households in these circumstances would have seen a slight deepening of their poverty across the time series. Given that they would have lived below the Deep Income Poverty threshold across the entire time series, households in these circumstances would have consistently lived in deep poverty for the last 24 years.
Access to data
The data for Ontario 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 all four poverty and low-income thresholds.
- Adequacy over time: each household’s welfare income relative to the Official Poverty Line (MBM) from 2002–2025.