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January 28, 2022

Lower-income families feel a chill

By Gordon Powers, Sympatico / MSN Finance

Cash-strapped families will be able to earn an additional $1,894 before seeing their federal child benefits start to disappear, yesterday’s budget proposes.

Changes to the National Child Benefit Supplement and the Canada Child Tax Benefit translate mean that low-income families, particularly those with a single parent, get a bit of relief. But what does it mean to struggling families trying to get ahead in the worst downturn we’ve seen in a long time?

Estimates peg the economic benefit of these reductions at close to $500 a year for a single parent with two children, earning $35,000. A double income household earning $70,000, also with two children, can add $275 per year to their budget.




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Gordon PowersGordon Powers

A long-time fund company executive, Gordon Powers now heads up the Affinity Group, a financial services consulting firm. Gordon was a personal finance columnist for the Globe & Mail for many years, has taught retirement planning...

Jason BucklandJason Buckland

The modern-day MC Hammer of money, Jason can often be seen spending cash that isn’t his with the efficiency of a Wilt Chamberlain first date. After cutting his teeth as a reporter for the Toronto Sun, he joined the MSN Money team with...