Canada Disability Benefit

The Canada Pension Plan Disability Benefit is a taxable monthly payment intended to replace the income of an individual who suffers from a severe disability. In order to qualify, you must:

be under 65 years of age have made made enough contributions into the Canada Pension Plan (CPP) have a mental or physical disability that regularly prevents you from doing any type of substantially gainful work have a disability that is long-term and of an indefinite nature, or is likely to result in death. If your medical condition is expected to be short-term or temporary, you will not be eligible for CPP disability benefits.

You may be eligible to receive the CPP post-retirement disability benefit if you are currently already receiving the monthly CPP retirement pension, if you:

are between 60 to 65 years of age contributed enough to the CPP have a mental or physical disability that regularly stops you from doing any type of substantially gainful work have a disability that is long-term and of indefinite duration, or is likely to result in death have been receiving the CPP retirement pension for more than 15 months or become disabled after starting to receive the retirement pension

What is considered “Substantially Gainful Work”?

Substantially gainful work is employment that pays wages equal to or greater than the maximum annual amount a person could receive as a disability pension. In 2023, this amount is $18,508.36 (before tax). 

Once you have earned $6,600 (before tax) in 2023, you must contact Service Canada. Your disability benefits may be impacted by your gross (before tax) earnings:

if you earn below $6,600 (before tax), your disability benefits should not be affected if you earn between $6,600 and $18,508.36 (before tax), this may show that you are regularly capable of working and it may affect your disability benefits if you earn  $18,508.36 (before tax) or more, this demonstrates that you are regularly capable of working and you will likely no longer qualify for disability benefits

You must advise Service Canada when you reach any of these amounts and you should call when you start working. This does not necessarily mean that your benefits will stop. Service Canada will consider the factors listed above (hours, regularity, etc.) in deciding whether your benefits will continue.

CPP Children’s benefit

If you are receiving the CPP disability benefit, your dependent children may also qualify for a monthly payment if they are:

under 18, or between 18 and 25 and attending school full time at a recognized school or university. Once a child turns 25, they are no longer eligible for these benefits.

In addition, children of a deceased contributor who previously made sufficient CPP contributions may be entitled to receive a surviving child’s benefit. In order to qualify, the child must be under 18 or between 18 and 25 and attending full time school at a recognized educational institution.

In order to be considered a dependant child, the child must be the natural born child of the contributor, or a child adopted by the contributor while under the age of 21, or a child legally or in fact living with and in the custody and control of the contributor while under the age of 21.

the natural child of the contributor a child adopted “legally” or “in fact” by the contributor while under the age of 21 a child “legally” or “in fact” living with and in the custody and control of the contributor while under the age of 21