Good news for low-income Canadians — a $500 one-time payment has officially been approved to help offset rising housing and living costs. This new support aims to provide immediate relief to those most impacted by inflation, rent hikes, and general affordability challenges.
If you’re a renter or part of a low-income household, you may qualify. Let’s break down the eligibility, payment timeline, and how you can claim it.
What Is the $500 One-Time Payment?
The $500 one-time payment is a tax-free relief payment provided by the federal government to help eligible individuals cover housing expenses. It’s targeted specifically at low-income renters who are spending a significant portion of their income on rent.
This initiative is meant to ease the burden of rent and utility bills and ensure vulnerable populations can maintain stable housing amid rising costs.
Who Qualifies for the $500 One-Time Payment?
Not every Canadian is eligible, but if you fall within these guidelines, you likely qualify:
- Income Limits:
- Individuals earning $20,000 or less annually
- Families with a combined income of $35,000 or less
- Rent Requirements:
- You must have paid at least 30% of your net income on rent in the last year.
- Residency Status:
- Must be a Canadian resident living in a rental property.
- Filing Requirements:
- Must have filed your latest tax return to verify your income and residency.
This program does not interfere with other federal benefits and will not count as taxable income.
How to Apply
The application process is designed to be straightforward and quick:
- Have your information ready:
- Rent receipts or lease agreement
- Proof of income from your last tax filing
- Apply online or by phone:
- Use the secure government portal to fill out your application
- Submit your documents:
- Upload or provide details of your rent expenses and income
- Wait for approval and payment confirmation
Most applicants receive confirmation within a few days, with payment following shortly after.
When Is the $500 Being Paid?
If your application is approved, you can expect payment through direct deposit or cheque, depending on your preferences.
| Payment Method | Estimated Delivery Time |
|---|---|
| Direct Deposit | Within 5–7 business days |
| Mailed Cheque | Within 10–12 business days |
You’ll receive confirmation once your application has been processed and payment is issued.
Quick Summary
| Category | Details |
|---|---|
| Payment Amount | $500 |
| Type | One-time, tax-free |
| Eligible Income (Single) | $20,000 or less |
| Eligible Income (Family) | $35,000 or less |
| Rent Threshold | 30% of net income spent on rent |
| Application Method | Online or by phone |
| Payment Type | Direct deposit or mailed cheque |
| Impact on Other Benefits | None – does not reduce other support |
The $500 one-time payment is a timely support measure for low-income Canadians struggling to keep up with rent and housing costs.
If you meet the income and rent criteria, this benefit can provide a much-needed cushion during financially tight times. Make sure your documents are ready, apply as soon as possible, and secure your payment without delay.
FAQs
Can I receive the $500 payment if I live with roommates?
Yes, as long as you can prove your share of the rent meets the 30% income requirement and your individual income qualifies.
Is this $500 payment taxable?
No. It is completely tax-free and will not affect your taxable income or other government benefits.
What happens if I miss the application deadline?
If you miss the deadline, you will not receive the payment, so it’s essential to act quickly once the application window opens.