Federal Budget 2026 for Individuals and Families

Reviewed by HJ Wu & Company Inc. (CPA) on November 5, 2026. Editorial policy. General information, not advice.

Federal Budget 2026 for individuals and families

Money in your pocket

• Canada Groceries and Essentials Benefit supplement: a one-time extra payment in early 2027 equal to half of the yearly maximum for the 2026-27 benefit year: up to $223 per adult, $117 per child and $117 for the single supplement. The government says a family of four could receive up to $2,570 within a year in total. Like the regular benefit, it is income tested.
• Build Canada Workers Benefit (2027): the Canada Workers Benefit is renamed and enhanced. The maximum rises to $1,859 for a single person and $3,143 for families, and it starts paying out at $500 of work income instead of $3,000. At the same time, the advance payments during the year are cut from 50% to 25% of last year’s amount for 2027 and ended from 2028, so more of the money arrives when you file your return.
• Canada Caregiver Credit: becomes refundable from 2027, so you get the full credit even if you owe little or no tax. It is worth up to $1,260 for caring for an infirm parent, grandparent, sibling, adult child and certain other relatives.
• Gas prices: fuel excise tax relief continues until the end of January 2027, then half the normal rates until the end of March, then back to normal April 1.

Housing, child care and everyday costs

• Home energy: $2 billion to retrofit 1 million homes, including a National Heat Pump Rebate for up to 820,000 households. Program details will come later.
• Child care: up to $5.4 billion over two years to keep the Canada-wide child care system affordable while governments work on its future.
• Housing: a $45 billion push to build homes faster, more money for Build Canada Homes (non-market housing), and a plan to end homelessness in 10 years, starting in Winnipeg.
• Mortgages: the Bank of Canada would publish better information on insured mortgage rates, and the CRA could provide income verification to lenders to speed up applications.
• Banking: banks would give you one yearly statement of your account fees. The government will consult on requiring payments above the minimum to go to your highest-rate credit card balance first. Payday loans would get at least 42 days to repay, in instalments.
• Culture: the Canada Strong Pass is renewed and national museums become permanently free for children and youth.

Taxes and filing

• New filing date: a proposed May 15 date for filing and paying personal tax, for everyone including the self-employed, starting with the 2027 tax year (so, the return you file in 2028). For your 2026 return, the usual April 30 and June 15 dates still apply. See important tax dates.
• Flat amounts instead of receipts (2027 tax year): optional flat claims of $1,000 for moving expenses, $1,000 one-time for a home accessibility renovation, $1,200 for adoption, $1,500 for tradespeople on temporary relocation, and $1,000 a month for the clergy residence deduction.
• RRSP for life: the government intends to merge RRSPs and RRIFs, so you would no longer have to convert your RRSP at 71. This is an intention, with a consultation open until January 8, 2027.
• Automatic benefits: the CRA plans pre-filled returns for about one million known filers starting in the 2027 filing season, growing to up to 5.5 million low-income Canadians by the 2028 tax year.
• Artists: the cover letter talks about up to $45,000 of artistic earnings being tax free. The budget text says it will consult on a new Canada Creative Credit that, combined with the basic personal amount, would give tax recognition on up to $45,000 of qualifying income. Details are planned for the Spring Economic Update 2027, so it is not settled yet.

More on Budget 2026

• Budget 2026 hub: summary, key numbers and dates
• For business owners
• For lawyers and law firms
• For doctors, dentists and clinics
• For individuals and families
• The official budget at budget.canada.ca

Key takeaway: Benefit and credit changes, child care and housing, banking protections and the proposed May 15 filing date.

Official sources

• Budget 2026: Masters of our destiny (budget.canada.ca)
• Department of Finance Canada
• Canada Revenue Agency

Reviewed November 5, 2026. This is general information, not legal or tax advice. Rules and rates change, so confirm current requirements with the official sources above and speak to the firm about your situation.