Pushing to Reform the Canada Child Benefit Program

Raising a child is an act of love. Keeping them fed, clothed, housed and educated also costs money. Many families struggle to afford those necessities, so they turn to the Canada Child Benefit (CCB) program. However, the process of applying for and receiving financial support can cause undue stress and anxiety for many parents. Learning more about what they undergo and potential upcoming reforms could improve your or your loved one’s experience with the program if and when needed.

What Is the Canada Child Benefit Program? 

The Canada Child Benefit Program is a family service provided by the Canada Revenue Agency (CRA). The tax-free, income-based payments support children under 18 years old. The CCB may also include related territorial and provincial programs and the child disability benefit.

How the CCB Falls Short and Affects Parental Mental Health

Receiving financial support changes lives, but getting it can feel complicated. Discovering the roadblocks families encounter will clarify why they may be more anxious, stressed or depressed while navigating the CCB process.

The Application and Appeals Processes Are Complex

When parents realize they can apply for CCB support, they must start a complicated application process. CCB representatives will need documentation that may take time to gather, like birth certificates, proof of marital status and paperwork from the previous year’s tax filing. Language barriers for Indigenous communities may prevent them from getting applications in their first language.

Divorce is another consideration. Experts predict that around 30% of marriages end in divorce, and the custody arrangement determines which parent is entitled to the CCB.

Appeals for previously approved benefits during divorce or after income changes can also take weeks to months. Not knowing how they’ll pay bills can cause high stress or anxiety for parents in the meantime.

The Payment System Needs Updating

Research shows that CCB payments keep 588,000 children out of poverty and raise the family incomes of an additional 750,000 kids above $20,000 annually. Helping parents cover the cost of living requires a reliable payment system. CCB participants receive their monthly support through cheques or direct deposits. 

While those methods are helpful, the automated benefits don’t involve a family check-in process. If a parent receiving CCB loses their job or experiences a medical emergency, their payments won’t fluctuate to account for the changing financial situations. The mental health strain that occurs when CCB payments become inadequate may last until the appeals process finishes months later. Parents might also have to wait for benefits changes until they file taxes the following year.

Nontraditional Families and Vulnerable Groups May Not Qualify

Some family dynamics don’t qualify for CCB support. Parents must live with their children to get CCB payments, which doesn’t account for families where the parents live close to their jobs while loved ones care for their kids in another city. They may be unable to change their living situation due to their employment, even if it prevents them from getting the CCB benefits their children need.

Additionally, people who don’t file their annual taxes can’t get CCB approval. That includes Canadian citizens who live in the United States or elsewhere because they don’t have to file taxes with Canada if they don’t live within the country.

Nonresidents also don’t have to make an annual tax payment, so they wouldn’t get CCB support either. Immigrants are among the most vulnerable. Not receiving CCB benefits puts them at greater risk of living in poverty. 

The CCB Assumes Women Are Primary Caregivers

CCB guidance states that when a female parent is in the same household as the children who need CCB benefits, she is automatically the primary caregiver. The designation also means she has to be the parent applying for CCB payments. 

The sex-based assumption causes undue stress in numerous ways. Dads automatically have to jump through more hoops for their much-needed benefits. CCB guidelines require a letter from a female parental figure naming someone else as the primary caregiver to navigate around the legal requirement. Parents in same-sex marriages may also need to fill out extra documentation that makes their application experience longer.

Making women the immediate caregivers is also gender discrimination. Young girls already report poor mental health because they feel they have to conform to societal gender norms. Reinforcing those forms of discrimination with policies like making women the automatic caregivers could exacerbate the anxiety or depression women already feel about grappling with traditional family roles.

Current and Ongoing Reforms Parents Should Know About

People are trying to improve the CCB for everyone needing extra financial support. Organizations like the Canadian Centre for Men and Families (CCMF) are advocating for positive changes to make the program more equal for men and women. When the CCB meets the needs of modern families, the parental mental health of those involved will likely improve.

Gender-Neutral Parental Designations May Happen Sooner Than Later

The CCB’s primary caregiver rule may not benefit every family. While the policy still stands, change may occur soon. Groups like the CCMF are calling for the Income Tax Act (ITA) to undergo an amendment eliminating section 122.6(f) so that women are no longer automatically caregivers under Canadian tax law. The CCB could then update its own policy to comply with tax regulations. If more people and organizations advocate for the same change, the CCB application process may get less stressful for parents who don’t identify as female.

People Are Calling for Mental Health Allocations

CCB payments currently cannot cover therapy costs. Parents and children must find funding for mental health care with the personal income available after using CCB payments for food or schooling. If families could use that financial support to get therapy, their mental health may improve.

Increased Payments Could Tie to Income Changes

The CCB changes each year due to inflation rising or falling. Families recently received an increase of up to $350 in annual funding for the 2024-2025 tax year. However, that number doesn’t change if a parent loses their job. Addressing that gap in financial support is an ongoing advocacy challenge that may occur if more people vocalise the need for real-time income-based payments.

Expect Additional Changes in the Coming Years

Continuous change can improve the mental health of parents involved in the CCB application and appeals process. Learning about how the program makes families more stressed reveals where you can help through public advocacy and where you might face the most common challenges within the system. Understanding what you’re up against may ease the mental burden of those experiences because you or your loved one will know what’s coming.

Jack Shaw is the senior editor of the men’s lifestyle magazine Modded and an advocate for men’s mental health. He has written extensively on the issues faced by single parents and those struggling with trauma, mental health disorders, and more. His tips, breakdowns and personal experiences have been published in TinyBuddha, Calmerry, The Company of Dads and more.