Skip to main content

Featured

Start Saving Now for September: Your RESP Checklist Before the School Year Hits

  Canadian Money Brief · Family Finance September feels a long way off on July 1. That's exactly why now is the right time to look at your child's RESP — not in late August when the school supply list arrives and the grant math gets rushed. If you have a Registered Education Savings Plan (or you've been meaning to open one), here's what to check right now, and why the calendar year — not the school year — is what actually matters. Why July, Not August The Canada Education Savings Grant (CESG) — the government's 20% match on RESP contributions — runs on the calendar year , not the school year. Grant room for 2026 resets on a January-to-December basis, and it doesn't carry any special "back to school" deadline. But summer is genuinely the best time to check your numbers, for three reasons: You still have six full months left in the year to top up if you're behind. Contributions made now have more time to grow before your child needs the money. You av...
Post a Comment
Read more

article

Labels

The GST Credit Is Gone: What the New Canada Groceries and Essentials Benefit Means for Your Wallet

 

Canadian Money Brief · Government Benefits

As of today, July 1, 2026, the GST/HST credit no longer exists under that name. It's been replaced by the Canada Groceries and Essentials Benefit (CGEB) — and for most recipients, the cheques (or direct deposits) are about to get bigger.

If you've been getting the GST/HST credit, here's exactly what's changing, how much more you can expect, and when the money actually shows up.

What Actually Changed

The CGEB isn't a brand-new program from scratch — it's the GST/HST credit, renamed and enhanced. The federal government made two moves this year:

  1. A one-time top-up equal to 50% of your 2025–26 annual GST/HST credit amount, which started landing in bank accounts on June 5, 2026.
  2. A permanent-feeling 25% increase to the base benefit, in effect for five years starting with the July 2026 payment, and indexed to inflation.

Both are automatic. If you filed your 2024 tax return and qualified for the GST/HST credit, you don't need to apply for anything.

How Much More You'll Get

Here's the before-and-after for the 2026–27 benefit year, including the one-time top-up:

Household TypeOld Max (2025–26)New Max (2026–27, w/ top-up)
Single adult$533Up to $950
Couple, no kids$698Up to $1,227
Family of four (2 kids)$1,066Up to $1,890

Figures reflect maximum entitlement for lower-income households; actual amounts phase out as adjusted family net income (AFNI) rises above roughly $42,500. After this year's top-up, ongoing annual increases settle at about 25% above the pre-CGEB base — for example, a single adult's steady-state benefit lands around $700/year going forward.

When the Money Lands

The CGEB keeps the same quarterly schedule as the old GST/HST credit:

  • July (this payment reflects the new 25% increase)
  • October
  • January
  • April

If you have direct deposit set up with the CRA, that's the fastest route. If not, expect a cheque in the mail — and it's worth setting up direct deposit through your CRA My Account to avoid delays going forward.

How to Make Sure You Get It

There's no separate application. The CRA calculates your eligibility automatically from your tax return. The one thing that can hold up your payment:

  • Not filing your 2024 tax return. Even with zero income, you need to file to be assessed.
  • Your spouse or common-law partner not filing. The CRA uses your combined adjusted family net income, so both returns need to be on file.
  • Outstanding government debt. If you owe money on prior benefits or taxes, your CGEB payment may be applied to that balance first.

The Bottom Line

The rename might cause some confusion at tax time and on your bank statement — some institutions may still label it "GST/HST credit" for a while as systems catch up. But the substance is a real increase: more money, same schedule, no extra paperwork. If your household qualifies, this July payment should already reflect the higher amount.

Quick tip: If you haven't filed your 2024 return yet, do it now — it's the only thing standing between you and this payment.

Labels:

Comments

Post a Comment