British Columbia - Maytree (2024)

Last updated: July 2024

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In this section you will find:

Components of welfare incomes

In British Columbia, households that qualify for basic social assistance payments also qualify for:

• Recurring additional social assistance payments from the province,
• Federal and provincial child benefits for households with children, and
• Federal and provincial tax credits or benefits.

Together, these components form a household’s total welfare income. Households may receive less if they have income from other sources, or more if they have special health- or disability-related needs.

In 2023, all example households in British Columbia received additional payments from both the provincial and federal governments related to the increased cost of living due to high inflation. These payments are included where applicable in the table below.

Table 1BC shows the value of the welfare income components of the four example household types in British Columbia in 2023. All four households are assumed to be living in Vancouver, receiving provincial social assistance starting January 1 and for the entire year, and earning no employment income. The child in the single-parent household is two years old and the children in the couple household are ten and 15. Other assumptions for calculating incomes are in the methodology section.

Table 1BC: Components of welfare incomes for all example households in British Columbia, 2023

Total annual welfare incomes in 2023 ranged from $13,251 for the unattached single considered employable to $40,758 for the couple with two children. The unattached single with a disability received $19,089 and the single parent with one child received $28,001.

Basic social assistance: Three of the example households received Income Assistance while the unattached single with a disability received Disability Assistance. Basic Support Allowance amounts remained unchanged in 2023, but Shelter Allowance amounts increased by $125 per month in July.

Additional social assistance: All four households received additional social assistance benefits. All four received an annual Winter Supplement (formerly the Christmas Allowance), which increased from $35 to $60 for the unattached single households and from $70 plus $10 for each dependent child to $120 plus $20 for each dependent child for the single parent and couple households in 2023. The couple with two children also received an annual School Start-Up Supplement, which increased from $100 to $120 for the ten-year-old and from $175 to $210 for the 15-year-old in 2023. The unattached single with a disability received the $624 Transportation Supplement, which recipients could choose to receive as a bus pass issued through the BC Bus Pass Program or as a $52 per month payment intended to assist with transportation costs. The Transportation Supplement amount remained unchanged in 2023.

Federal child benefits: Both households with children received the Canada Child Benefit (CCB), which increased with inflation in July 2023 from $583.08 to $619.75 per month for a child under six years of age and from $491.91 to $522.91 per month for a child aged six to 17.

Provincial child benefits: Both households with children received the monthly BC Family Benefit, which increased in July 2023. For the first six months of the year, the single parent with one child received the first child amount of $133.33 per month, and the increased $145.83 per month for the last six months. The couple with two children received the first child amount of $133.33 plus the second child amount of $83.33 per month for the first six months, while in the last six months they received the increased first child amount plus the increased second child amount of $91.67.

The single parent with one child also received $250 from the new BC Family Benefit Single Parent Supplement, which came into effect in July and was paid in the amount of $41.67 per month, for a total of $500 per year.

Both households with children also received the BC Family Benefit Temporary Enhancement, which was a time-limited cost of living-related payment of $58.33 per child per month in January, February, and March, for a total of $175 for each child.

Federal tax credits/benefits: All four households received the GST/HST credit, which increased in July 2023 with inflation. The unattached single considered employable and the unattached single with a disability received $315.50 in basic GST/HST credit, while the single parent with one child received $631 and the couple with two children received $963.

Three households also received the GST/HST credit supplement: the unattached single considered employable received $17.97, the unattached single with a disability received $132.08, and the single parent with one child received the maximum amount of $166.

All households also received the Grocery Rebate, which was an additional one-time GST credit payment related to the increased cost of living due to high inflation, paid in July 2023. The unattached single considered employable received $163.86, the unattached single with a disability received $220.91, the single parent with one child received $386.50, and the couple with two children received $467.

Provincial tax credits/benefits: All four households received the BC Sales Tax Credit and the BC Climate Action Tax Credit (BCCATC). The BC Sales Tax Credit base amount was unchanged at $75 per adult. However, because of the credit's very low income thresholds, the amounts received by three households were reduced due to the prior year's net income; the unattached single with a disability received $35.78, the single parent with one child received $66.20, and the couple with two children received $77.90.

The two BCCATC payments for the first half of 2023 totalled $96.76 for the two unattached single households, $193.52 for the single parent with one child, and $250.04 for the couple with two children. For the second half of 2023, the two payments totalled $223.50 for the two unattached single households, $335.25 for the single parent with one child, and $446.75 for the couple with two children.

All four households also received the BC Affordability Credit in January and April, which was an enhancement to the BCCATC related to the increased cost of living due to high inflation that began with a single payment in the fall of 2022. The unattached single households each received $328, the single parent with one child received $656, and the couple with two children received $820.

Cost-of-living payments

As mentioned earlier, all four households received payments from both the provincial and federal governments related to the increased cost of living resulting from high inflation in 2023. The BC Affordability Credit, which was an enhancement to the BC Climate Action Tax Credit, was paid in January and April 2023 and provided $328 to both unattached single households, $656 to the single parent with one child, and $820 to the couple with two children. The BC Family Benefit Temporary Enhancement of $58.33 was paid monthly in January, February, and March and provided the single parent with one child with $175 and the couple with two children with $350. The federal Grocery Rebate was paid in July 2023 and was equivalent to the two regular GST credit (and credit supplement if applicable) payments received in the first half of 2023. These amounts are included in, and are not in addition to, the benefits described in the Components section above.

Table 2BC: Cost-of-living payments for all example households in British Columbia, 2023

Changes to welfare incomes

Figures 1BC and 2BC show how the total welfare incomes for each of the four example household types in British Columbia have changed over time.

Note that the values are in 2023 constant dollars, not current dollars, calculated using the Canada CPI. Using constant dollars takes into account the effect of inflation given that inflation reduces current dollar values over time. Also note that using the CPI for British Columbia would result in a slightly different trendline.

Figure 1BC: Welfare incomes for example unattached single households in British Columbia 1986–2023, in 2023 constant dollars

Total welfare incomes for both unattached singles followed a similar pattern across the time series. A generally increasing trend between 1986 and 1994 was followed by a decline until the mid-2000s. After a slight increase, another period of gradual decline followed into the mid-2010s. Increases through to 2019, particularly for the unattached single with a disability, were followed by a significant increase in 2020, which was primarily due to COVID-19 pandemic-related payments, especially those provided by the province. Declines in 2021 and 2022 were due to a combination of the loss of those payments and the effects of high inflation. The slight increase in 2023 was primarily due to one-time or time-limited payments intended to address high inflation as well as increases in basic and additional social assistance benefits.

In 2023, the unattached single considered employable received $13,251 in total welfare income, which is a 5 per cent increase compared to 2022 and a 28 per cent increase since the start of the time series, in constant 2023 dollars. The unattached single with a disability received $19,089 in 2023, which is a 2 per cent increase over 2022 and a 20 per cent increase across the entire time series, in constant 2023 dollars.

Figure 2BC: Welfare incomes for example households with children in British Columbia 1986–2023, in 2023 constant dollars

The total welfare incomes of the households with children also followed a similar pattern across the time series. Increases through the mid-1990s were followed by a period of gradual decline until the mid-2000s. Small increases through 2010 were followed by another period of gradual decline until 2014. Increases between 2015 and 2019 were largely due to changes to child benefits. In 2020, welfare incomes rose sharply, primarily due to COVID-19 pandemic-related payments from both provincial and federal programs. Declines in 2021 and 2022 were due to a combination of the loss of those payments and the impact of high inflation. Small increases in 2023 were mostly due to one-time or time-limited payments intended to address high inflation, increases to and new child-related benefits from provincial programs, as well as increases in basic and additional social assistance benefits.

In 2023, the single parent with one child received $28,001, which is a 4 per cent increase compared to 2022 and a 32 per cent increase since the start of the time series, in constant 2023 dollars. The couple with two children received $40,758 in 2023, which is a 3 per cent increase compared to 2022 and a 33 per cent increase across the entire time series, in constant 2023 dollars.

Adequacy of welfare incomes

The adequacy of a household’s total welfare income can be assessed by comparing it to established thresholds of poverty and/or low income.

Two measures of poverty are commonly used in Canada:

• The Market Basket Measure (MBM), Canada’s Official Poverty Line, identifies households whose disposable income is less than the cost of a “basket” of goods and services that represents a basic standard of living.
• The Deep Income Poverty (MBM-DIP) threshold identifies households whose disposable income is less than 75 per cent of the MBM.

There are also two commonly used measures of low income:

• The Low Income Measure (LIM) identifies households whose income is substantially below what is typical in society (i.e., less than half of the median income).
• The Low Income Cut-Off (LICO) identifies households that are likely to spend a disproportionately large share of their income on food, clothing, and shelter.

Note that MBM thresholds vary by province and community size, and LICO thresholds vary by community size. As such, we use the thresholds for the province’s largest city, Vancouver, in the analysis below. Note also that we use after-tax LIM and LICO thresholds, and that the LIM thresholds for 2023 are estimates based on increasing the 2022 thresholds to account for inflation.

Also note that none of the poverty or low-income measures currently in use in Canada accounts for the higher cost of living faced by people with disabilities, and that these additional costs are not reflected in our analysis.

More information about the thresholds is available in the methodology section.

A table containing comparisons of the welfare incomes of the four example household types in British Columbia with all four poverty/low-income thresholds is available for download.

Poverty threshold comparisons

The welfare incomes of all four example household types in British Columbia were below Canada’s Official Poverty Line (MBM) in 2023, and all four were below the Deep Income Poverty threshold (MBM-DIP). This means that all four British Columbia households were living not only in poverty in 2023, but in deep poverty.

Figures 3BC and 4BC compare 2023 welfare incomes for the four example household types to the 2023 MBM and MBM-DIP thresholds for Vancouver.

Figure 3BC: Welfare incomes and poverty thresholds for example unattached single households in British Columbia, 2023

The unattached single considered employable had the least adequate income relative to the poverty thresholds. Their income was $8,560 below the Deep Income Poverty threshold and $15,831 below the Poverty Line. This means their income was 61 per cent of the MBM-DIP and only 46 per cent of the MBM.

The unattached single with a disability fared better, with an income that was $2,723 below the Deep Income Poverty threshold and $9,993 below the Poverty Line. This means their income was 88 per cent of the MBM-DIP and 66 per cent of the MBM.

Note that the poverty experienced by people with disabilities is underrepresented because neither the MBM nor the MBM-DIP account for the additional costs associated with disability. See the methodology section for more information.

Figure 4BC: Welfare incomes and poverty thresholds for example households with children in British Columbia, 2023

The income of the single parent with one child was $2,844 below the Deep Income Poverty threshold and $13,126 below the Poverty Line. This means their income was 91 per cent of the MBM-DIP and 68 per cent of the MBM.

The income of the couple with two children was the most adequate relative to the poverty thresholds. Their income was $2,865 below the Deep Income Poverty threshold and $17,405 below the Poverty Line. This means their income was 93 per cent of the MBM-DIP and 70 per cent of the MBM.

Low-income threshold comparisons

The welfare incomes of the example households were also below, and in some instances less than half of, the low-income thresholds, as shown in the table linked above.

The least adequate income relative to the thresholds was that of the unattached single considered employable, whose total welfare income was only 44 per cent of the LIM and 52 per cent of the LICO.

The income of the couple with two children was the most adequate relative to the LIM, at 68 per cent. Their income was also 85 per cent of the LICO. The single parent with one child had an income that was the most adequate relative to the LICO, at 91 per cent. Their income was also 66 per cent of the LIM.

The unattached single with a disability had an income of 64 per cent of the LIM and 75 per cent of the LICO.

The LIM and LICO thresholds used are for after-tax income, as noted above.

Changes to adequacy of welfare incomes

Figures 5BC and 6BC show the total welfare incomes of each of the four example household types in British Columbia as a percentage of the Market Basket Measure (MBM), starting in 2002.

The black line at the top of each graph (i.e., the 100 per cent threshold) represents Canada’s Official Poverty Line. This means that the graphs show how far below the Poverty Line the four households’ total welfare incomes have been in each year over the past 22 years.

The grey line indicates the Deep Income Poverty threshold, which is 75 per cent of the MBM. The graphs therefore also show the relationship between total welfare incomes and deep poverty in each year over the past 22 years.

Three trendlines for each household are shown in the graphs. These lines illustrate the relationship between welfare incomes and changes made to the MBM due to “rebasing.” The two rebasings, occurring in 2008 and 2018, are indicated with a dotted vertical line.Rebasing updates the measure, including the items and costs included in the basket, to better reflect contemporary circ*mstances and typically creates a higher poverty threshold than that of a previous base. The trendlines demonstrate changes to household poverty levels within the years in which each base is applied. A trendline rise within those periods indicates an improvement in a household’s level of poverty while a decline indicates a deepening of their poverty. For the years in which rebasing took place (2008 and 2018), we include the percentage of welfare income relative to the MBM using both the previous and the new base to show how rebasing affects adequacy.

Note that MBM thresholds vary by province and community size. The MBM thresholds used here are for Vancouver. More information is in the methodology section.

Figure 5BC: Welfare incomes as a percentage of the MBM for example unattached single households in British Columbia, 2002–2023

The total welfare income of the unattached single considered employable was least adequate relative to the Poverty Line of all the example households across the time series. In 2002, their income was only 44 per cent of the Poverty Line. After a period of general decline with some fluctuations, their income increased in 2020 to a high of 51 per cent of the Poverty Line and ended the time series in 2023 at 46 per cent.

Overall, the income of the unattached single considered employable ended the time series two percentage points higher relative to the Poverty Line than it started, indicating very little progress on improving the depth of their poverty over the past 22 years. As well, the income of the unattached single considered employable was below the Deep Income Poverty threshold across the entire time series, meaning that they consistently lived in deep poverty for the last 22 years.

The total welfare income of the unattached single with a disability started the time series at 66 per cent of the Poverty Line in 2002. Similar variations occurred across the time series, with a more notable increase in 2017, reaching a high of 74 per cent in 2020. Their income ended the time series in 2023 at 66 per cent of the Poverty Line.

Overall, the total welfare income of the unattached single with a disability was the same in 2023 as it was in 2002, which means that this household was living at the same depth of poverty in 2023 as they were in 2002. In addition, although their income was closer to the Deep Income Poverty threshold across the entire time series than that of the unattached single considered employable, their income remained below that threshold, meaning that they would have consistently lived in deep poverty for the last 22 years.

Figure 6BC: Welfare incomes as a percentage of the MBM for example households with children in British Columbia, 2002–2023

The welfare income of the single parent with one child started the time series at 66 per cent of the Poverty Line and stayed at about the same level until an increase in 2007; it declined back to 66 per cent in 2008 and remained roughly the same until 2014, followed by increases through 2017. A decline after the 2018 rebasing was followed by significant improvements in 2020 and 2021. Those improvements were followed by another decline in 2022 and an increase in 2023, when their income ended the time series at 68 per cent of the Poverty Line.

Overall, the welfare income of the single parent with one child was two percentage points higher at the end of the time series than it was at the beginning, meaning that there has been only very slight progress made on alleviating their poverty. Their income was also below the Deep Income Poverty threshold across the entire time series, meaning that they would have consistently lived in deep poverty for the last 22 years.

The welfare income of the couple with two children started at the slightly lower level of 62 per cent of the Poverty Line in 2002, declining slightly to 56 per cent in 2014, and rising through 2017. The decline after the 2018 rebasing was followed by an improvement in both 2019 and 2020 to a high of 73 per cent. Two years of declines thereafter were followed by the slight increase to 70 per cent of the Poverty Line in 2023.

The welfare income of the couple with two children was 11 percentage points higher in 2023 than in 2002, which indicates that the depth of their poverty lessened over the time series. However, their income also remained under the Deep Income Poverty threshold across the time series, which means they would have consistently lived in deep poverty for the last 22 years.

Access to data

The data for British Columbia is available for download, including:

1. Components of welfare income for all households, with a breakdown of cost-of-living payments.
2. Welfare incomes in 2023 constant dollars over time for all households.
3. Welfare incomes in current dollars over time for all households.
4. Adequacy of welfare incomes: a comparison of each household’s welfare income with all four poverty and low-income thresholds.
5. Adequacy over time: each household’s welfare income relative to the Official Poverty Line (MBM) from 2002–2023.