National Council of Welfare
Symbol of the Government of Canada

BRITISH COLUMBIA (BC)

  • BC is one of three jurisdictions (SK & AB) without any government action towards a poverty reduction strategy
  • BC has no earnings exemptions for clients other than those with a disability
  • Ranked second highest across provinces for a single person with a disability (after Ontario)
  • Substantial decreases in allowable asset levels for families with children since 1989

CURRENT SITUATION

  Single employable person Single person with a disability Lone parent with a 2-year-old child Couple with two children aged 10 & 15
BC 2009 WI $7,778 $11,392 $16,899 $21,179
Rank* among provinces 3 2 5 8
% of MBM 52% 76% 86% 70%
% of After-tax LICO 42% 62% 75% 61%
% of After-tax median income
32%
47%
48%
28%
Highest 2009 WI $9,593 (NL) $12,905 (ON) $19,297 (NL) $24,045 (PE)
Lowest 2009 WI $3,773 (NB) $8,665 (NB) $14,829 (MB) $19,775 (NB)

* #1 rank is the highest

 

CHANGES IN WELFARE INCOMES FROM 1986 TO 2009  

  • No rate increases to any client groups during 2009.
  • For all four household types, BC's peak year (highest over time) was in 1994.  Since then there have been losses in total welfare income ranging between $1,319 and $2,659.

LIQUID ASSET EXEMPTION POLICY

  • BC is one of two provinces (the other is Quebec) that have lower asset exemption levels for applicants than recipients, except for a single person with a disability.

 Single employable person Single person with a disability Lone parent with a 2-year-old child Couple with two children aged 10 & 15
2009 Applicants exemption $150 $3,000 $250 $250
2009 Recipients exemption $1,500 $3,000 $2,500 $2,500
1989 exemption adjusted to 2009 for inflation (Applicants)
$245
$3,823
$2,294
$2,294
  • Liquid asset exemption levels have decreased over the last 20 years for all four household types. 
  • Largest decreases were for lone parents with one child and a couple with two children.  Both dropped by over $2,000 once adjusted for inflation. 

 

EARNINGS EXEMPTION POLICY

  • BC is one of two provinces (SK is the other) that do not allow any exemption on earned income.  All earnings are deducted dollar for dollar from the welfare cheque.  Only recipients of disability benefits are permitted an earnings exemption.
  Single employable person Lone parent with a 2-year-old child Couple with two children aged 10 & 15 Single person with a disability
Applicants No exemption No exemption for first 3 months
Recipients            $500

EXAMPLE

Treatment of monthly earnings of $400
  Single Person Lone Parent
Amount exempted $0 $0

Income is deducted from welfare cheque.

  •  BC has had its own WITB model since 2007.  Under its model, maximum benefits are paid at higher income levels than under the federal model. 
  • A single employable welfare recipient with $400 earnings/month would have been eligible for $12 in WITB in 2009 ($1/month).

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Date Modified:
2012-09-27