Wednesday 10 March 2021

Pandemic leaves Canadians either seeking help or with extra cash

Global News shows that the financial impact of COVID-19 could take years to fully understand. It seems that not every Canadian was dealt the same hand. People are left in various different financial situations.

Keehn says Canadians can be divided into two groups.  The first are those that used government programs like the Canadian Emergency Response Benefit (CERB) to pay their bills and continue to struggle making ends meet in a tough economy.  The second are full-time workers with benefits who put off spending money on vacations and are now sitting on extra cash.

Mike Drolet takes a look at the uneven economic impact of the last year.

The Canada Emergency Response Benefit (CERB) gives financial support to employed and self-employed Canadians who are directly affected by COVID-19. If you are eligible, you can receive $2,000 for a 4-week period (the same as $500 a week).

Certain Canadians are eligible for the CERB. You may be eligible if you have stopped working because of COVID-19. When submitting your first claim, you cannot have earned more than $1,000 in employment and/or self-employment income for a period of at least 14 or more consecutive days within the four-week benefit period of your claim.

It seems that CERB recipients won't have to repay benefit if they applied based on gross income. People who applied for the Canada Emergency Response Benefit based on their gross income, rather than net income, won't have to repay the benefit as long as they are otherwise eligible.

After you receive your last CERB payment, continue completing reports. In most cases, you do not need to apply for EI benefits. Your file will be automatically reviewed and your record of employment (ROE). Then, starts a claim for EI regular benefits if you qualify. If you don't qualify, you'll be notified by mail.

Canadian T4E slips for 2020 tax year:

If you received Canada Emergency Response Benefit (CERB) from Service Canada or any Employment Insurance (EI) benefit payments, you should get a T4E tax slip with the amounts you received. These benefit amounts are taxable income.

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