Government of New Brunswick

New wage exemption policy for persons with disabilities

Changes will be made to assist persons with disabilities keep money earned from either part-time, full-time or self-employment when calculating income for social assistance.

The fixed portion amount of the wage exemption for persons who are certified as disabled will increase from $250 to $500 monthly, while continuing to allow individuals with a disability to keep 30 per cent of every dollar earned beyond $500.

The chart below outlines the wage exemptions increase based on the household types:

 

Household Type Wage Exemption Amounts Before October 1, 2014
Wage Exemption Amounts After October 1, 2014
Single Disabled $250 fix portion amount   +  (30% of the balance of the earnings $500 fix portion amount   +  (30% of the  balance of earnings)
Two person unit (one or both disabled)
$300 fixed portion +  (30% of the balance of the earnings $500 fix portion amount   +  (30% of the  balance of earnings)

 

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Increase in allowable asset limits for persons with disabilities

Persons with disabilities will benefit from a liquid asset exemption of $10,000 per unit, an increase from the current $3,000 for single disabled and $4,000 for family disabled units.  An exemption of $50,000 in RRSPs will also be offered to persons with disabilities to allow those requiring assistance to qualify without liquidating accumulated assets and incurring a penalty.

 

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Increase in allowable asset amounts for applicants and clients

Life insurance and prepaid funeral amounts for clients and applicants will no longer be restricted, allowing them to qualify for income assistance without needing to liquidate these assets.  The business asset exemption period for self-employed clients or applicants will also change.  It will be extended to up to a full year from the current 90 days.

The chart below outlines the specific assets changes including which client groups will benefit:

 

Asset Type Current Exemption
October 1, 2014 Exemption amounts Client Group that Benefits
Life Insurance
$2,000 Unlimited All clients and applicants which includes persons with a disability
Prepaid Funerals
$4,280 Unlimited All clients and applicants which includes persons with a disability 
Business Assets Exempt for 90 days upon becoming eligible
Extend exemption up to a maximum of 12 months
All previously self-employed clients and applicants which includes persons with a disability
RRSP No exemption ($0.00)
$50,000 but only for disabled clients
Disabled clients/applicants
Liquid Assets $1,000
non-disabled singles

$2,000
non disabled familes

$3,000
single disabled



$4,000
family disabled
$1,000
non-disabled singles

$2,000
non-disabled families

$10,000 only for disabled clients (family and single units)

$10,000 only for disabled clients (family and single units)
Disabled clients/applicants

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New youth services programs

16-18 years old

A new service delivery model outside of the social assistance system will be put in place to better serve the specific needs of youth 16-18 years of age who are receiving social assistance. These youth will benefit from a new service delivery model focused on developing self-reliance and independence while also providing services and benefits available under other child welfare programs.  Through this program, case management will be expanded to include connections to family and/or community as well as provide support and services to minimize factors that prevent a successful transition to adulthood.

19 & 20 year old

Young adults 19 and 20 years of age will no longer be served under the Social Assistance Youth Policy. They will be served under the department’s existing Transitional Assistance or Extended Benefits Programs.  This change will result in an increase to the rate of assistance for this group.  For example, a single individual aged 19 or 20 will receive a monthly increase in their rate of social assistance from $358 to $537.

 

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