Government of New Brunswick

Applicants, clients, and/or dependents must access all resources which may be available to them, including for example: insurance, Canada Pension Plan (CPP), Employment Insurance, Employees' Compensation, Student Aid, etc.

Applicants, clients, and/or dependents who are disabled or who are aged 60 years or more must apply for CPP benefits - see Awaiting Income other than EI.

All income must be confirmed with the appropriate documentation on file.


Calculation of Income

All income other than wages is normally calculated at the gross amount. Applicants who have, for example, Income Tax deductions being made from Canada Pension Plan benefits, should have that income calculated at the real net income amount for the first month. The client must be advised that it will be calculated at the gross amount from the second month on. By completing a Revenue Canada TD1 form, the client can ensure that the income tax will be deducted at the minimal rate based on household size and anticipated yearly income.

A deduction may be subtracted from the gross amount if the client is required to pay the deduction (i.e., an overpayment from Employment Insurance).


Income Exemptions

The following sources of regular income are not to be included in the calculation of available resources for applicants or clients, except for those receiving assistance under Section 4(4):

  • Assistance with Rental Costs subsidies
  • Child Tax Benefit
  • Foster Home Payments
  • GST Credit
  • Subsidized Adoption Payment
  • Child Support Payments
  • Donations - Donations are tangible items of basic need such as food, clothing and household and personal articles that are provided to a client by family, friends or community agencies. The department would not consider donations as income regardless of the frequency in which they are received.
  • The portion of money provided by the Minister of Training and Employment Development under the Training and Skills Development Program that is not intended to be spent for an item of basic need.
  • Mental Health rent subsidies to clients

Some Lump Sum Payments and Assets such as those to HIV/AIDS infected hemophiliacs, thalidomide victims and their survivors; compensation payments to Japanese Canadians or victims of sexual abuse; while usually exempt, must be considered for those applying for assistance under Section 4(4).

Money given to a client as a result of fundraising events is not considered as income or asset to determine eligibility for basic assistance and need not be entered in NB Case.  This money is only considered to determine eligibility for special benefits.

Money given by Mental Health to one of their clients to help them with their rent will not be considered as income or as an asset in determining eligibility for basic assistance.


Income Types
Payments To A Third Party

Payments are sometimes made directly to a third party (ex: mortgage or loan payments etc.) on behalf of clients in the following types of circumstances:

This does not refer to any payments made directly to the client as such payments must be considered income, regardless of what the intention of such payment is. "Payments to a third party" refers only to payments made to someone other than the client.

Payments made on behalf of clients for social assistance items are treated as income up to the percentage allotted for that basic item. Percentages are:

  • Clothing: 10%
  • Food: 30%
  • Household & Personal: 7.5%
  • Shelter: 25%
  • Transportation: 7.5%
  • Utilities & Heat: 20%

Payments made for non-social assistance items will be considered as income except court ordered payments made for non-social assistance items, which will not be considered as discretionary funds available to the client.