Losing a job can cause concern especially if the job was the only source of income for you. You start wondering how to put food on the table, paying bills and supporting your family. This could lead to depression and other mental illness. Fortunately, in Canada, there are several benefits which you can claim if you have a prolonged mental or physical disability. The main ones include:
- Employment Insurance Benefits
- Canada Pension Plan (CPP) Disability Benefits
- CPP Children’s Benefits for Dependents under 25 Years
- Disability benefits for Veterans
- Disability Tax Credits
- Provincial and Territorial Benefits
- Benefits from your Employer
- Private Insurance benefits
Who can Claim and how to Claim Disability Benefits
In the benefits listed above, they have different requirements for various disabilities. You may qualify for one and not the other. You must read their guidelines to find out if you qualify to claim and how to claim these benefits.
Claim Employment Insurance Benefits
This will be available to you if you lose your job or you are unable to work through no fault of your own. Some reasons that could prevent you from working include sickness, quarantine or injury. In either case, you could be eligible for up to 15 weeks of employment insurance sickness pay. If you meet the above criteria, the application procedure involves filing in an application form and submitting it online or to any Service Canada office.
How to Claim CPP Disability Benefits
To qualify for Canada Pension Plan (CPP), you must have contributed to the plan during your working years. In particular, you must have contributed to the plan for a certain number of years; be under 65 years; have a prolonged and severe physical or mental disability; and the disability prevents you from working regularly.
The monthly benefits may be paid to you or your children under 25 years old. You need to apply as soon as you qualify for the plan because it could take several months to process your application. If you apply and are told that you are not eligible, you can ask for your application to be reviewed or considered afresh. You apply in writing by filling the form ISP 1151 and submitting it to a service Canada office with all requisite documents.
If you are a Quebec resident, you apply for Quebec Pension Plan (QPP), an equivalent of CPP.
Who can Claim and How to Claim Disability benefits for Veterans
You qualify for this benefit if you have become disabled in the course of serving in the Canadian Army or the Merchant Navy. To claim successfully, you must have been diagnosed with a medical condition and show that the condition is related to your service. In some instances, you may receive a lump sum payment.
In such a case, it is advisable to enlist the services of a financial advisor to advise you on the best way of investing the money.
You do not have to worry about the cost of hiring a financial advisor because such costsscan be reimbursed. The procedure of applying includes filling in the application form and submitting it to a service Canada office with all supporting documents such as medical reports and employment details.
Can you Claim Disability Benefits When Unemployed?
You can claim disability benefits when unemployed but you must have lost your employment due to the disability. Other than disability benefits, you can also get other unemployment benefits when you have a child and when you are on sick leave.
Provincial and Territorial Disability Benefits
These may vary slightly depending on your province. However, the following are common across all the provinces.
Social Assistance
You can get social assistance from your province and municipal government. Social assistance benefits depend on your savings, investments and household income. Additionally, you may be eligible for health related benefits from your province or territory. The benefits cover such costs as medication, dental services and medical aid.
Workers’ Compensation
If you are a victim of a work accident or work-related illness, you could be eligible for compensation from the Workers Compensation Board. However, you need to know that this payment may affect your workers employment insurance sickness benefits.
Employer Sponsored Health Care Benefits
Your employer may have a health care plan that can cover some of your medical expenses such as physiotherapy and prescription drugs.
Employer Sponsored Disability Benefits
Some employers usually take out employee disability insurance. You will need to find out from your employer what disability insurance may be available to you. In many instances, disability insurance covers part of your salary when you cannot work due to an injury or sickness.
Employer Sponsored Pension
It is possible to get disability benefits through your employer’s pension if you have been contributing to the plan. This will usually take the form of an early retirement benefit.
Disability Tax Credit
If you get mentally or physically disabled, you may be eligible for a disability tax credit. This is meant to reduce the amount of income tax that you would have to pay. You may be eligible for the tax credit if you are supporting someone living with disability. Receiving other disability benefits does not automatically entitle you to disability tax credit. You have to apply to the Canada Revenue Agency which will consider your application.
Medical Expense Tax Credit
Medical expense tax credit scheme allows you to recover the cost of treatment, devices and certain medicines. You can claim the credit if you incurred the expense on your own behalf, on behalf of your spouse or child. It covers expenses incurred in modifying your home or car to make it more accessible, keeping a service animal and sign language interpretation services.
