Are you wondering what the Canada FED deposit in your bank account is and why you received it?
Canada FED is a Canada Revenue Agency (CRA) payment.
If you recently received a Canada FED deposit, then you were found to be eligible for a tax credit after CRA assessed your taxes, or you applied for a benefit claim.
What is Canada Fed deposit in my bank account?
Canada Fed is one of many transactions codes the Canadian federal government uses to deposit money into your account for various benefits like:
- Canada Child Benefit (CCB)
- Child Disability Benefit (CDB)
- Goods and Services Tax/Harmonized Sales Tax (GST/HST)
- Canada Workers Benefit (CWB)
- Climate Action Incentive Payment (CAIP)
- COVID-19 Benefits
The Canada Fed deposit transaction code “CANADA FED/FED” will appear in your bank statement and Online bank account if you are eligible for Canada Fed payment, as in the image below.
Canada Fed Deposit Dates 2023
The Canada Fed Deposit dates vary depending on the benefits or credits you are eligible for. Canada fed deposit dates for 2023 are as below:
Canada Child Benefit (CCB)
CCB is a federal government program that assists low to moderate-income families to help offset the cost of childcare.
CCB payment dates for 2023 are:
- January 20, 2023
- February 20, 2023
- March 20, 2023
- April 20, 2023
- May 19, 2023
- June 20, 2023
- July 20, 2023
- August 18, 2023
- September 20, 2023
- October 20, 2023
- November 20, 2023
- December 13, 2023
How much CCB can you expect?
The CCB you receive depends on how many kids under 18 you have and your family’s net income from the previous year.
- You can receive a maximum of $6,997 per year per child under age 6.
- You can receive a maximum of $5,903 per year per child under age 17.
Unlike other government benefits, you won’t automatically qualify for CCB when your child is born. You’ll have to apply at the time of birth registration.
Canada Child Disability Benefit (CDB)
As the name suggests, the CDB is an additional benefit to the CCB.
Families with children under 18 with a qualifying physical or mental disability may be eligible for the child disability benefit.
How much CDB can you expect?
The maximum CDB per child is $2,985 per year and is paid monthly on the same date as the CCB benefit payment.
Goods and Services Tax/Harmonized Sales Tax (GST/HST)
The GST/HST tax credit helps offset the amount of sales tax low or modest-income families pay on purchases.
You don’t need to apply for a GST/HST tax credit, and you’ll be automatically signed up if eligible upon filing your taxes.
The GST/HST tax credit is paid quarterly to eligible Canadian families and individuals.
GST/HST payment dates for 2023 are:
- January 5, 2023
- April 5, 2023
- July 5, 2023
- October 5, 2023
How much GST/HST can you expect?
The GST/HST credit you receive depends on your family income, the number of children you have, and your previous tax returns.
- If you are single, you could receive GST/HST credit up to $467 and,
- $612 if you are married or have a common-law partner in 2022/2023
- If you have children, you could receive $161 per child under age 19.
The GST/HST credit was increased by 50% in September 2022 for 6 months, doubling the benefit as of November 2022.
Canada Workers Benefit (CWB)
Canada worker’s benefit is meant to supplement low-income individuals and families and is a refundable tax credit.
You can claim this benefit while submitting your yearly taxes, like the GST/HST tax credit.
CWB payment dates for 2023 are the same as the GST/HST credit:
- January 5, 2023
- April 5, 2023
- July 5, 2023
- October 5, 2023
How much CWB can you expect?
How much CWB you receive depends on your net income and in which province you reside.
- Single individuals can receive a maximum of $1,395 per year, and families can receive $2,403
- You can also receive up to $720 additional CWB supplement if eligible.
Climate Action Incentive Payment (CAIP)
The Climate Action Incentive Payment (CAIP) is a tax-free benefit paid to Alberta, Ontario, Saskatchewan, and Manitoba residents to help offset the federal carbon tax.
As of July 2023, PEI, Newfoundland & Labrador, and Nova Scotia residents will become eligible for federal fuel charges.
The CAIP payment dates for 2023 are:
- January 13, 2023
- April 14, 2023
- July 14, 2023
- October 13, 2023
How much CAIP can you expect?
The CAIP you receive varies based on the size of your family and the province you reside in.
CAIP payments for 2023-2024 are as follows:
| FAMILY MEMBER | ONTARIO | MANITOBA | SASKATCH. | ALBERTA |
|---|---|---|---|---|
| First Adult | $488 | $528 | $680 | $772 |
| Second | $244 | $264 | $340 | $386 |
| Third Adult | $122 | $132 | $170 | $193 |
| Family of 4 | $976 | $1056 | $1360 | $1544 |
If you live in a qualifying rural or small community, you can expect a 10% increase in the CAIP amount.
COVID-19 Benefits
The following COVID-19 benefits were issued as Canada Fed deposits during the pandemic:
- Canada Emergency Response Benefit (CERB)
- Canada Recovery Sickness Benefit (CRSB)
- Canada Recover Benefit (CRB)
- Canada Recovery Care Giver Benefit (CRCB)
- Canada Worker Lockdown Benefit (CWLB)
- Canada Emergency Student Benefit (CESB)
These benefits are no longer available, but if you received any of the above, they were issued as a Canada Fed deposit, and the transactions were coded “Canada FED/FED as in the image below:
Who is eligible for Canada Fed Payments?
The Canada Fed deposit is issued to help low and middle-income Canadians to improve their quality of life.
Only those who meet the conditions for each applicable program receive Canada Fed payment.
How to Use Your Canada Fed Payments?
With the extra cash from the Canada Fed deposit, you can buy something you have been thinking about for a while or take a vacation.
You can also use the tax credit and benefits to build a nest egg by:
Paying off debt:
You can pay off any debt you owe, like a credit card or car loan, and lower your balance to save on high-interest fees.
You can use any money you save to build a nest egg by lowering your bills.
Creating an Emergency Fund:
If you don’t have at least 3 months’ worth of expenses in your savings, you can use your tax refund to set up an emergency fund.
You can set up a new bank account for emergencies so you don’t accidentally spend all your money from your chequing account.
A few banks in Canada offer no-fee banking, and you can utilize one like Tangerine or EQ bank to set up an emergency fund.
Investing in TFSA:
You can save any tax credit or benefit to a Tax-Free Savings Account (TFSA).
Any investment growth in your TFSA is tax-free, and you can withdraw your contributions at any time without paying taxes on your capital gains.
The TFSA contribution limit for 2023 is $6,500.
Investing in RRSP:
You can invest your tax credits and benefits into an RRSP and claim tax deductions for the upcoming year.
Registered Retirement Savings Plan (RRS) contributions are tax-deductible. The RRSP contribution limit for 2023 is 18% of income earned in the previous tax year, up to a maximum of $31,560.
Is Canada Fed Taxable?
Nope. Canada Fed payments are not taxable; you don’t need to report them on your next tax return.
Canada Fed FAQs
How can I confirm my Canada Fed payment?
Access your CRA MyAccount and click on benefits on the overview page to check your eligible benefits.
You can also reach out to CRA by phone at 1-800-387-1193
Why did I get a deposit from Canada Fed today?
You qualified for the Canada Fed deposit based on your income/benefits claim when you filed your taxes and received a deposit.
Your Canada Fed payment from the government of Canada could be related to the Canada Child Benefit, GST/HST credit, Climate Action Incentive, or Canada Workers Benefit.
What is Canada fed/fed deposit?
“CANADA FED/FED” is the transaction code for the Canada Fed deposit that appears in your bank statement and online bank account.
What is Canada Fed deposit $900?
The $900 Canada fed deposit is a covid-19 Canada Recovery Benefit (CRB). If you noticed it in your bank account, then you must have applied for CRB.
The CRB benefit is no longer available.
What is Canada Fed deposit $600?
The $600 Canada Fed deposit is a one-time disability payment from the government during the pandemic for eligible Canadians.
What is Canada Fed deposit $300?
The $300 Canada fed deposit is also a one-time COVID relief payment for Canadian Seniors who receive Old Age Security (OAS)
What is the $600 federal payment Canada 2023?
The $600 federal payment in 2023 is part of Alberta’s affordability action plan for Albertans struggling with inflation and the high cost of living.
Families with less than $180,000 per year in household income in Alberta can apply for a $600 per child under 18.
Is the Canadian government giving extra money in 2023?
The Government of Canada announced in March 2023 budget it will give a one-time grocery rebate for low-income earners due to high inflation.
Final Thoughts
You’ll receive a Canada Fed deposit if you are entitled to a federal benefit based on your yearly tax filing or applied for an eligible benefit.
The Canada Fed deposit is one of many abbreviations for federal government payments you receive.
Let me know in the comments if you received a Canada FED/FED deposit.
And if this post helped you learn something new, share it with others.
Written by Sunil Raaj.