In Canada, being in a relationship by marriage or common law can be disadvantageous when it comes to disability support programs. For a person living with a disability who relies on income from the Ontario Disability Support Program (ODSP) or from the new federal Canada Disability Benefit (CDB), entering a marriage or common-law relationship can trigger benefit reductions.
Canadian income support programs assess financial eligibility based on household income. When a non-disabled partner earns employment income, that income is factored into the benefit calculation formulas for both ODSP and the CDB, reducing the disabled partner’s support payments once earnings exceed respective thresholds.
ODSP
For a single individual living with a disability in Ontario, ODSP grants an earnings exemption designed to incentivize employment as $1,000 can be earned per month without affecting support payments. For every dollar earned above that threshold, the ODSP payment is reduced by 75%.
However, the rules change when an ODSP recipient has non-disabled spouse. The non-disabled spouse does not get the $1,000 earnings exemption and a different formula to calculate potential clawbacks:
The exemption limit – The working, non-disabled spouse is allowed to earn just $200 per month before clawbacks begin.
The reduction rate – For every dollar they earn above the $200 threshold, the payment is reduced by 50%.
Example – Consider a person who works and earns $2,500 per month. They have a disabled spouse (with no children) who is a recipient of the ODSP program and technically should receive $2,107 per month in 2026.
Reduction – ($2,500 – $200) × 50% = $1,150
ODSP benefit without reductions – $2,107
Remaining monthly payment – $2,107 – $1,150 = $957
In this example, if a couple (where one person has a disability) is entitled to a maximum monthly ODSP benefit of $2,107 per month, and the partner earns $2,500 per month in employment income, the ODSP support payment would be reduced to $957 monthly.
CDB
The Canada Disability Benefit (CDB) has a maximum entitlement of $2,450.40 per year ($204.20 per month) and uses Adjusted Family Net Income (AFNI) to determine payment.
If the recipient is single – are allotted the maximum $204.20/month benefit if net income is $23,000 or less (after a $10,210 working income exemption).
If the recipient has a spouse or partner – The threshold moves to a combined household of $32,500 (after a combined $14,294 working income exemption).
The reduction rate – For every dollar of household income that exceeds the threshold, the federal government claws back the benefit at a rate of 20%.
Example – Consider a person who works and earns $5,000 per month, or $60,000 annually. They have a disabled spouse (with no children) who is a recipient of the CDB program and technically should receive $204.20 per month in 2026.
Adjusted Family Net Income (AFNI) – $60,000 – $14,294 = $45,706
Amount Over Threshold – $45,706 – $32,500 = $13,206
Clawback – $13,206 × 20% = $2,641.20
The CDB annual reduction of $2,641.20 is greater than the maximum of $2,450.40 per year. Consequently, a spousal salary of $60,000 triggers a clawback that reduces the disabled partner’s Canada Disability Benefit to $0