The 2024 Federal Budget was released on April 16, 2024. Below are the highlights related to Group Benefits.

Pharmacare

  • A commitment to create a providing single-payer coverage for contraceptives and diabetes medications, with a $1.5 billion funding allocation over five years
  • New federal funding will expand and enhance, rather than replace, existing provincial and territorial spending on public drug benefit programs
  • The $1.5 billion does not include the cost of diabetic supplies included in the Pharmacare bill
  • The provinces would be the first payer under the federal Pharmacare plan

Disability Benefits

In June 2023, the Government passed the , which creates the legal framework for a direct benefit for low-income working-age persons with disabilities.

  • Budget 2024 allocates $6.1 billion in funding over six years, beginning in 2024-25, and $1.4 billion annually ongoing for the benefit
  • The document outlines payments to eligible Canadians totalling no more than $2,400 a year starting in July 2025

Housing measures

  • Home Buyers’ Plan (HBP) withdrawal limit will increase from $35,000 to $60,000
  • First-time home buyers purchasing newly constructed homes are now eligible for 30-year mortgage amortizations
  • Intention to restrict the purchase and acquisition of existing single-family homes by very large corporate investors

Canada Pension Plan (CPP)

Budget 2024 announced a stronger Canada Pension Plan (CPP). In coordination with provincial partners, the Federal Government proposes to make technical amendments to the CPP legislation. These amendments would:

  • Provide a top-up to the Death Benefit for specific contributors
  • Introduce a partial children’s benefit for part-time students
  • Extend eligibility for the disabled contributors’ children’s benefit when a parent reaches age 65
  • End eligibility for a survivor pension to people who are legally separated after a division of pensionable earnings

For complete details about the 2024 Federal Budget, visit .

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