OTTAWA – The 2022 federal budget, released April 7, provides some good news for seniors, particularly when it comes to income support and tax credits for making homes safer and more accessible.
New Horizons for Seniors Program
The budget proposes $20 million to be spent over two years, beginning 2022-23, for the New Horizons for Seniors Program.
The federal funding program provides grants of up to $25,000 for projects improving the quality of life for seniors through volunteerism, community engagement, elder abuse awareness, and social participation and inclusion.
Grants are also available for capital costs with new and existing community projects and programs.
Dental care
As part of a confidence-and-supply arrangement with the NDP, the Liberals have allotted $5.3 billion for a national dental program initially addressing families with children under 12 years of age, and an income of under $90,000, before expanding to include seniors in 2023.
Full implementation would be expected for 2025, but few details have been provided.
Income support increasing for pensioners over 75
The maximum Guaranteed Income Supplement benefit will increase by 10 per cent for single seniors age 75 and older beginning this July, providing at least $766 in additional dollars to fullpensioners in the first year, according to the budget.
That increase isn’t new – it’s planned for in last year’s budget, but reinforced in the 2022 budget.
According to the federal government, there were almost 6.9 million recipients under the banner of the Old Age Security program, including 2.2 million Guaranteed Income Supplement (GIS) recipients, and another 72,000 Allowance recipients.
Elderly benefits are projected to reach $61 billion for the 2021-22 fiscal year before increasing by a forecasted annual average of 7.4% in following years.
For the 2022-23 fiscal year, the OAS program is forecasted to pay out $68.2 billion to seniors, according to predictions contained in the budget.
That amount is expected to increase to $87.2 billion for the 2026-27 fiscal year due to an increasing elderly population, inflation (benefits are fully indexed) and the 10% bump in OAS payments.
The federal government’s intention to amend the Old Age Security Act is also worth mentioning.
The modification to the legislation would exempt a one-time payment made to seniors aged 75 and over in August from consideration in the GIS and Allowances income test.
Home Accessibility Tax Credit
With the goal of allowing seniors to live and age at home by making home accessibility alterations more affordable, the budget proposes increasing an expense limit for the Home Accessibility Tax Credit to $20,000 for 2022 and following years.
That translates to a potential tax credit of up to $3,000 from a previous limit of $1,500.
Alterations could include wheelchair ramps, accessible showers/bathtubs, widened doorways for wheelchairs, bedroom/bathroom retrofitting for first-floor occupancy and non-slip flooring.
Aging and brain health research
Considering one in four Canadians over the age of 85 are diagnosed with dementia, the budget proposes $20 million over five years (starting 2022-23) for the Canadian Institutes of Health Research to improve dementia and brain health research in addressing treatment and outcomes for those living with dementia, and to evaluate and address the mental health of caregivers as well as different care models.
Another $30 million, to be spent over three years starting 2022-23, is proposed for the Centre for Aging and Brain Health Innovation of Baycrest Health Sciences to study innovations in the field of aging and brain health.
