Understanding the Canada Emergency Response Benefit (CERB) 

During these challenging times, the Canadian government has introduced the Canada Emergency Response Benefit (CERB) to support its citizens. This article provides a comprehensive guide on understanding and applying for the CERB. 

What is CERB? 

CERB is a financial assistance program offering a monthly income subsidy of $2,000 to Canadians affected by COVID-19. This support is available for a duration of four months, starting from mid-March 2020. 

Who is Eligible? 

To be eligible for CERB, you must: 

• Reside in Canada and be subject to Canadian tax. 
• Be at least 15 years old. 
• Have earned a minimum of $5,000 from employment or self-employment in the previous 12 months or in 2019. This includes ineligible dividends from an incorporated business. 
• Have ceased working due to illness, job loss, or other reasons related to COVID-19 for a continuous 14-day period. 
• Have no income during those 14 days. 

Additionally, the Canadian government is considering allowing individuals to work up to 10 hours weekly and still be eligible for CERB, provided all other criteria are met. 

Examples of Eligibility: 

• John, the Real Estate Agent: John, a self-employed real estate agent, hasn’t received any commission since March 15 due to the pandemic. However, he had a successful February, earning $10,000 in commissions. John is eligible for CERB. 
• Kumar, the IT Consultant: Kumar, an IT professional with his own corporation, lost his client contracts because of COVID-19. He stopped working on March 15 and hasn’t had any income since. In January and February 2020, he received $8,000 as ineligible dividends from his company. Kumar is eligible for CERB.