ALLOWABLE INCOME INCREASE FOR ODSP

In September 2022, individuals who receive financial support through the Ontario Disability Support Program (ODSP) received a 5% increase.  This increase was to assist both individuals and families receiving assistance pay for the increases in basic needs and shelter.


Effective February 1, 2023, the allowable income exemption for the Ontario Disability Support Program (ODSP) will be increased to $1,000 from $200 per month.  What this means for individuals who are working while collecting ODSP is that they will be allowed to keep more of their income from ODSP.


For instance, in March an individual who receives $1,072 from ODSP and receives $500 in the middle of the month from their employer would have a total income of $1,572.  In April they would receive their full ODSP of $1,072 without any deductions.  If they received $1,001 from their employer in April, their total income would be $2,071.  In May their ODSP cheque would be $1,071.  This means that they are able to keep more of their income from ODSP.


Individuals receiving ODSP will not lose their health benefits while they are working should their employer not provide them.  If their employment income is under $1,000, they would receive the full ODSP income.


For example, Joe started working at the local hardware store making $15.50 per hour for 20 hours per week.  If Joe works 40 hours for the month, he would make (before deductions) $620.  For the month his total income would be $1,692.  The following month Joe would receive his full ODSP cheque and if his employment income is under $1,000, he would receive his full ODSP cheque the following month.



Dave Copeland is a Financial Advisor in Sudbury, Ontario.  The information from the blog “Allowable Income Increase for ODSP” derives from the Ministry of Children, Community and Social Services website.