Canada Emergency Response Benefit (CERB). Is it right for you?
There is a lot of information and technical language surrounding the Canada Emergency Response Benefit (CERB). We wanted to do our best to simplify the program for you and answer questions that are most relevant to our beauty industry community.
How do I know if I qualify for the CERB?
You qualify if you have involuntarily stopped working due to COVID-19. You must be without income for at least 14 consecutive days within the initial 4-week benefit period that you apply for; you must expect to be without income to qualify for subsequent benefit periods.
What’s the difference between Employment Insurance (EI) and the CERB?
- If you have stopped working due to COVID-19, you should apply for the CERB – whether or not you qualify for EI.
- You cannot be paid the CERB and EI at the same time, so do not apply for CERB if you are currently on EI.
- With the CERB, you will receive $500/week (for up to 16 weeks), regardless of whether you would have been eligible to receive more or less on EI.
- If you are currently eligible for both EI and the CERB, apply for the CERB. You will retain your eligibility for EI after you stop receiving the CERB. In other words, receiving the CERB does not impact your EI entitlement.
When and how will I receive the CERB?
You will receive the money within 10 days of your application by cheque or direct deposit. You will receive it sooner if you choose direct deposit. The CERB is paid in four-week “blocks” or benefit periods, in the amount of $2000.
Is CERB taxable?
Yes, it is taxable, however tax will be not deducted for you. You will need to report the benefit as income when you file your 2020 income taxes.
See the Government of Canada’s full Q&A here.
Apply for the CERB here.