Last checked: 11 October 2026
You can work while receiving Ontario Works, and you must report your earnings each month. Once the standard exemption starts, the first $200 of monthly net earnings is exempt and so is half the amount above $200. The exemption normally starts after three continuous months on assistance.
An exemption is income kept out of the benefit calculation. Your payment also depends on your household’s assistance entitlement and other income.
How the earnings calculation works
Ontario Works uses net earnings after allowed deductions, including income tax, CPP, EI and union fees. Some deductions are added back, such as wage garnishments and child or spousal support taken from pay. Keep the full pay stub so the office can calculate the correct amount.
For the standard exemption, the calculation is:
Counted earnings = half of monthly net earnings above $200.
Earnings of $200 or less have no counted amount once this exemption applies. The table below illustrates the published formula; these are calculation examples, not recipient records. [2]
| Monthly net earnings | Amount exempt | Amount counted |
|---|---|---|
| $150 | $150 | $0 |
| $200 | $200 | $0 |
| $600 | $400 | $200 |
| $1,000 | $600 | $400 |
These figures assume the standard exemption has started and exclude other income and special deductions. The counted amount reduces assistance; it is not your final benefit payment.
When the exemption starts
The standard earnings exemption normally applies after three continuous months receiving Ontario Works or ODSP assistance. It is generally unavailable at the initial application and during the first three months.
During the waiting period, net earnings generally reduce assistance without the $200 and 50% exemption. Eligible child care deductions can still apply immediately. For example, $250 in net earnings would count as $250 if no other deduction or exemption applies. The earnings report affects the following month’s assistance.
Some returning recipients qualify immediately: the policy includes people who previously completed the qualifying period and reapply within six months after leaving assistance with earnings from employment, a business or a training program. Your caseworker determines whether those conditions fit your file.
Report income even below the exemption
Submit a report every month, including a month with no earnings. Ontario lists MyBenefits, the phone reporting system and the Statement of Income form as reporting routes. Earnings paid during a reporting period affect the following month’s assistance.
Follow the reporting deadline shown by your office. List each payment using its payment date, employer and amount, with pay stubs to support the figures. Two deposits in one period both belong in that report.
If you discover a missed payment or wrong amount after submission, send your caseworker the correction and the matching pay stub. Save the submission confirmation with that month’s records.
School and self employment have extra rules
Full-time students who remain eligible for Ontario Works can have a wider earnings exemption. Single recipients generally become ineligible when they start full-time postsecondary studies. Confirm your assistance eligibility before enrolling, even if student earnings would be exempt. If you are considering retraining, compare the assessment routes in the Better Jobs Ontario guide.
For self-employment, Ontario Works uses business income after its approved expenses. Report revenue and keep receipts for the expenses you claim. Child care costs also have deduction rules.
The business expense rules for Ontario Works are separate from tax rules. Your caseworker can explain an expense that falls outside the usual categories before it is included in a report.
When you start work or leave assistance
Ontario Works offers approved employment supports to eligible participants, including help with some costs of starting or keeping a job. Contact your office about a specific cost before paying it.
If your earnings are enough to close the file, confirm the final payment and any continuing health benefits with your caseworker. Our Ontario Works payment dates guide helps you plan around the payment schedule.
ODSP uses different earnings rules. Apply the rules for the program that pays your benefit; the Ontario Works table above is for Ontario Works.
