The cost threshold is determined by multiplying the per capita cost of Canadian health and social services by the number of years used in the medical assessment for the individual applicant. This cost threshold is updated every year.
Effective December 1, 2014, the updated cost threshold is $6,387 per year. This figure is usually multiplied by five (unless the anticipated length of stay is shorter than five years or there is evidence that significant costs are likely to be incurred beyond that period, in which case the period is no more than 10 consecutive years). This results in the legislated threshold of $31,935.