Income or Bank Balance

[SCC]

Hey guys, we are in the process of hiring a caregiver under HCP.. We got a letter from IRCC that we need to prove that we have the ability to pay the Caregiver and needed 3 years of NOAs from CRA.
Question is do you need NOAs or what if I have cash sitting in the bank to cover the salary of the caregiver... Will that work?

Please help seniors!!

Thanks

 

[canuck78]

Hey guys, we are in the process of hiring a caregiver under HCP.. We got a letter from IRCC that we need to prove that we have the ability to pay the Caregiver and needed 3 years of NOAs from CRA.
Question is do you need NOAs or what if I have cash sitting in the bank to cover the salary of the caregiver... Will that work?

Please help seniors!!

Thanks

Both. If you are not working and earning a good income it would not make sense to deplete a large amount of your savings on a nanny if you aren’t earning a lot of money.

 

[Naturgrl]

They need the NOAs to show you meet LICO and then the added salary for a full time nanny. Cash alone is not enough because cash may be needed for emergency purposes.

 

[SCC]

Do I have to meet the LICO or can be off by a few dollars as I am not quite making the cut off but have quite a few savings.. Still working though

 

[mr.preetsingh]

Do I have to meet the LICO or can be off by a few dollars as I am not quite making the cut off but have quite a few savings.. Still working though

I am pretty sure I read on canada.ca about 85K CAD or more should be the annual income of Employer and NOA should be proved for 3 years under that 85 K CAD income.

 

[SCC]

Couldn't find that anywhere on IRCC site

 

[mr.preetsingh]

Couldn't find that anywhere on IRCC site

Its a calculation....
The thumb rule is
Your annual income – LICO based on your family size – the worker’s salary > 0

Your annual income - $ 49,106 (LICO in Winnipeg for a family of 4) - $11.90 CAD per hour (minimum wage Winnipeg) Should be > 0
Your annual income - $ 49,106 (LICO in Winnipeg for a family of 4) - $ 25 K CAD (salary of HCCP Employee - Avg) Should be > 0

Now, for the job offer, I have put 17 CAD for HCCP in my application, since 11.90 is too low and the applicant's LICO should match to some extent

Then if you have a mortgage and other debts (although it should not matter but who knows what IRCC is looking for), Your salary should be more than 60-70 K CAD in Manitoba to become an employer....

And if the annual income is 85K CAD, there is no doubt about rejection on terms of a job offer after paying the worker’s salary and after deducting the amount equal to Low Income Cut-off based on your family size, you should still be able to have some savings left to justify hiring a worker.

Now, if your employer is in BC or Ontario, these factors will change according to the province.

I did ask a number of consultants about Employer annual income, and everybody was recommending 85K CAD +

Rest, you can do the math yourselves...

 

[Naturgrl]

Do I have to meet the LICO or can be off by a few dollars as I am not quite making the cut off but have quite a few savings.. Still working though

You say a few dollars so under $100? They will want to see you meet LICO over the past 3 years to be able to afford a full time caregiver. You can show savings but they want to see ongoing income. Why use savings for a caregiver. You may be fortunate.

 

[Felixzo1]

Need more clearification

 

[Naturgrl]

Need more clearification

Clarification for what. Everything has been explained to you. You need to show NOAs to prove you meet LICO. @mr.preetsingh explained it very well.

 

[canuck78]

Its a calculation....
The thumb rule is
Your annual income – LICO based on your family size – the worker’s salary > 0

Your annual income - $ 49,106 (LICO in Winnipeg for a family of 4) - $11.90 CAD per hour (minimum wage Winnipeg) Should be > 0
Your annual income - $ 49,106 (LICO in Winnipeg for a family of 4) - $ 25 K CAD (salary of HCCP Employee - Avg) Should be > 0

Now, for the job offer, I have put 17 CAD for HCCP in my application, since 11.90 is too low and the applicant's LICO should match to some extent

Then if you have a mortgage and other debts (although it should not matter but who knows what IRCC is looking for), Your salary should be more than 60-70 K CAD in Manitoba to become an employer....

And if the annual income is 85K CAD, there is no doubt about rejection on terms of a job offer after paying the worker’s salary and after deducting the amount equal to Low Income Cut-off based on your family size, you should still be able to have some savings left to justify hiring a worker.

Now, if your employer is in BC or Ontario, these factors will change according to the province.

I did ask a number of consultants about Employer annual income, and everybody was recommending 85K CAD +

Rest, you can do the math yourselves...

Should really be after tax income minus cost of caregiver minus all fixed expenses must be over zero.

 

[mr.preetsingh]

Should really be after tax income minus cost of caregiver minus all fixed expenses must be over zero.

Expenses are part of LICO. Cause every one has a different lifestyle.

 

[canuck78]

Expenses are part of LICO. Cause every one has a different lifestyle.

Things like avg cost of living will need to factor in because making 85k in a large city will mean that after taxes you are spending a large percentage of your income on a nanny. In Canada if your family income is not above 150k it likely doesn’t make financial sense to hire a nanny unless you have 2-3 children who will need full-time childcare for over a year and you make more than you would pay in childcare plus the expenses of going to work, you work shift work and finding childcare is difficult or there is another reason like a medical reason your child can not go to daycare.

 

[mr.preetsingh]

Things like avg cost of living will need to factor in because making 85k in a large city will mean that after taxes you are spending a large percentage of your income on a nanny. In Canada if your family income is not above 150k it likely doesn’t make financial sense to hire a nanny unless you have 2-3 children who will need full-time childcare for over a year and you make more than you would pay in childcare plus the expenses of going to work, you work shift work and finding childcare is difficult or there is another reason like a medical reason your child can not go to daycare.

My point is, against the cost of living model, IRCC has specifically mentioned about LICO everywhere....

 

[Felixzo1]

Does this apply to Hsw. what is the financial requirement for a family of 2 to hire a worker