The updated amounts are now calculated at 12.5% above the Low Income Cut-Off (LICO) and vary based on family size
Canada has increased the minimum financial requirement for economic immigration applicants, with the new settlement fund thresholds coming into effect from July 29, 2025. The annual revision, published by Immigration, Refugees and Citizenship Canada (IRCC), could affect eligibility for new applicants seeking permanent residency under economic pathways.
The updated amounts are now calculated at 12.5% above the Low Income Cut-Off (LICO) and vary based on family size. According to IRCC, the new cut-off amounts are as follows:
- person: $3,815
- 2 people: $4,750
- 3 people: $5,840
- 4 people: $7,090
- 5 people: $8,042
- 6 people: $9,070
- 7 people: $10,098
- Each additional person: $1,028
IRCC recommends that all applicants verify their financial readiness based on the new figures. These requirements apply to all applicants unless they are already working in Canada with a valid work permit.
Applicants must include themselves, their spouse or common-law partner, and all dependent children, even if those family members are Canadian citizens, permanent residents, or not accompanying them to Canada.
What qualifies as proof of funds?
To meet IRCC requirements, applicants must provide official letters from financial institutions. These must be printed on the institution’s letterhead and include:
- The bank’s contact details
- Applicant’s full name
- List of all current accounts with account numbers and opening dates
- Current and six-month average balances
- Details of any outstanding debts
Funds must be liquid, unencumbered, and legally accessible, both at the time of application submission and visa issuance. If the spouse is included in the application, joint accounts are acceptable. Accounts solely in the spouse’s name may also be considered if access is clearly demonstrated.
Rules for bringing funds to Canada
While there is no cap on the amount of money newcomers can bring, Canadian customs requires a declaration for any amount over CAN$10,000. Undeclared amounts may be subject to fines or seizure.
Acceptable formats include:
- Cash
- Stocks, bonds, treasury bills
- Banker’s drafts, travellers’ cheques, or money orders
The funds are meant to help immigrants cover their living costs during the initial settlement period.
IRCC advises all applicants to research the cost of living in their planned province or city to ensure adequate preparation for the move.
