Foster parents in Ontario receive a monthly allowance from the government to help cover the costs of caring for a foster child. This article explains how the allowance works, what the rates look like, what the money is intended to cover, and whether it is considered taxable income — so you can go into fostering with a clear and accurate picture of the financial side.
Here’s what we’re going to cover:
- Do Foster Parents Get Paid in Ontario?
- How Much Is the Foster Care Allowance in Ontario?
- What Does the Foster Care Allowance Cover?
- Is the Foster Care Allowance Taxable in Ontario?
- Is Fostering a Calling or a Career?
Do Foster Parents Get Paid in Ontario?
Foster parents in Ontario receive a monthly maintenance allowance — but it is important to understand what that means. The allowance is not a wage or salary. It is a reimbursement meant to offset the costs of caring for a child: food, clothing, shelter, transportation, and daily living expenses. You are not being paid for your time or your caregiving work. The allowance is specifically designed so that fostering a child does not come at a personal financial loss to your household.
This distinction matters. Families who come into fostering expecting it to function as employment often find the financial reality disappointing. Families who come in understanding the allowance as a cost-coverage tool tend to be better prepared and more satisfied with the experience.
Learn About Becoming a Foster Parent
How Much Is the Foster Care Allowance in Ontario?
The foster care maintenance allowance in Ontario is set by the province and varies based on the age of the child and, in some cases, the complexity of their needs.
Basic Maintenance Rate
The basic maintenance rate is the standard monthly amount paid for each foster child. As a general reference, rates in Ontario are structured by age group, with older children receiving a higher allowance than younger children — reflecting the typically higher costs associated with older youth. Rates are periodically reviewed and updated by the province, so the most current figures are best confirmed directly with your Children’s Aid Society or foster agency.
As a rough guide, monthly rates have historically ranged from approximately $800 to $1,100 per child depending on age, though current rates may differ. Your agency will provide you with the precise figures applicable to your situation before any placement begins.
Enhanced Rates for Higher-Needs Children
Children with more complex needs — including those with medical conditions, developmental delays, significant trauma histories, or behavioural support requirements — may qualify for enhanced maintenance rates. These rates are higher than the basic allowance and are intended to reflect the additional demands and costs involved in caring for a child with greater support needs. Enhanced rates are assessed on a case-by-case basis through the child welfare system.
What Does the Foster Care Allowance Cover?
The monthly allowance is intended to cover the child’s basic living costs while they are in your care:
- Food and meals
- Clothing and footwear
- School supplies and fees
- Transportation to school, appointments, and access visits
- Personal hygiene and household items related to the child
- Recreational and social activities
Medical and dental care are covered separately. Foster children in Ontario receive dental and vision coverage through government programs, and their prescription medications are covered under the Ontario Drug Benefit Program. You are not expected to pay these costs out of the maintenance allowance.
For a full breakdown of what ongoing foster care expenses look like, see How Much Does Fostering a Child Cost in Ontario?
Is the Foster Care Allowance Taxable in Ontario?
The foster care maintenance allowance is generally not considered taxable income in Canada, provided the payments are for the care of a child placed with you by a government agency or a licensed foster agency. The Canada Revenue Agency distinguishes between the maintenance allowance — which is a reimbursement for the child’s care — and taxable income. Most foster parents do not report their maintenance payments as income on their tax returns.
That said, tax situations vary, and it is always wise to speak with a tax professional about your specific circumstances. Your foster agency or Children’s Aid Society can also provide guidance on how the allowance is classified and what documentation you may need for tax purposes.
Is Fostering a Calling or a Career?
The maintenance allowance makes fostering financially accessible for most families — but it is not structured as a career path or income replacement. The families who find fostering most rewarding are those who are drawn to it by a genuine desire to support children who need a safe, stable home, and who see the financial support as a practical enabler rather than the point of the arrangement.
Foster children in Ontario need caregivers who are patient, committed, and emotionally invested in their wellbeing. At Safe Harbours, we work closely with foster families throughout Hamilton and the surrounding area to ensure they feel supported at every stage — financially, practically, and emotionally. If you are ready to take that step, Learn About Becoming a Foster Parent and find out how we can support you through the process.