Actual expenditures
We build our annual budget to respond to Veterans in need of benefits and services. A key part of this process is forecasting, which helps ensure there is enough funding for all eligible Veterans who are likely to need help in a given year. Our annual budget fluctuates each year due to the demand-driven nature of our programs—based on Veterans’ needs and entitlements. In other words, a Veteran who is entitled to a benefit or service receives it, whether 10 or 10,000 come forward.
While forecasting helps ensure enough funding is available, expenditures are only incurred for Veterans who in fact come forward to use the program or service. The design of the Government’s budget process accounts for these fluctuations, which is why there will be changes to both forecasted and actual spending from one year to the next. Fluctuations in spending are normal, given that initial forecasting is typically done many months in advance of the reporting period and adjusted throughout the year based on actual results. In addition, due to timing, new spending announced in Budget 2020 is not included in the planned spending figures.
In the midst of a global pandemic, we maintain our commitment to meeting the needs of all Veterans and providing the benefits and services our clients so rightly deserve. Despite the impact COVID-19 has had on the current environment, we continue to deliver benefits and services to our Veterans and their families.
| 2018–19 Actual |
2019–20 Actual |
2020–21 Actual |
2021–22 Planned |
2022–23 Planned |
2023–24 Planned |
|
|---|---|---|---|---|---|---|
| Statutory | 33 | 37 | 85 | 44 | 36 | 35 |
| Voted | 4,657 | 4,796 | 4,752 | 6,247 | 5,311 | 4,444 |
| Total | 4,690 | 4,832 | 4,837 | 6,291 | 5,346 | 4,479 |
Budgetary performance summary for Core Responsibilities and Internal Services (dollars)
| Core Responsibilities and Internal Services | 2020–21 Main Estimates | 2020–21 Planned spending | 2021–22 Planned spending | 2022–23 Planned spending | 2020–21 Total authorities available for use | 2018–19 Actual spending (authorities used) | 2019–20 Actual spending (authorities used) | 2020–21 Actual spending (authorities used) |
|---|---|---|---|---|---|---|---|---|
| Benefits, Services and Support | 5,106,760,246 | 5,106,760,246 | 6,148,513,828 | 5,218,769,515 | 5,288,431,616 | 4,528,562,537 | 4,625,183,299 | 4,660,494,971 |
| Commemoration | 42,966,357 | 42,966,357 | 44,896,867 | 41,833,215 | 45,713,337 | 45,032,805 | 81,485,684 | 42,205,327 |
| Veterans Ombudsperson | 5,483,671 | 5,483,671 | 5,605,796 | 5,605,779 | 5,686,723 | 3,735,430 | 4,115,574 | 5,193,514 |
| Subtotal | 5,155,210,274 | 5,155,210,274 | 6,199,016,491 | 5,266,208,509 | 5,339,831,676 | 4,577,330,772 | 4,710,784,557 | 4,707,893,812 |
| Internal Services | 82,491,980 | 82,491,980 | 91,955,946 | 80,016,670 | 131,335,908 | 113,132,181 | 121,589,799 | 128,739,691 |
| Total | 5,237,702,254 | 5,237,702,254 | 6,290,972,437 | 5,346,225,179 | 5,471,167,584 | 4,690,462,953 | 4,832,374,356 | 4,836,633,503 |
Variance between 2020–21 Actual Spending and 2020–21 Planned Spending
As shown in the tables, we spent $4.8 billion in 2020–21, over 90% of which came in the form of payments to Veterans, their families, and other program recipients. Our actual spending for fiscal year 2020–21 was $401 million lower than what we had planned to spend, due mainly to the following:
Benefits, Services and Support
- Demand for certain programs was less than forecasted. The pandemic impacted the number of clients applying for certain health services, which require an in-person aspect such as dental, audio (hearing services), health-related travel and special equipment purchases.
- Payments made during the year for the correction of indexation of Disability Pensions were less than anticipated due to fewer estate applications than forecasted.
Commemoration
- Actual clients and average costs were less than expected for the Last Post Fund.
Internal Services
- Increased spending to continue our efforts to increase capacity in order to continue to reduce processing times and improve the delivery of services and programs to Veterans and their families.
- Payments made during the year for compensation adjustments for newly signed collective agreements.
Planned spending 2021–22 to 2023–24
Over the next three years, planned spending will fluctuate due to increased demand for certain programs and services, while temporary funding for certain initiatives concludes.
Budget 2020 brought with it two years of “Service Excellence,” the Government of Canada’s commitment of more than $192 million over two years in additional funding in 2020–21 and 2021–22 to put this plan into action. This initiative allowed us to temporarily increase the workforce by approximately 480 resources (approximately 23%) in Benefits, Services and Support with a goal of improving services by reducing processing times through four lines of effort: