The CPP benefit is a monthly payment based on your contributions. Every working person over the age of 18 in Canada outside of Quebec earning more than $3,500 per year (the minimum contribution amount) has a requirement to contribute to CPP. If you work for someone, you pay half the required contributions and your employer pays the other half. If you are self-employed you make the whole contribution.

Note: CPP payments are considered to be taxable income. To voluntarily request that federal income tax be deducted each month from your CPP payment, you can complete the Request for Voluntary Federal Income Tax Deductions form (ISP 3520).

For more information, click here.

To become qualified for CPP benefits, you must meet the following eligibility criteria:

• You are turning 60 years old within 11 months
• You have worked in Canada
• You have made at least 1 CPP contribution

For more information, click here.

CPP retirement pension does NOT start automatically. You can apply a maximum of 12 months before the date you would like your pension to start.

You can apply by:

1. Creating an online My Service Canada Account. (You should receive a decision within a month) OR
2. Completing the paper application and mail it or bring it to a Service Canada Centre.

Before applying for CPP, consider the following:

• The age when you plan on taking CPP (which may affect your monthly pension amount)
• Will you continue working while receiving the pension
• Savings and/or private pension plans
• What your retirement plans are and the lifestyle you would like after retirement
• Health, family health history or any disabilities
• Other income such as business investments, rental income, etc.

Note: If you are older then 65, you can request retroactive payments for a maximum of 11 months or back to your 65th birthday plus 1 month, (whichever is shortest).

For more information, click here.

The monthly CPP amount is calculated based on how much the applicant has contributed and for how long. When calculating whether the applicant meets the contribution requirements, Service Canada may drop certain months with the lowest earnings.

The applicant’s age will affect the CPP payment calculation. That is someone taking pension before age 65, will receive a reduced pension as opposed to someone taking an increased pension after the age of 65.

For more information, click here.

Canada has international Social Security Agreements with over 50 countries. For an individual who has worked in another country, it may help you qualify for pensions or benefits from Canada and/or from the other country if:

• You have worked in Canada and made at least one valid contribution to the CPP; and
• You have valid periods in a partner country that are creditable under the legislation of that country.

For more information, click here.

The amount of your pension will depend on how much and for how long you have contributed to the CPP and the age of which you want your pension to start. The standard age for beginning to receive CPP is 65. Some people choose to have their retirement early or late, if you decide to take your retirement:

• Early (60-64): you will take a 7.2% reduction for every year your pension begins early
• Late (65-70): your pension will increase 8.4% for every year your pension begins late

Note: By choosing to start your pension before age 65, you make this reduction permanent. The amount will not increase when you reach age 65.

In addition to your CPP application you can apply for other CPP benefits and provisions such as:

• Credit splitting: This refers to a divorced or separated applicant equally dividing the CPP contributions you and your spouse or common-law partner made during the time you lived together.
• Foreign benefits: If the applicant or their deceased spouse has lived or worked in Canada and in another country, you may be eligible for pensions and benefits from Canada and/or from the other country if the two has a social security agreement in place.
• Survivor benefits: If you are the estate, surviving spouse, common-law partner or child of a CPP contributor, you may be entitled to receive CPP survivor benefits.

Yes, your pension benefits can be combined. For example, if you are already receiving a CPP survivor’s pension and you apply for the CPP retirement pension or disability benefit, you will receive a combined monthly payment. However, the combined benefit is not the sum of the two pensions but simply a maximum payment amount.

For example: Marie is on Canada Pension Plan Disability (CPPD). Her husband passed away 2 months ago. She applied for the survivor’s pension. Her amount now is the maximum combined survivor’s pension and disability benefit for the year she is applying. Refer to the CPP pensions and benefits table for the maximum payment amount.

For more information on combining benefits, click here.

For the purpose of CPP benefits, a spouse is a person to whom you are legally married whereas a common-law partner is a person of either sex who has lived with you in a marriage-like relationship for at least one year.

For more information on how the Federal Government defines a spouse, click here.

For more information on how the Federal Government defines a common-law partner, click here.

To share your CPP with your spouse or common-law partner, you:

• Must be receiving your CPP or be eligible for CPP, and
• Must be living with your spouse or common-law partner

There are 2 ways to share a pension:

• If only one of you contributed to CPP, you can share the one pension.
• If both of you contributed to CPP, you and your spouse or common-law partner may receive a share of both pensions.

For more information, click here.

Spouses or common-law partners cannot apply for pension sharing if they are voluntarily separated at the time of application.

If spouses or common-law partners separate after the pension sharing is approved, the following applies:

• When the pension sharing involves CPP retirement pensions only, the pension sharing ceases the 12th month following the month in which the spouses or common-law partners start to live separate and apart.
• When the pension sharing involves both CPP and QPP retirement pensions, the pension sharing ceases the earliest of, the 12th month after the spouses or common-law partners separated, or the month in which a legal separation took place.

For more information, click here.

Credit splitting only applies in situations when the contributions made by you and your spouse or common-law partner can be equally divided after a divorce or separation. Credit splitting also applies even if one spouse or common-law partner did not contribute to CPP.

Benefits of CPP credit splitting:

• It may help you qualify for CPP benefits
• It can affect the CPP benefit amount for both you and your former partner

If you are remarried or are in a new relationship, you can still ask for CPP credits to be split with your former spouse or common-law partner. To apply, complete the CPP Credit Split form.

For more information, click here.

If you stopped working or earned less as a result of being the primary caregiver for your young children under the age of 7, the period where you were caring for your child will be excluded from the contributory period when calculating your CPP benefit amount. This will ensure that you get the highest possible CPP payment. The child rearing provision is in section 11 of the CPP application.

You may be eligible for the child-rearing provision if:

• You have children born after December 31, 1958;
• Your earnings were lower because you became the primary caregiver of a dependent child under the age of 7
• You or your spouse or common-law partner received Family Allowance payments or were eligible for the Canada Child Tax Benefit (even if you did not receive the benefit).

Note: Either spouse/partner can request the child-rearing provision, but it cannot be used by both parents for the same period of child-rearing.

For more information, click here.

The Canada Pension Plan (CPP) survivor’s pension is paid to a deceased person’s surviving spouse or common-law partner. You can also apply if you are a separated legal spouse and the deceased had no other common-law partner. The amount of benefits you may be eligible for depends on:

• The applicant’s age
• The deceased person’s CPP contributions
• Whether the applicant is receiving other CPP benefits

You should apply as soon as possible after the contributor’s death by completing the Canada Pension Plan survivor’s pension and children’s benefits application form (ISP1300).

For more information, click here.

A statement of contributions shows your total CPP contributions for all the years you contributed and the earnings on which your contributions are based. It also provides an estimate of what your pension or benefit would be if you and/or your family were eligible to receive it now.

To request the statement of contribution:

• Visit My Service Canada Account or
• Contact Service Canada at 1-800-277-9914

For more information, click here.

You may be eligible for the Old Age Security (OAS) pension if you have lived in Canada for at least 10 years after the age of 18. The OAS pension starts at the age of 65 and is paid from the general Government of Canada funds. You do not contribute to this pension like you would CPP.

The difference between OAS and CPP is that to receive a CPP retirement pension, you must have worked and made contributions to the Canada Pension Plan. Both you and your employer make equal contributions. If you are self-employed, you pay both portions. The CPP retirement pension can start as early as 60 or as late as 70.

To be eligible for OAS pension payments, the applicant must:

• Be 65 years or older
• Be a Canadian citizen or legal resident at the time of applying
• Have resided within Canada for at least 10 years after turning 18.

If the applicant is living outside of Canada, then they must have been a citizen or resident the day before they left and had resided in Canada for at least 20 years after turning 18. You may also qualify if you have lived in a country that has a social security agreement with Canada and you have contributed to that country’s social security system.

Note: You may still be eligible for OAS even if you have never worked or are still working in Canada.

For more information, click here.

The month after you turn 64 years old, Service Canada should send you a letter informing you that:

• You could be eligible for OAS and to apply, OR
• You were selected for automatic enrollment for OAS.

If none of the above occurred, you must apply for OAS on your own by completing the application form. After Service Canada has reviewed your application, they will inform you if they need additional documents and if you have been approved or been denied. If you disagree with Service Canada’s decision, you may request for reconsideration in writing within 90 days of the decision.

For more information, click here.

The 3 types of OAS benefits available are:

Guaranteed Income Supplement (GIS): is a monthly non-taxable benefit payment added to the pensions of those who are low income. To be eligible the applicant must be receiving the OAS pensions and be below the annual income limit. The amount received will be based off the applicant and their spouse’s annual income determined by each years tax returns.

Allowance: is a monthly non-taxable benefit payment for low income individuals. To be eligible the applicant must: be 60 to 64 years old, have a spouse or common-law partner who is eligible for GIS, be a Canadian citizen or legal resident, and have resided in Canada for 10 or more years after the age of 18.

Allowance for the Survivor: The requirements for the allowance for the survivor are the same as those for the regular allowance benefit with one exception: the applicant’s spouse has died and the applicant has not entered a new marriage or common-law relationship.

For more information, click here.

The OAS pension is calculated based on how long the applicant has lived in Canada after the age of 18. The maximum monthly payment may vary based on age, regardless of the applicant’s marital status.

For more information, click here.

When approved for OAS, the benefits payments will begin during one of the following months:

• The month after your 65th birthday
• The month you selected for your OAS pension to start while completing the application
• The month after you meet the residency requirements.

An applicant can receive benefit payments outside Canada if the country has a social security agreement with Canada and the applicant has resided in Canada for at least 20 years after turning 18.

For more information, click here.

An applicant may defer their OAS pension for up to 5 years (until the age of 70). There is no benefit of deferring OAS past the age of 70.

An advantage of delaying your OAS is the monthly benefit will be increased by 0.6% every month it is delayed. A few disadvantages are that the applicant will not be eligible for GIS for the months that the OAS is deferred, and the applicant’s spouse or common-law partner will not be eligible for the Allowance benefit

For more information, click here.