Pension Benefits Available to Retiring Canadians

If you are a Canadian approaching retirement, it is a good idea to be fully informed about pension benefits currently available to Canadians. To illustrate: did you know you may be eligible for at least three different pensions? Did you know that one of these is available to those who turn sixty? This is good news for those who choose to retire earlier, rather than later.

This Hub discusses pension benefits available to Canadians who have paid into the Canada Pension Plan or what is known as CPP.

Those who have made at least one contribution into the CPP, may qualify for benefits and may be eligible for monthly benefits as early as 60. Some choose to wait until they are 65 to receive the full benefit amount while others opt for a reduced pension that starts five years earlier.

Depending on people's financial standing, CPP benefits will comprise either half of their income or most of their income when they reach the age of retirement.

Retirement Means Pension Benefits
Retirement Means Pension Benefits | Source

As of 2012, No Work Cessation Test

Did You Know?

As of 2012, there is no work cessation requirement to start collecting your pension. You can start receiving your CPP retirement pension WITHOUT having to stop working. In challenging economic times, this is a real boon.

What Benefits Are You Eligible For?

Okay, let's get started. What benefits are available? Most Canadians qualify for three main benefits. What are these?

  • CPP (Canada Pension Plan)
  • OAS (Old Age Security)
  • GIS (Guaranteed Income Supplement)

Canada Pension Plan (CPP)

Sixty years and beyond . . .

If you have made at least one eligible contribution to the Canada Pension Plan, you may qualify for CPP pension plan benefits either earlier or later, depending on your choices.

Old Age Security (OAS)

Sixty-five years and beyond . . .

If you have paid in to CPP, you are also eligible for an Old Age Security Pension or OAS. This is a monthly benefit available to most Canadians upon retirement. You must be living in Canada and be 65 years of age to qualify.

Garanteed Income Supplement (GIS)

Sixty-five years and beyond . . .

GIS is another pension benefit available to Canadians. This is a tax-free supplement for lower income Canadians who are receiving OAS. in order to qualify, income levels cannot exceed certain limits.

CPP Pension Benefits Assist the Elderly in Canada

Image: Retirement Benefits Assist Canadian Seniors
Image: Retirement Benefits Assist Canadian Seniors | Source

Did This Information Help You to Gain a Better Understanding of CPP Benefits?

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  • I Was Happy to Learn About the "Work Cessation" Requirement Being Waived
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It is a good idea to do your homework ahead of time so that you understand these benefits and apply a couple of months before your Canadian Pension Plan Benefits are due to start so as to ensure no delay in benefits.

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Comments 2 comments

Athlyn Green profile image

Athlyn Green 4 years ago from West Kootenays Author

Hi Scribenet,

It can be daunting wading through all the information at the Services Canada site, so this Hub gives the info. in a nutshell for those who have questions about pension benefits for Canadians.


Scribenet profile image

Scribenet 4 years ago from Ontario, Canada

Thank you for this hub...timely and important! :)

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