Canada Pension Plan (CPP) and Old Age Security (OAS): Who Qualifies and What You Get
Understand how CPP and OAS provide monthly retirement income for Canadian workers and residents, including details on mandatory costs and income limits.
This program provides monthly retirement income through two different systems: one based on your work history and another based on how long you have lived in the country.
Who it's for
This applies to all workers and residents living in Canada.
What you get
You can receive monthly payments once you reach retirement age. The amount you receive from the pension plan depends on how much you contributed during your working years, while the security portion is based on your residency in the country.
What it costs you
The cost is handled automatically through mandatory deductions taken from your payroll.
The catch to know
If your net income is above a specific threshold, you may face an OAS clawback. This means the government will reduce or take back some of your Old Age Security payments if you earn too much money.
How to apply
- Review your eligibility based on your age and residency.
- Gather your personal information and employment history.
- Submit your application through the official government services portal.
- Monitor your income levels to manage potential clawbacks.
https://www.canada.ca/en/services/benefits/publicpensions.html