Category Archives: Government Benefits

How to calculate your CPP retirement pension

To calculate your CPP retirement pension, the first thing you should do is go online to the My Service Canada site and obtain your most recent CPP Statement of Contributions (SOC). Also on the My Service Canada site, you can request an estimate of your CPP benefits. These estimates are very accurate if you’ll beContinue Reading

Understanding the CPP post retirement benefit

What are post-retirement benefits? The CPP post retirement benefit (PRB) program allows Canadian who are receiving the CPP but still working and contributing to the CPP to receive additional benefits for their contributions. The program started in 2012 and the first PRB payments were made in 2013. Previously, once you started receiving CPP retirement benefits,Continue Reading

Understanding the Allowance for the Survivor

The Allowance for the Survivor is one of the supplementary benefits payable under the Old Age Security (OAS) Act. In my opinion, there is no valid policy rationale for this benefit. It happened more by accident than by design, and is a good example (in my mind) of how some well-intentioned government programs evolve intoContinue Reading

Understanding GIS (Guaranteed Income Supplement)

GIS (Guaranteed Income Supplement) is one of the “supplementary” benefits payable under the Old Age Security (OAS) Act. Other such supplementary benefits include the Allowance and the Allowance for a Survivor; they will be discussed in a future article. GIS is a monthly non-taxable benefit that is paid to eligible pensioners, in addition to theContinue Reading

Online CPP Calculator

Service Canada’s online CPP Calculator is a well-intended but poorly designed tool, and I strongly suggest that you don’t rely on its results for your retirement planning, especially not for CPP retirement estimates. As an example, I had a client the other day who is 54 years old and had recently retired after 30 years ofContinue Reading

Modifying the Canadian pension system

More than seven million Canadians will retire over the next two decades. The baby boomers (the 45- to 65-year-olds who make up 42 per cent of Canada’s workforce) will create the largest job exodus in Canadian history. Retirement will be a very bleak place for the unprepared, and indications are that many boomers (and others)Continue Reading