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Who is Eligible for Pension in Canada?

Published in Retirement Planning 2 mins read

In Canada, you can be eligible for a pension from the Canada Pension Plan (CPP) or the Old Age Security (OAS) program, depending on your age and contributions.

Canada Pension Plan (CPP)

The CPP is a contributory pension plan, meaning you contribute to it while working. To be eligible for CPP benefits, you need to:

  • Be 60 years or older. You can start receiving your CPP benefits as early as 60, but your payments will be reduced.
  • Have made enough contributions to the CPP. The exact amount of contributions needed depends on your age and the year you started contributing.
  • Be a Canadian citizen or permanent resident.

Old Age Security (OAS)

OAS is a non-contributory pension plan, meaning you don't contribute to it while working. To be eligible for OAS benefits, you need to:

  • Be 65 years or older.
  • Have lived in Canada for at least 10 years after the age of 18.

Additional Information

  • You can receive both CPP and OAS benefits. You can start receiving your OAS benefits at 65.
  • CPP and OAS benefits are taxable.
  • You can apply for your CPP and OAS benefits online, by phone, or by mail.

Example

Let's say you are a Canadian citizen who has been working and contributing to the CPP for 30 years. When you turn 60, you can choose to start receiving your CPP benefits. You will also be eligible for OAS benefits when you turn 65.

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