Many Canadians are getting money from the government on Thursday
Many Canadians will see more money in their accounts as Canada Pension Plan (CPP) and Old Age Security (OAS) payments go out on Thursday.
The CPP is a retirement pension that’ is sent out monthly. For eligible Canadians, this taxable benefit is meant to replace part of your income when you retire. In addition to CPP, Canadians are eligible to receive an Old Age Security (OAS) pension. OAS is a monthly payment you can receive if you’re 65 and older.
According to the federal government, both CPP and OAS payments will go out on March 27.
Are you eligible for CPP and OAS?
Kamil Zajaczkowski/Shutterstock
To be eligible to receive CPP payments, you must meet specific criteria.
Canadians who qualify for this benefit must be at least 60 years old. In addition, you need to have made at least one valid contribution to the CPP.
“Valid contributions can be either from work you did in Canada or as the result of receiving credits from a former spouse or former common-law partner at the end of the relationship,” reads the website.
And you don’t need to be retired to qualify — Canadians over 60 who are still working will receive the full CPP payment. If you’re under 70, working could help you increase the benefits you receive by contributing towards post-retirement benefits (PRB), which will increase your retirement income.
“We will automatically pay you this benefit the following year,” states the website. “You’ll receive it for the rest of your life.”
When you reach 65, you’ll have the choice to stop your post-retirement contributions. However, once you reach 70, you’ll no longer be able to put money towards your CPP contributions, even if you’re still working.
To qualify for OAS, you must be a Canadian citizen aged 65 or older. You also must have resided in Canada for at least 10 years since the age of 18. However, if you live outside Canada, you must be 65 or older and a citizen or resident the day before you left Canada. You must also have lived in Canada for at least 20 years since the age of 18.
The government website states, “Your employment history is not a factor in determining eligibility. You can receive the Old Age Security (OAS) pension even if you have never worked or are still working.”
How much can you expect?
Andrzej Rostek/Shutterstock
There’s no standard amount for how much Canadians will receive in CPP payments, as it depends on different factors.
One includes the age at which you decided to start your pension, the amount you contributed, and the length of time you contributed to the CPP. Another factor that affects how much you’ll receive is based on the average you earn throughout your working life.
If you start your pension at 65, the maximum amount you could receive monthly in 2025 is $1,433.
“The average monthly amount paid for a new retirement pension (at age 65) in October 2024 was $808.14,” states the government. “Your situation will determine how much you’ll receive up to the maximum.”
Wondering how much you’ll be eligible for? Sign in to your My Service Canada Account to get an estimate of your monthly CPP retirement pension payments. You can also use the Canadian Retirement Income Calculator for more information.
As for OAS payments, the maximum monthly payments Canadians aged 65 to 74 can receive in 2025 is $727.67 if your net world income in 2023 is less than $142,609. For Canadians over 75, the maximum monthly payment is $800.44 if your net world income in 2023 is less than $148,179.
You can find out how much you can get from OAS security benefits by using the OAS Benefits Calculator.