Canada Pension Plan payments for December go out soon — Here's how much you can get
Payments are arriving early this month!
Canadian seniors can get over $1,000 a month from the CPP — and it's paying out early this month.
As we make our way through December, there are still a few benefit payments Canadians can receive this month — including the Canada Pension Plan (CPP), which is right around the corner.
With inflation in Canada making everything from groceries to rent feel more expensive, keeping track of government payments like the CPP and Old Age Security is key for Canadian seniors looking to plan their budgets. These federal benefits can make a big difference, offering support for everything from everyday essentials to holiday expenses.
For Canadian retirees, the CPP delivers steady, taxable monthly income to help cover life's costs. And the CPP payment for December 2024 is coming this week — about a week earlier than usual — just in time to help ease the holiday hustle!
Here's everything you need to know about the December Canada Pension Plan payment, including how much you might receive and what to expect if you're still waiting on a mailed cheque.
How does the Canada Pension Plan work?
The Canada Pension Plan (CPP) provides monthly taxable income to help replace a portion of your earnings after you retire. You can begin receiving payments as early as age 60, or you can wait — the longer you delay, the bigger your monthly payout will be. However, there's no extra benefit to holding off beyond age 70.
Once you start collecting the CPP, the payments are locked in for life and even adjusted annually to keep up with inflation. Best of all, the money can be deposited straight into your bank account every month, making it super convenient.
Who is eligible for the Canada Pension Plan?
To qualify for the CPP retirement pension, you need to be at least 60 years old and have made at least one contribution. Contributions are usually based on your work in Canada, but in some cases, credits can be shared after a breakup with a former spouse or common-law partner.
The CPP is also flexible — you can keep working while receiving your pension. If you're under 70 and still working, you might even increase your payouts with the CPP post-retirement benefit.
How to apply for the Canada Pension Plan
Applying for the CPP is straightforward, but timing is key. Start by deciding when you want your payments to begin. You can choose anytime between ages 60 and 70, with the trade-off being that the longer you wait, the larger your monthly amount will be.
Once you've made your decision, you can apply online through your My Service Canada Account for the fastest and easiest option. While you can also mail a paper application, an online submission is likely your best bet right now due to delays from the ongoing Canada Post strike.
More about applying for CPP
Does Quebec have its own pension plan?
Quebec runs its own pension system called the Quebec Pension Plan (QPP), which works much like the CPP.
If you've worked exclusively in Quebec or currently live there and spent time working in the province, your retirement benefits will come from the QPP instead of the CPP. The two programs are linked, so if you've worked in both Quebec and other provinces, your contributions are combined to calculate your total pension.
Similar to the CPP, QPP payments are issued monthly, and this month's deposit is coming up on December 30.
How is the Canada Pension Plan calculated?
Your CPP payment amount depends on several key factors, including:
- The age you start payments — Waiting past age 60 (up to age 70) increases your monthly payouts.
- Your contributions — How much and how long you contributed to CPP during your working years matters a lot.
- Your earnings — Higher lifetime earnings typically result in higher CPP payments.
If you're under 70 and still working while receiving CPP, you can boost your pension through the CPP post-retirement benefit. Every year you contribute adds extra income to your pension, and these amounts are automatically paid out starting the next year — for life.
Other factors, like periods of low income, raising children or living with a disability, can also impact your payment. To get an idea of what you'll receive, check your My Service Canada Account or try the CRA's Retirement Income Calculator.
More about calculating CPP payments
How much does the Canada Pension Plan pay?
How much you'll get from the CPP depends on a mix of factors, including your age, how much you've contributed over the years and your average income while working. In 2024, the maximum monthly payment for someone starting CPP at 65 is $1,364.60, according to the CRA. However, most people receive less — the average payment is closer to $815 per month.
Your personal payment amount will vary based on your specific circumstances. To get a quick estimate, check your My Service Canada Account or use the CRA's Retirement Income Calculator.
More about CPP payment amounts
Is the Canada Pension Plan taxable?
Yes, CPP payments are considered taxable income. While taxes aren't automatically deducted, you can set up monthly federal tax deductions through your My Service Canada Account or by submitting a paper form. Given the current Canada Post delays, applying online is your fastest option.
If you don't arrange for monthly deductions, you may need to pay taxes quarterly instead. For those living outside Canada, a non-resident tax is automatically applied to CPP payments.
More about CPP and your taxes
When are the Canada Pension Plan payment dates?
While CPP payments typically arrive during the last week of the month, December 2024's CPP payment is coming in early — just in time for the holidays! The deposit is scheduled for this Friday, December 20.
As for 2025, here's a full breakdown of all the CPP payment dates next year:
- January 29, 2025
- February 26, 2025
- March 27, 2025
- April 28, 2025
- May 28, 2025
- June 26, 2025
- July 29, 2025
- August 27, 2025
- September 25, 2025
- October 29, 2025
- November 26, 2025
- December 22, 2025
How does the Canada Post strike affect CPP cheques?
Service Canada confirmed last month that November's CPP cheques would still be delivered during the Canada Post strike, but other CRA-issued cheques were put on hold until the situation was resolved.
Even with Canada Post workers set to return to work on Tuesday, backlogs could still cause delays. To avoid waiting, switching to direct deposit is the way to go. With direct deposit, your CPP payments are sent straight to your bank account — no mail delays, no stress. It's quicker, safer and ensures your money arrives on time.
You can sign up for direct deposit online through your My Service Canada Account, by calling 1-800-277-9914 (press "0" to reach an agent), or by visiting a Service Canada office. Make sure to have your SIN and banking information ready, including your account, branch and transit numbers, which can be found at the bottom of your cheques.
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