While July is coming to a close, there are still a couple of federal benefits set to go out to eligible Canadians, including the Canada Pension Plan.
Given the significant rise in the cost of living, it's understandable that Canadians, especially those in low-income households, are seeking ways to manage inflation. This includes working extra hours, cutting expenses, or applying for additional government assistance.
It's important to check your eligibility for various government benefits and credits, as you might be entitled to receive substantial financial support, ranging from hundreds to thousands of dollars.
Here's a comprehensive guide to the Canada Pension Plan, including details on the amount you can expect to receive in the upcoming July payment.
What is the Canada Pension Plan?
According to the Canada Revenue Agency (CRA), the Canada Pension Plan retirement pension is a monthly, taxable benefit that replaces part of your income when you retire. If you qualify, you’ll receive the CPP retirement pension for the rest of your life.
Who is eligible for the Canada Pension Plan?
To qualify for a Canada Pension Plan (CPP) retirement pension, you must:
- be at least 60 years old
- 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, per the CRA.
How much can you receive from the Canada Pension Plan?
The amount of your CPP retirement pension depends on different factors, such as:
- the age you decide to start your pension
- how much and for how long have you contributed to the CPP
- your average earnings throughout your working life
For 2024, the maximum monthly amount you could receive if you start your pension at age 65 is $1,364.60. The average monthly amount paid for a new retirement pension (at age 65) in April 2024 was $816.52. Your situation will determine how much you’ll receive up to the maximum, according to the CRA.
More about Canada Pension Plan payment amounts
When are the Canada Pension Plan payment dates?
The upcoming Canada Pension Plan payment will be distributed on July 29.
The following payments for 2024 are as follows:
- August 28, 2024
- September 25, 2024
- October 29, 2024
- November 27, 2024
- December 20, 2024
This article's cover image was used for illustrative purposes only.
