CPP or QPP retirement benefits

What’s in this article?

 

What is this?

Canada Pension Plan (CPP) or Québec Pension Plan (QPP) retirement benefits are monthly pension amounts paid to eligible applicants. The CPP operates throughout Canada, except in Québec, where the QPP provides retirement benefits. The CPP and QPP work together to ensure that all contributors are protected.

The benefit amount you receive under either plan is based on your age, the amount of contributions, and for how long you have been contributing. The age to begin receiving full CPP/QPP retirement benefits is the month after your 65th birthday. However, you can choose to receive CPP/QPP retirement benefits at a reduced rate, when you reach age 60. If you start to take CPP/QPP retirement benefits after 65, you will increase your benefits.

Your benefit is also paid according to your province of residence. You must apply for QPP through Régis des rentes du Québec if:

  • You have only worked in Québec;
  • You worked in Québec and at least one other province and currently reside in Québec; or
  • You worked in Québec and at least one other province, you currently reside outside of Canada and your last province of residence in Canada was Québec.

If you contributed to both plans, apply to QPP if you live in Québec or for CPP if you live elsewhere in Canada. You don’t have to apply to both plans – your benefits are paid based on the amounts you contributed to both plans.

Retirement benefit amounts you receive under CPP and QPP must be reported as income. You will receive a T4A(P): Statement of Canada Pension Plan Benefits slip from Service Canada for CPP benefits or a Relevé-2: Retirement and annuity income slip from régis des rentes du Québec for QPP benefits.

Note: If you are an employee and are at least 65 years of age but under 70 and are contributing to CPP, you can make an election to stop contributing to CPP. Use Form CPT30: Election to Stop Contributing to the Canada Pension Plan, or Revocation of a Prior Election to make this election. You can also use form CPT30 to revoke a prior election and restart CPP contributions. If you are an employee in Quebec and are contributing to QPP you cannot make an election to stop contributing to QPP. Your employer must deduct QPP contributions from your pay, even if you are over the age of 70 and/or are receiving QPP retirement benefits.

 

Am I eligible?

Service Canada says…

Your CPP retirement pension does not start automatically. You must apply for it. Before you apply, you must:

  • Be at least a month past your 59th birthday;
  • Have worked in Canada and made at least one valid contribution to the CPP; and
  • Want your CPP retirement pension payments to begin within 12 months.

To apply for your CPP retirement pension online, you must sign in to your My Service Canada Account and submit your application online.

You can apply a maximum of 12 months before the date you would like your pension to start.

If you are 65 years plus 1 month or older, you can request retroactive payments for a maximum of 11 months, or back to your 65th birthday plus 1 month—whichever is shortest.

 

Régis des rentes du Québec says…

If you are age 60 or over, you do not need to have stopped working to receive your retirement pension. However, you must have contributed to the Québec Pension Plan for at least 1 year. If you worked elsewhere in Canada, we also take into account contributions made to the Canada Pension Plan when calculating the amount of your retirement pension. If you no longer live in Québec, you are still entitled to your pension. 

You cannot receive your retirement pension before age 65 if you are receiving an unreduced income replacement indemnity from the Commission de la santé et de la sécurité du travail (CSST) or if you are entitled to an indemnity from the Société de l'assurance automobile du Québec (SAAQ) and the Régie has deemed you to be disabled for the same disability. 

Payment of your pension is not automatic. You must file an Application for a Retirement Pension to receive it.

              

Where can I learn more?