Canada Pension Plan payments go out soon — Here's how much $ you can receive this August
You could be entitled to hundreds of dollars.
A stack of Canadian banknotes.
As August nears its end, there are still several federal benefits scheduled to be distributed to eligible Canadians, including the Canada Pension Plan.
With the significant rise in the cost of living, it's no surprise that Canadians, especially those in low-income households, are looking for ways to cope with inflation. This might involve working extra hours, reducing expenses, or applying for additional government assistance.
It's crucial to check your eligibility for various government benefits and credits, as you may qualify for 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 August payment.
What is the Canada Pension Plan?
The Canada Pension Plan (CPP) retirement pension, as outlined by the Canada Revenue Agency (CRA), is a monthly, taxable benefit designed to replace part of your income upon retirement. If you qualify, you will 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.
When do Canada Pension Plan payments go out?
The upcoming Canada Pension Plan payment will be distributed on August 28.
The following payments for 2024 are as follows:
- September 25, 2024
- October 29, 2024
- November 27, 2024
- December 20, 2024