Retirement age is an important factor that affects people’s lives and financial planning. In Canada, the retirement age refers to the age at which individuals can start receiving their government benefits, such as the Canadian Pension Plan (CPP) and Old Age Security (OAS) pension.
The current retirement age in Canada is 65, but there are certain provisions that allow Canadians to start receiving their benefits as early as 60. However, if individuals choose to start receiving their benefits before the age of 65, their pension amount may be reduced. On the other hand, if individuals delay receiving their benefits past the age of 65, their pension amount may be increased.
The retirement age in Canada is an important topic of discussion, as it has a direct impact on individuals’ financial future. Many Canadians rely on these government benefits as a primary source of income during their retirement years. Therefore, understanding the retirement age and its implications is crucial for Canadians who want to effectively plan for their retirement and ensure financial security.
The Retirement Age in Canada: What Canadians Need to Know
Retirement age is an important milestone for Canadians as it marks the end of their working career and the beginning of their retirement. It is the age at which individuals can start receiving their government benefits and pensions.
In Canada, the retirement age varies depending on the type of benefits and pensions individuals are eligible for. The most common retirement age is 65, which is when individuals are eligible for the Canada Pension Plan (CPP) and Old Age Security (OAS) benefits. However, Canadians have the option to start receiving reduced benefits as early as age 60, or delay receiving benefits until age 70.
It is important for Canadians to understand the implications of their chosen retirement age. Starting to receive benefits early at age 60 may result in a lower monthly payment, while delaying benefits until age 70 may result in a higher monthly payment. Individuals should carefully consider their financial situation and future plans before deciding on their retirement age.
Retirement Age and Financial Planning
Retirement age plays a crucial role in financial planning for Canadians. It affects the amount of money individuals will receive in government benefits and pensions, as well as the length of time they will have to rely on their retirement savings.
For individuals who choose to retire early at age 60, they will need to carefully calculate the amount of savings they have accumulated and determine if it will be sufficient to support their lifestyle for potentially 30 or more years.
On the other hand, individuals who choose to delay retirement until age 70 may have more time to save and accumulate additional retirement funds. This can result in a larger nest egg and potentially a more comfortable retirement.
The Importance of Retirement Age Planning
Planning for retirement is crucial to ensure financial security in the latter years of life. Canadians should take the time to consider their retirement age and understand the implications it will have on their finances. It is advisable to seek professional advice to determine the best retirement age based on individual circumstances and goals.
Additionally, it is essential to regularly review and adjust retirement plans as circumstances and goals may change over time. Ensuring that retirement savings, government benefits, and pensions align with individual needs and expectations is key to a financially stable retirement.
In conclusion, the retirement age in Canada is a significant factor in the financial well-being of Canadians. Understanding the different retirement age options and their implications is essential for effective retirement planning. Canadians should take the time to analyze their financial situation and goals to determine the most suitable retirement age for their individual needs.
Retirement Age in Canada: An Overview
The retirement age in Canada refers to the age at which individuals can begin accessing their retirement benefits. The Canadian retirement system is designed to provide financial support to seniors and ensure a comfortable retirement for all Canadian citizens.
Currently, the standard retirement age in Canada is 65 years old. However, there are various factors that can affect this age. For example, individuals may choose to retire earlier or later, depending on their personal circumstances and financial situation.
It’s important to note that starting from 2023, the retirement age in Canada will gradually increase to 67 years old. This change was implemented due to the increasing life expectancy and the need to ensure the long-term sustainability of the retirement system.
Retirement age in Canada also varies for different types of retirement benefits. For example, individuals can start receiving their Canada Pension Plan (CPP) benefits as early as age 60, but with a reduction in the monthly payment amount. On the other hand, they can choose to delay CPP benefits until age 70 and receive an increased monthly payment amount.
In addition to CPP, Canadians may also be eligible for Old Age Security (OAS) benefits. The eligibility age for OAS benefits is currently 65 years old, but it will also gradually increase to 67 starting from 2023.
Overall, the retirement age in Canada is a significant aspect of the country’s social security system. It allows individuals to plan for their future and make informed decisions about their retirement finances. Whether retiring at 65 or choosing a different age, Canadians have access to various retirement benefits that aim to provide financial stability during their golden years.
Understanding the Retirement Age
The retirement age in Canada refers to the age at which individuals can start receiving certain government benefits and pensions. The Canadian retirement age varies depending on the type of benefit or pension program. It is important for Canadians to understand the different age requirements in order to effectively plan for their retirement.
For Canadian Pension Plan (CPP) retirement benefits, the standard age of eligibility is 65. However, individuals can choose to start receiving reduced benefits as early as age 60 or delay receiving benefits until as late as age 70. This flexibility allows Canadians to make decisions based on their individual needs and financial circumstances.
Old Age Security (OAS) benefits, on the other hand, have a different age requirement. The standard age of eligibility is also 65, but individuals can start receiving reduced benefits as early as age 60. It’s important to note that individuals who choose to delay receiving OAS benefits can receive increased benefits up to age 70.
In addition to government benefits, many Canadians also have workplace pension plans. The retirement age for these plans can vary depending on the terms of the specific plan. Some plans may have a defined retirement age, such as 65, while others may allow individuals to retire earlier or later based on their choice.
Understanding the retirement age is crucial for Canadians as it impacts their financial planning and decisions regarding retirement. By knowing the age requirements for different benefit and pension programs, individuals can better plan their retirement and ensure they are making informed choices about when to start receiving benefits.
Factors That Determine the Retirement Age
The retirement age in Canada is influenced by various factors that can differ from individual to individual. While the official retirement age in Canada is 65, Canadians have the option to choose when they want to retire based on their own circumstances.
One of the key factors that determines the retirement age is financial readiness. Many Canadians prefer to continue working until they have saved enough money to comfortably support themselves in retirement. This can be influenced by factors such as the cost of living, personal financial goals, and the availability of retirement savings and pensions.
Another factor that can affect the retirement age is health. Canadians may choose to retire earlier if they have health issues that prevent them from continuing to work, while others may choose to work longer if they are in good health and enjoy their job.
Personal preferences and lifestyle choices also play a role in determining the retirement age. Some Canadians may have specific goals they want to achieve before retiring, such as traveling, starting a new business, or pursuing hobbies and interests. These factors can influence individuals to either retire earlier or continue working for a longer period of time.
Government policies and regulations can also impact the retirement age. For example, there are certain government programs and benefits available to individuals who choose to retire at specific ages. These incentives can encourage Canadians to retire earlier or continue working until they can access these benefits.
Lastly, the type of occupation and industry can influence the retirement age. Some professions may require individuals to retire earlier due to physical demands or age restrictions, while others may provide opportunities for individuals to continue working well into their senior years.
Overall, the retirement age in Canada is influenced by a combination of financial, health, personal, and external factors. Canadians have the flexibility to choose when they want to retire based on their own unique circumstances and goals.
How Retirement Age Affects Canadians
The retirement age in Canada plays a significant role in the lives of Canadians. It directly impacts individuals’ ability to leave the workforce and start enjoying their golden years. As the retirement age is set by the government, it affects every Canadian worker, regardless of their industry or occupation.
One of the main ways retirement age affects Canadians is by determining when they can start receiving full pension benefits. In Canada, the age at which individuals can start receiving their Canada Pension Plan (CPP) or Old Age Security (OAS) benefits is gradually increasing. This means that Canadians have to work longer before they can access these crucial financial resources.
This shift in retirement age has various implications for Canadian workers. Firstly, it means that individuals may have to continue working past what they initially anticipated. This can pose challenges for older workers who may already be experiencing age-related health issues or facing job market barriers that make it difficult to find employment in their later years.
Moreover, the delay in receiving pension benefits can also affect the financial well-being of Canadians. Some individuals may have planned their retirement based on the previous retirement age, and the change can disrupt their financial plans and force them to make adjustments.
The impact of retirement age is particularly significant for Canadians who engage in physically demanding or strenuous work. These individuals may find it more challenging to continue working until the new retirement age, as their bodies may not be able to withstand the same level of exertion as they age. This can lead to increased health issues and a lower quality of life for Canadian workers in certain industries.
Furthermore, the retirement age also influences workforce dynamics. An increase in the retirement age means that older workers may continue occupying positions that could otherwise be filled by younger generations. This can create a bottleneck in career advancement opportunities for younger Canadians, particularly in industries with limited job openings.
In conclusion, the retirement age in Canada has a significant impact on Canadians from various perspectives. It affects when individuals can access pension benefits, alters retirement plans, poses challenges for older workers, affects financial stability, and influences workforce dynamics. Understanding and preparing for these effects can help Canadians navigate the changing landscape of retirement in Canada.
Retirement Age and Government Benefits
One of the main factors that determine when Canadians can retire is the retirement age. The retirement age in Canada varies depending on the type of government benefits individuals are eligible for.
For example, the normal retirement age for the Canada Pension Plan (CPP) is 65, but individuals can start receiving reduced CPP benefits as early as age 60. On the other hand, those who choose to delay their CPP benefits can receive higher payments up to age 70.
Similarly, the Old Age Security (OAS) pension, which is a monthly payment available to Canadians aged 65 and older, can be delayed up to the age of 70. Delaying the OAS pension can result in a higher monthly payment.
It’s important for Canadians to understand the implications of choosing to retire at different ages. Retiring earlier may mean receiving reduced government benefits, while retiring later can lead to higher monthly payments. Factors such as financial situation, health, and personal preference should be considered when deciding on the ideal retirement age.
Additionally, there are other government programs and benefits that can come into play when determining retirement age. These include the Guaranteed Income Supplement (GIS) and the Quebec Pension Plan (QPP), each with their own eligibility requirements and retirement age guidelines.
In summary, the retirement age in Canada is closely tied to government benefits. Understanding the options and implications of retiring at different ages can help Canadians make informed decisions about their retirement plans.
Implications of the Retirement Age
The retirement age in Canada plays a significant role in both individuals’ lives and the country’s economy. It affects various aspects of Canadians’ financial planning, social security benefits, and workforce dynamics.
Financial Planning
Knowing the retirement age is crucial for individuals to plan their finances effectively. It helps them determine how many years they have left to save for retirement and how much they need to accumulate in their retirement savings. The retirement age also affects when individuals can access their pension funds, such as Registered Retirement Savings Plans (RRSPs) or employer-sponsored pension plans.
Social Security Benefits
The retirement age has implications for Canadians’ eligibility and benefits under the Canadian Pension Plan (CPP) and the Old Age Security (OAS) program. The CPP provides a monthly income to eligible individuals who contributed during their working years, but the amount received can vary depending on when one starts receiving it. Delaying the CPP pension beyond the standard retirement age can result in higher monthly benefits. Similarly, the OAS program provides a monthly pension, and the age at which one can start receiving it affects the amount received.
Workforce Dynamics
The retirement age affects the labor market and workforce dynamics in Canada. With the aging population, the retirement age can impact the supply of skilled workers in various industries. A higher retirement age can potentially lead to a shortage of experienced professionals, while a lower retirement age may provide opportunities for younger individuals to enter the workforce. Understanding the retirement age is crucial for employers to plan and manage their workforce effectively.
Overall, the retirement age in Canada has wide-ranging implications for individuals’ financial planning, social security benefits, and the labor market. It is essential for Canadians to be aware of the retirement age and its impact on their retirement planning and for policymakers to carefully consider the implications when setting and adjusting the retirement age.
The Impact of Retirement Age on the Workforce
The retirement age in Canada has a significant impact on the country’s workforce. As the retirement age increases, it affects both the older workers who are choosing to work longer and the younger workers who are entering the workforce.
- For older workers, an increase in the retirement age means that they have to continue working for a longer period of time. This can have both positive and negative effects. On one hand, it allows older workers to stay active, engaged, and financially secure for a longer period of time. On the other hand, it may prevent younger workers from entering the workforce and advancing in their careers.
- For younger workers, an increase in the retirement age can limit their employment opportunities. If older workers are staying in their jobs longer, it may be more difficult for younger workers to find employment or advance in their careers. This can lead to increased competition for limited job openings and potential career stagnation.
- Additionally, an increase in the retirement age can also impact the overall labor market and economy. It can contribute to a decrease in job vacancies and hinder economic growth. This is because older workers may remain in their positions, reducing the number of job openings for younger workers.
- Moreover, the retirement age also affects retirement planning and savings. If the retirement age increases, individuals may need to adjust their retirement savings goals and timeline. This can pose challenges for individuals who have been planning for retirement based on a specific retirement age.
Overall, the retirement age in Canada plays a crucial role in shaping the workforce and has wide-ranging effects on both older and younger workers. It is important for policymakers, employers, and individuals to consider the impact of retirement age policies and plan accordingly to ensure a well-functioning and inclusive workforce.
Financial Planning for Retirement
Planning for retirement is an essential part of financial management for Canadians, regardless of their age. It is important to start thinking about retirement early on to ensure a financially secure future. Here are some key points to consider when planning for retirement:
- Set retirement goals: Determine the lifestyle you want to maintain during retirement and estimate how much money you will need to support that lifestyle.
- Create a budget: Assess your current income and expenses to identify areas where you can save money and allocate more towards retirement savings.
- Take advantage of Canadian retirement programs: Maximize your contributions to the Canadian Pension Plan (CPP) and the Old Age Security (OAS) program to increase your retirement income.
- Start saving early: The earlier you start saving for retirement, the more time your investments have to grow. Take advantage of registered retirement savings plans (RRSPs) and tax-free savings accounts (TFSAs) to maximize your savings.
- Consider diversifying your investments: Investing in a mix of stocks, bonds, and other assets can help reduce risk and increase potential returns. Consult with a financial advisor to develop an investment strategy that aligns with your retirement goals.
- Plan for healthcare costs: Healthcare expenses can increase significantly during retirement. Make sure to include healthcare costs in your retirement budget and consider purchasing additional health insurance coverage.
- Review and adjust your plan regularly: As you approach retirement age, review your financial plan regularly to ensure that you are on track to meet your goals. Make any necessary adjustments to your savings and investment strategies.
By following these guidelines and actively managing your finances, you can take control of your financial future and ensure a comfortable retirement as a Canadian.
Importance of Retirement Savings
Planning for retirement is important for Canadians of all ages. While the retirement age in Canada can vary depending on various factors, it is crucial to start saving early to ensure a comfortable and secure retirement.
Benefits of Early Savings
Starting to save for retirement at a young age has several advantages. Firstly, the power of compound interest allows individuals to grow their savings over time. By investing in retirement savings accounts, such as Registered Retirement Savings Plans (RRSPs) and Tax-Free Savings Accounts (TFSAs), Canadians can benefit from tax advantages and potential investment growth.
Another benefit of saving early is the ability to set long-term financial goals and adjust saving strategies accordingly. By starting early, Canadians have more time to develop a retirement savings plan that aligns with their desired lifestyle and financial aspirations.
Challenges Canadians Face
While it is important to save for retirement, many Canadians face challenges when it comes to building a sufficient nest egg. Some of the challenges include:
| Challenge | Description |
|---|---|
| Debt | Many Canadians have to prioritize debt repayment over saving for retirement, making it difficult to save enough. |
| Low Income | Individuals with low incomes may struggle to save for retirement as they need to cover their basic living expenses. |
| Healthcare Costs | As healthcare costs continue to rise, Canadians may need to allocate more of their income towards medical expenses, leaving less for retirement savings. |
| Unexpected Expenses | Unforeseen circumstances, such as job loss or major repairs, can deplete retirement savings if there is not an emergency fund in place. |
Despite these challenges, it is crucial for Canadians to make retirement savings a priority. By taking advantage of retirement savings options and making consistent contributions, individuals can work towards a financially secure retirement.
Retirement Age and Health Considerations
Retirement age in Canada has a significant impact on the health of Canadians. As individuals reach the retirement age, they are faced with a number of important decisions regarding their health and well-being.
One important consideration is the impact of retirement on mental health. For many Canadians, retirement can be a major life transition that may bring a sense of purposelessness or loss of identity. This can lead to feelings of depression, anxiety, and isolation. It is important for individuals to plan for their retirement and find ways to stay connected and engaged in meaningful activities to maintain good mental health.
Retirement age also affects physical health. As individuals age, they may experience a decline in physical strength and stamina. This can make it more challenging to engage in physical activities and maintain a healthy lifestyle. It is important for Canadians to prioritize their health and make conscious efforts to remain active and engage in regular exercise to prevent the onset of chronic conditions.
Financial considerations are also closely tied to retirement age and health. With retirement often comes a decrease in income, which can impact access to healthcare, medications, and other necessary treatments. Canadians need to be aware of the financial implications of retirement and plan accordingly to ensure they can continue to afford the healthcare they need.
In conclusion, retirement age in Canada has important implications for the health and well-being of Canadians. It is crucial for individuals to plan for their retirement, prioritize their mental and physical health, and be aware of the financial considerations associated with retirement. By taking proactive steps, Canadians can ensure a smooth transition into retirement and maintain a high quality of life.
Retirement Age and Social Security
Retirement age is an important factor for Canadians when it comes to planning for their future. The Canadian government provides social security benefits to help support individuals once they reach retirement age. This includes the Canadian Pension Plan (CPP) and Old Age Security (OAS) benefits.
The retirement age in Canada varies depending on the type of benefits individuals are eligible for. Generally, the standard age for accessing CPP benefits is 65 years old. However, Canadians have the flexibility to choose to receive reduced benefits as early as age 60, or to delay receiving benefits until age 70. The decision to retire early or delay retirement can have significant financial implications, as it determines the amount of monthly benefit payments individuals will receive.
Old Age Security benefits, on the other hand, can be accessed starting at age 65, regardless of employment status. These benefits are available to Canadians who have lived in the country for at least 10 years. The amount of OAS benefits received is based on the number of years individuals have lived in Canada after the age of 18.
It is important for Canadians to plan for retirement and understand the various social security benefits available to them. This can help ensure financial stability and security during the retirement years. Consulting with a financial advisor or utilizing online resources provided by the Canadian government can provide valuable guidance when it comes to retirement planning and understanding the benefits individuals are entitled to.
Retirement Age and Life Expectancy
In Canada, the retirement age refers to the age at which individuals can begin receiving benefits from the Canadian Pension Plan (CPP) or Old Age Security (OAS) program. The retirement age in Canada is currently 65 years old, but there are plans to gradually increase it to 67 by the year 2029.
One of the factors considered when determining the retirement age is life expectancy. Life expectancy is the average number of years a person is expected to live based on factors such as their age, gender, health, and lifestyle. As life expectancy increases, there is a need to reassess the retirement age to ensure the sustainability of retirement programs.
Impact of Retirement Age and Life Expectancy
The retirement age and life expectancy are closely linked, as they both have significant implications for individuals and the Canadian economy as a whole. Here are a few key points to consider:
- Financial Considerations: Increasing the retirement age allows individuals to work and save for a longer period, which can help them accumulate more retirement savings. It also allows them to contribute to the economy by paying taxes and reducing the strain on retirement programs.
- Health and Well-being: Working longer has been associated with improved mental and physical health among older individuals. It provides a sense of purpose, social engagement, and financial security, which can enhance overall well-being and quality of life.
- Social Security Programs: With increasing life expectancy, the sustainability of social security programs such as CPP and OAS becomes a concern. By adjusting the retirement age, these programs can continue to provide adequate support to retirees without straining the government’s resources.
Considerations for Canadians
As the retirement age continues to evolve, it is essential for Canadians to plan and prepare for their retirement. Here are a few considerations:
- Assess your financial situation and set realistic retirement goals.
- Consider factors such as life expectancy, health, and lifestyle when planning for retirement.
- Explore different retirement savings options and maximize contributions to CPP or other pension plans.
- Stay informed about changes in retirement age and government policies related to retirement benefits.
- Seek professional advice from financial planners or retirement consultants to ensure a secure and comfortable retirement.
By considering these factors and taking proactive steps, Canadians can navigate the changing landscape of retirement age and ensure a financially stable future.
Retirement Age and the Economy
The retirement age in Canada has a significant impact on the country’s economy. As Canadians are living longer, the retirement age has been gradually increasing to ensure the sustainability of social security programs and the overall economy.
By extending the retirement age, the Canadian government aims to address the challenges posed by an aging population and increasing life expectancy. As a result, Canadians are now expected to work longer before they can access retirement benefits.
This change in retirement age has several implications for the economy. Firstly, it helps to mitigate the strain on social security programs, such as the Canada Pension Plan (CPP) and the Old Age Security (OAS) program, which provide financial support to retirees. With more Canadians working and contributing to these programs for a longer period, it helps to ensure their long-term sustainability.
Secondly, a higher retirement age can help address labor market shortages and skills gaps. As the Canadian population ages, there is a growing need for experienced workers in various sectors. By encouraging Canadians to work longer, the government can help bridge the gap between labor demand and supply, contributing to economic growth and productivity.
Moreover, extending the retirement age can have positive effects on personal savings and retirement planning. Canadians may have more time to build up their retirement savings and accumulate wealth, resulting in a more financially secure retirement.
However, it is important to note that raising the retirement age can also present challenges. Some Canadians may face difficulties in finding employment or may be unable to work due to health issues or physical limitations. The government must ensure that support and assistance are provided to those who are unable to work longer.
In conclusion, the retirement age in Canada plays a crucial role in shaping the economy. By increasing the retirement age, the government aims to address the challenges of an aging population, ensure the sustainability of social security programs, and bridge labor market gaps. It is a complex issue that requires careful consideration of both economic and social factors.
| Benefit | Implication |
|---|---|
| Strain on social security programs | Mitigated with longer working periods |
| Labor market shortages and skills gaps | Addressed by encouraging longer working periods |
| Personal savings and retirement planning | Benefit with more time to accumulate wealth |
The Retirement Age Debate
The retirement age has been a topic of debate in Canada for many years. Some argue that the current retirement age is too young, while others believe it should be lowered even further. The age at which Canadians can start receiving their government pension is currently set at 65, but there have been calls to increase this age in order to address the country’s aging population and the strain it puts on the pension system.
On one hand, those in favor of raising the retirement age argue that people are living longer and healthier lives, and therefore can work for a longer period of time. They believe that increasing the retirement age would not only help alleviate the strain on the pension system, but also allow individuals to continue contributing to the economy and feel a sense of purpose and fulfillment through work.
On the other hand, opponents of increasing the retirement age argue that many individuals are unable to work past a certain age due to health issues or physically demanding job requirements. They argue that forcing individuals to work longer could have negative consequences on their wellbeing and quality of life. They also note that not everyone has the same level of financial security and may not have the option to continue working if they wanted to.
Ultimately, the retirement age debate is a complex issue with valid points on both sides. As the Canadian population continues to age, it is likely that this topic will remain a point of discussion for years to come.
Retirement Age in Other Countries
While the retirement age in Canada is determined based on various factors, such as the type of pension plan and the year of birth, it’s interesting to compare it to the retirement ages in other countries. Here are some examples of retirement ages in different parts of the world:
- In the United States, the full retirement age for Social Security benefits is currently 66 or 67, depending on the year of birth.
- In the United Kingdom, the state pension age is gradually increasing and is currently 66 for both men and women; however, it is set to rise to 67 by 2028.
- Germany has a retirement age of 67, which is being gradually phased in, with the final increase scheduled for 2031.
- In Australia, the age at which individuals can access their superannuation (pension) is currently 60, but it will increase to 67 by 2023.
- Japan has one of the highest retirement ages, with the official retirement age set at 65; however, many companies have a mandatory retirement age of 60.
It’s worth noting that these retirement ages are subject to change due to demographic and economic factors, so it’s always important to stay informed about the retirement policies in different countries.
Question-answer:
What is the retirement age in Canada?
The retirement age in Canada is 65, but individuals can start receiving reduced pension benefits as early as 60.
Can Canadians choose to retire earlier than 65?
Yes, Canadians can choose to retire earlier than 65, but they will receive reduced pension benefits if they decide to do so.
Do Canadians have the option to work beyond the age of 65?
Yes, Canadians have the option to work beyond the age of 65. If they continue working, they can receive an increased pension benefit when they do decide to retire.
How does the retirement age in Canada affect Canadians financially?
The retirement age in Canada can affect Canadians financially in various ways. For those who choose to retire earlier than 65, they will receive reduced pension benefits and may need to rely on other sources of income or savings. On the other hand, those who work beyond the age of 65 have the opportunity to increase their pension benefits and have a more secure financial future.
Are there any exceptions to the retirement age in Canada?
Yes, there are exceptions to the retirement age in Canada. Some individuals may be eligible for early pension benefits if they have a certain number of years of contribution to the Canada Pension Plan. Additionally, individuals with disabilities may be eligible for disability benefits regardless of their age.
What is the retirement age in Canada?
The retirement age in Canada is currently set at 65. However, individuals can choose to start receiving their government pension as early as age 60 or as late as age 70.
How does the retirement age affect Canadians?
The retirement age in Canada has a significant impact on Canadians. It determines when they can start receiving their government pension benefits, such as the Canada Pension Plan (CPP) and Old Age Security (OAS). The age at which individuals choose to retire can also affect other aspects of their financial planning, such as their eligibility for workplace pensions, retirement savings, and social benefits.
Can Canadians retire before the age of 65?
Yes, Canadians can choose to retire before the age of 65. However, if they start receiving their government pension benefits, such as the CPP and OAS, before turning 65, their monthly payments may be reduced. On the other hand, Canadians who delay their retirement and choose to start receiving their government pension benefits after turning 65 may be eligible for increased monthly payments.