The citizens of Canada who contribute a portion of their earnings to the Canada Pension Plan (CPP) receive the pension in their retirement age. The Canada Revenue Agency make sure to provide a financial assistance to the eligible citizens of the country on a monthly basis. The main aim behind this initiative is to make the living standards of a person more balanced and manageable in retirement age. Since the inflation and living expenses are rising in the country, the CRA is taking various steps to implement increments in the CPP. The retirement plans and the disability benefits are the two major components of CPP. You can check the eligibility criteria to receive the pension. This article will provide you a complete assessment of the CPP payment increase in 2024. It will include the eligibility criteria; maximum payment amount you can expect and when you can start the pension.
CPP Payment Increase 2024
- The Canadian government has recently announced an increase in CPP in 2024 and it is expected to be implemented in some time. As of now, almost 4% of increment is expected in the CPP program and only the eligible citizens of the country will be able to claim the pension. If you are a resident of Quebec, then you are not eligible for the CPP since the Quebec province has its own retirement plans. Although, the CRA has already announced the annual payment schedule for the beneficiaries and it is already distributed for the month of May on 29th May 2024. As the month of June is just days away, the eligible claimants are waiting for the next CPP payment and it will be provided soon.
- According to CRA, the CPP increased payment for June 2024 will arrive on 26th June 2024. This significant increment in the CPP income will offer a financial stability to the retired seniors and the disabled citizens. The payment can assist in managing the monthly expenses like house rents and utility bills. Apart from that, the eligible citizens may also use it to purchase basic household goods like groceries and other goods. The payment will be directly deposited to the respective bank accounts of the recipients. However, you must be aware of the eligibility criteria set by the Canadian government in order to enjoy the benefits after your retirement age. However, the maximum payment amount that you can receive may vary on certain factors which we will discuss in this post.
CPP Payment Increase 2024 Overview
| Post title | CPP Payment Increase 2024 |
| Country | Canada |
| Department | CRA |
| Category | Government aid |
| Applicability | Retirees and disabled citizens |
| Year | 2024 |
| Official website | canada.ca |
Maximum Payment Amount You Can Get?
As you all know, the CRA provides the CPP benefits in the retirement age as per your contribution. Apart from that, the CRA is also responsible for the post-retirement pension, disability pension, children of a disabled individual pension, death benefits and other pension plans. These payment amount can vary on certain factors like when did you start receiving pension and whether you have a permanent disability or a short-term disability. I have provided the maximum CPP payment as of 2024 in the following table:
| Category | Maximum amount |
| Retirement pension (at 65) | $1,364.60 |
| Post-retirement pension (at 65) | $44.46 |
| Disability pension | $1,606.78 |
| Post-retirement disability pension | $583.32 |
| Survivor’s pension (below 65) | $739.31 |
| Survivor’s pension (65 or above) | $818.76 |
| Children of disabled contributor | $294.12 |
| Children of deceased contributor | $294.12 |
| Death (One-time) | $2,500 |
Who is Eligible for the CPP Payment Increase?
As I have mentioned already to make sure about the eligibility that will be required to qualify for the monthly pension. For that, I have provided the eligibility criteria for the CPP payment increase in the points listed below:
- At first, the CPP is only applicable for the Canadian citizens except for Quebec.
- To be eligible, you must be at least 62 years old or above.
- You must have made at least one contribution to the CPP in your employment age.
- The earliest you can start receiving the pension is 62 and you can stop contributing to the CPP after turning 65.
- If you opt to choose after your retirement, then the CRA will also provide you an additional increment in your post-retirement age.
- Your income must not exceed the threshold income to be eligible.
- If you have any disability, then you are also eligible to avail the CPP payments on a monthly basis.
When Should You Start Your Pension?
The earliest you can start receiving your pension is 62 but the bottom line is that you will receive a smaller amount. If you want to work in your post-retirement age that is after turning 65, then you can do so without getting your pension reduced. Instead, the CRA will increase your payment each year and later that increased payment will be provided lifetime. However, if you want to stop contributing to CPP, you can do so after turning 65 and can enjoy your retirement payments. After turning 70, the CRA will not provide any other incentives.
How to Apply for the CPP Payment Increase in 2024?
Before applying, it is must to qualify the eligibility criteria and after that make sure when do you want to start receiving your pension. Then, you can apply for the CPP payment by following the step-by-step procedure mentioned in the points listed below:
- You can apply for the CPP either online or offline.
- If you are opting to apply offline, download the application form from the web portal and fill it up with accurate details.
- If you are choosing to apply online, then first you have to visit the official website of CRA.
- Then, you must have a My Service Canada Account (MSCA) and if you don’t have any, then you can create one.
- After you reached the portal, you can also check the estimated amount that you can receive.
- You will have to fill up an application form with accurate details that are asked.
- After filling your application form, submit it and the authority will let you know regarding the payment status.
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