CPP and OAS benefit amounts effective Jan. 1, 2016

CPP and OAS benefit amounts effective Jan. 1, 2016

GATINEAU, QC–Employment and Social Development Canada today announced the benefit amounts for the Canada Pension Plan (CPP) and Old Age Security (OAS) effective January 1, 2016.

CPP benefits will increase by 1.2 percent for those already receiving CPP benefits. For 2016, the maximum CPP retirement benefit for new recipients age 65 will be $1,092.50 per month, an increase of $330 for the year compared to the 2015 maximum CPP retirement benefit.

The new CPP rates will be in effect until December 31, 2016. CPP benefits are revised once a year, in January, based on changes over the 12-month period (November 2014 to October 2015) in the Consumer Price Index (CPI), which is the cost-of-living measure used by Statistics Canada.

OAS benefits, which consist of the basic OAS pension, the Guaranteed Income Supplement (GIS) and the Allowances, will increase by 0.1percent for the first quarter of 2016 (January to March). As of January 1, 2016, the basic OAS pension will increase from $569.95 to $570.52 per month.

OAS benefits are also based on the CPI, but are reviewed quarterly (in January, April, July and October) and revised as required to reflect increases in the cost of living as measured by the CPI. Although OAS and CPP benefits are not indexed at the same time, they are both adjusted with the cost of living over a given year.

MAXIMUM MONTHLY CANADA PENSION PLAN BENEFIT AMOUNTS AS OF JANUARY 1, 2016
Type of Canada Pension Plan benefit Maximum monthly benefit amounts for 2016

• Retirement pension (at age 65) $1,092.50
• Post-Retirement Benefit (at age 65) $27.31
• Disability pension $1,290.81
• Survivor’s pension (under age 65) $593.62
• Survivor’s pension (age 65 and over) $655.50
• Disabled contributor’s child benefits $237.69
• Deceased contributor’s child benefits $237.69
• Death benefit $2,500.00
• Survivor/Retirement (retire at age 65) $1,092.50
• Survivor/Disability $1,092.50
Flat rate: $1,290.81
• Survivor’s pension $183.93
• Disability pension $471.43

For up-to-date CPP and OAS benefit amounts, please visit
http://www.esdc.gc.ca/en/cpp/oas/payments.page.