The CPP retirement pension: How much will you get

Transcript - The CPP retirement pension: How much will you get

Narrator: Wondering what you’ll get from your CPP retirement pension?

[Graphic of a question mark and 2 dollar signs]

[Text on screen: Wondering what you’ll get from your CPP retirement pension?]

Narrator: The amount you’ll receive depends on how much, and for how long you contributed to the plan.

[Graphic of 2 money bags and a calendar icon]

[Text on screen: The amount depends on how much, and for how long you contributed]

Narrator: and at what age you choose to start your pension.

[Graphic of a stick figure on a timeline with the number 60]

[Text on screen: The age you choose to start your pension]

Narrator: Because the earlier you choose to take your pension, the smaller your monthly payments.

[Graphic of 3 stick figures on a timeline with the numbers 60, 65 and 70 above them]

[Text on screen: The age you choose to start your pension]

Narrator: Here’s how it works

[Text on screen: Here’s how it works]

Narrator: The standard age to start your CPP retirement pension is 65. But you can choose to take it any time after you reach age 60.

[Graphic of a line graph showing 60, 65 and 70. 65 appears largest]

[Text on screen: The standard age to start receiving your retirement pension is 65]

Narrator: The later you take it, up to age 70, the more money you’ll get each month.

[Graphic of a line graph showing 60, 65 and 70. 70 appears largest]

[Text on screen: The later you take it, the more money you’ll get each month]

Narrator: So, if you take your pension at age 65, it may be worth 50% more than if you took it at age 60.

[Graphic shows 0% and then scrolls through all numbers to 50%]

[Text on screen: Your pension may be worth 50% more at age 65 than 60]

Narrator: If you wait until age 70, your pension may be more than double what it would be at age 60.

[Graphic shows a circle with x2 and 2 dollar signs in it, a stick figure and the number 70]

[Text on screen: You may double your pension if you wait the ten years until age 70]

Narrator: Once you start receiving your pension, you’ll get monthly payments for the rest of your life

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[Text on screen: You’ll get monthly payments for the rest of your life]

Narrator: that increase each year with the cost of living.

[Graphic of a line graph. The y-axis is titled “Pension” and the x-axis is titled “Cost of Living”. 2 lines appear on the graph and go up along the same slope]

Narrator: So, when’s best for you? There is no right time to start. It depends on your situation and preferences.

[Text on screen: When is best for you?]

Narrator: The choice is yours.

[Text on screen: The choice is yours]

Narrator: But it’s important to remember that Canadians are living longer.

[Text on screen: Canadians are living longer]

Narrator: Today’s 65-year-olds can expect to live until age 87 on average. Half of us will live longer than that.

[Graphic of 3 stick figures on a timeline showing “Today” “23 years” and “23+ years” with the numbers 65, 87 and 88+ above them]

Narrator: So for most Canadians, the longer you wait to start your pension, the more money you will collect from it over your lifetime.

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[Text on screen: The longer you wait, the more money you will collect]

Narrator: But there are also other factors to consider, including your health.

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Narrator: your financial situation.

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[Text on screen: Your financial situation]

Narrator: and how you will spend your time in retirement.

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[Text on screen: How you will spend your time]

Narrator: You can get an estimate of your monthly pension through My Service Canada Account.

[Graphic of a computer with the Service Canada logo on the screen]

[Text on screen: Get an estimate through your My Service Canada Account]

Narrator: Then use the Canadian Retirement Income Calculator to get an estimate of your overall retirement income.

[Graphic of a tablet with a calculator and a maple leaf on the screen]

[Text on screen: Canadian Retirement Income Calculator]

Narrator: For more information on your CPP retirement pension, and to apply online, visit canada.ca/cpp.

[Text on screen: For more information, visit canada.ca/cpp]

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