Canada Pension Plan (CPP)

What Is CPP?

CPP stands for the Canada Pension Plan, which is a taxable benefit that comes out every month. If you are able to qualify for it, you will get CPP payments each month for the rest of your life. The income you make until you go into retirement, a portion of that gets automatically put aside towards your CPP. The Canada Pension Plan is what replaces your income when you retire. To qualify for any of these programs, there’s are a couple of standard qualifications that you have to meet. These qualifications are that you must be 60 years old or older and that you have made at least one valid contribution towards your CPP.

Payment Arrivals

The table below shows the dates of expected payments for the following CPP programs.

The death benefit program is a one-time payment of up to $2,500. It is paid 6 to 12 weeks after the Service Canada Office has received your completed application and decided if you’re eligible or not.

What programs are there?

There are a few more benefit programs that you can apply to in addition to your CPP. These benefit programs are similar to the Canada Retirement Pension Plan, and just like CPP, you must apply for all of them.

The only exception is the Post-retirement Pension because if you’ve already applied and have been accepted for the CPP Retirement Pension, you don’t need the Post-retirement Pension.

The post-retirement pension program (PRB)

The post-retirement pension program is for anyone who still wants to work while getting their CPP can apply for this benefit program. This allows them to continue participating in the CPP program, and all of their contributions will continue to go towards their post-retirement pension program (PRB). Your CPP retirement income will increase.

Benefits

• You are increasing your income for retirement with a lifetime benefit.
• You are receiving CPP while you work.
• Working and continuously contributing to your CPP.
  • Ages 60 to 65 years old are required to pay contributions to CPP.
  • Ages 65 to 70 years old are not required to pay contributions to CPP, but they still can.
  • Ages 70+ years old will stop paying contributions to CPP.

Application

In order to be eligible, the following requirements must be met.

• You must be between 60 to 70 years of age.
• If you’re working, you must pay valid contributions to the CPP.
• Receiving a CPP retirement pension or the QPP (Quebec Pension Plan)

You do not need to apply for the post-retirement pension program for it. If you are eligible, it will start automatically, and you will start receiving your payments. Every year that you make a valid contribution to CPP, you will be eligible to receive PRB the following January.

The disability pension program

The disability pension program is for anyone who has a disability, whether mentally or physically, under the age of 60 years old. They will get monthly payments if they qualify for this benefit program. You must apply for this program as soon as possible.

Benefits

• If you are disabled and have children who depend on you, your children could access the children’s benefits program.
• You’ll get monthly payments for long-term disability until you hit the age of 65 years old, where it will then be automatically changed to a CPP retirement pension plan.

Requirements

In order to be eligible, the following requirements must be met.

• You must be under the age of 65 years old.
• You have a disability, whether mentally or physically, that doesn’t allow you to work a regular job.
• Your disability is long-term or will likely lead to death.
• You have contributed enough towards the CPP program.

Application

You should apply for the disability pension program as soon as you get diagnosed with a mental or physical condition. You need to follow four steps if you’re eligible to apply for this benefit program, and the steps are listed below.

1. Submit your application form.
   1. You can apply online or send your paper application through the mail.
2. Submit your medical form.
   1. You and your doctor will both need to fill out one of two forms together; Medical report (ISP-2519) (non-terminal illness) or Terminal Illness Medical Attestation form (ISP-2530B) (terminal illness only).
   2. Once you receive one of these forms all filled out, you have three options on how you can send it in.
      1. Log on to your MSCA account and upload a digital copy of the medical form.
      2. Send the medical form by mail.
      3. Dropping it off at a Service Canada Office.
3. Wait to receive a response from Service Canada.
   1. It can take up to four months before you hear back from Service Canada. Once they’ve received all your application forms, they will call you, and after that, they will review your applications and send you their decision by mail. If you don’t hear back after four months, have passed contact Service Canada.
4. Go review your application status.
   1. To review your application process status, log on to your MSCA account or contact Service Canada for the details. If you don’t have an MSCA account, it is relatively straightforward to register for an account.

The post-retirement disability pension program

The post-retirement disability benefit is for anyone who has been on the CPP retirement pension program for at least 15 months and is now found to be disabled. Still, they are no longer eligible for the disability benefit. However, this benefit program is only available for the applicants who have contributed enough money towards their CPP retirement pension plan in order to be eligible to have both.

Benefits

• You get two monthly payments; one from your CPP retirement pension program and the other from the post-retirement disability pension program.
• If you have children that depend on you, you’re eligible for a payable towards the disabled contributor’s child benefit program.

Requirements

• You must be between 60 to 65 years of age.
• You must contribute enough towards the CPP program.
• You have a disability, whether mentally or physically, that doesn’t allow you to work a regular job.
• Your disability is long-term or will likely lead to death.
• You have already been accepted in the CPP retirement pension program and have been receiving payments for it for 15 months or more, or you have become disabled during your time on the CPP retirement pension program.

Application

For the post-retirement disability pension program, there are no different application forms. You would use the same application form that you would with the disability benefits pension program.

The survivor’s pension program

The survivor’s pension program is for anyone who is a legal spouse or common-law partner of the deceased contributor.

Benefits

• You may also qualify for this benefit program if you are a separated legal spouse and the deceased contributor has not remarried or has a common-law partner.
• If you have been a widow multiple times, you will only be eligible for one survivor’s pension benefit, and it will be the larger one out of all.
• If you remarry after you start receiving the survivor’s benefits program, you will continue to receive the benefits.
• You may also be eligible to apply for other CPP pension plans.

Requirements

In order to be eligible, the following requirements must be met.

• You must have been legally married to the deceased contributor.
• You must have been the common-law partner of the deceased contributor.

Application

You should apply for the survivor’s pension program as soon as possible after the contributor’s death. There are two ways that you can apply.

• Apply online or fill out a paper application form and send it through the mail.
• You will start receiving payments at the earliest month after the contributor’s death. You can check your status on your MSCA account.

The children’s benefit program

The children’s benefits program is for children under the age of 25 years old who are dependent on disabled or deceased contributors. There is a maximum of two children’s benefits to be paid per child.

There are two types of CPP children’s benefits programs:

• The disabled contributor’s child’s benefit, which is a monthly payment given for a child of the contributor who’s on the CPP disability benefits program.
• The surviving children’s benefit which is a monthly payment given to a child of the deceased contributor if the contributor has made enough valid contributions towards their CPP.

Benefits

• Independent children or the parent/guardian of the child will get monthly payments.
• Renewing of benefits is automatic when you turn 18 years old.
• Monthly payments are a flat rate and only change annually.

Requirements

In order to be eligible, the following requirements must be met.

• You must be under the age of 18 years old.
• You must be under the age of 25 years old and attending a college or university full-time.
• You must be the natural child of the contributor.
• You must be a legally adopted child of the contributor until the age of 21 years old.
• You must be legally in the custody of the contributor until the age of 21 years old.
• The child’s parent/guardian is receiving CPP disability pension benefits or has passed away, and they have met all the contribution requirements for CPP.

Application

You should apply as soon as possible if any of the following occurs.

• The parent/guardian has applied and been accepted for the disability pension program.
• The child comes into the custody of a parent/guardian who is already on the disability pension program.
• The parent/guardian of the child passes away.

If you’re applying for a child under the age of 18 years old, the forms to fill out are as follows.

Children of a disabled contributor.

• Application for Benefits for Under Age 18 Children of a Canada Pension Plan Disabled Contributor (ISP1152).
• Application for Canada Pension Plan Disability Benefits (ISP1151) Only complete section F.
• Send certified copies of the required documents.
• Send the paper application through the mail or drop it off at the Service Canada Office.

Children of a deceased contributor.

• Application for a Canada Pension Plan Survivor’s Pension and Child(ren) ’s Benefits (ISP1300).
• Send certified copies of the required documents.
• Send the paper application through the mail or drop it off at the Service Canada Office.

If you’re applying for a child aged 18 to 25 years old in full-time attendance to a college or university, the forms to fill out are as follows.

• You must fill out the Declaration of Attendance at School or University form. This application form should have been sent to you.
• You will also need proof of enrollment which you can choose from the list below.
  • Declaration of Attendance at School or University (only complete section C) signed by the school.
  • An official online form of proof of enrollment from your online student account.
  • An email from the school as proof of enrollment stating that you are enrolled full-time in school.
• You can apply online or through the mail with a paper application.

The death benefit program

The death benefit program is a one-time payment that goes to the deceased contributor’s estate or an eligible individual in the interests of the deceased CPP contributor.

Benefits

• You can also be eligible for other CPP programs in addition to the death benefit program.
• You receive a one-time large sum payment.

Requirements

In order to be eligible, the following requirements must be met.

• The deceased contributor must have made contributions to the CPP pension program for 1/3 of the calendar year (nothing less than three years.)
• The deceased contributor must have made contributions to the CPP pension program for ten years.

Application

You should apply as soon as possible after the contributor has passed away. There are two ways you can apply.

1. Applying online through your MSCA account.
2. Applying by filling out a paper application.
   1. Application for a Canada Pension Plan Death Benefit (ISP1200).
   2. Send certified copies of the required documents.
   3. Send the paper application through the mail or drop it off at the Service Canada Office.
   4. When applying, you must indicate the deceased contributor’s Social Insurance Number (SIN) and your own Social Insurance Number (SIN).

To sum up all the information in this article, there are a good amount of benefit programs that you could be eligible for, and for most of them, you will need documents and forms to apply for them. The payments vary per program, but all payment dates are the same except for the death benefit program, which is paid in one whole amount.