The application for Canada Pension Plan (CPP) retirement pension is quite simple, things to know before applying for CPP
CPP is a government pension for retired people based on workers earning and contribution, everyone who works in Canada should contribute to CPP and CPP planned to cover about 25% of pre-retirement earnings from work.
There are many conditions which can change your CPP retirement pension, and some may raise your pension income.
Some of those are:
- Child-rearing provision can be requested if you stopped working or received a lower income as the primary caregiver of your children under the age of seven, which could increase your retirement pension.
- Pension sharing with your spouse or common-law partner could mean tax savings for you.
- Credit splitting after a divorce or separation allows CPP contributions made by you and your spouse or common-law partner to be equally divided.
- International social security agreements may make you eligible for a pension if you’ve lived and worked in certain countries.
The process to apply CPP retirement pension
You do not start receiving your pension automatically when you reach age 65. You must submit an application to Service Canada to start your monthly pension. Prior to application, it should be at least a month after your 59th birthday. You must also have made at least one contribution to the CPP and want to start your CPP within 11 months.
Before you can apply, you need to have the following information:
- You’re a Social Insurance Number.
- You’re banking information if you want to direct deposit.
- Your spouse or common-law partner’s SIN.
There are two ways to apply for the CPP; you can apply online on the Service Canada website, or you can print and complete the CPP retirement pension application Form ISP1000 and mail it to Service Canada. Applying online happens in two steps.
First, you must complete and submit your online application. Second, you must print and sign the signature page from Step 7 of the application and submit it to Service Canada. A date stamp appears on this page to show when you submitted your application online.
After Applying CPP Retirement Pension:
You can receive your first CPP payments around 8 weeks after receiving your application by Canada Service
Canada services have more useful information to be aware of once you start receiving your benefits.