Could I Be Eligible For The Canada Pension Plan And The Quebec Pension Plan
If you contributed to the CPP or the QPP in at least one year, you will be eligible for a retirement pension from one plan or the other as early as age 60.
The amount of your CPP retirement pension will depend on how much and for how long you have contributed to the CPP and on your age when you want your pension to start.
If you start your CPP retirement pension at age 65, you will get the full pension amount that you are eligible to receive. However, you can choose to start receiving a reduced pension as early as age 60 or an increased pension for every month you delay receiving it up to age 70.
For more information about CPP pension amounts and eligibility, visit Canada Pension Plan.
You must apply to receive your CPP or QPP retirement pension.
Note: Post-Retirement Benefit
The Post-Retirement Benefit is a lifetime benefit that can increase your retirement income if you work while receiving the CPP retirement pension. Contributions are mandatory for working CPP retirement pension recipients under age 65 and their employers. At age 65, these workers can choose to stop contributing. There are no contributions after age 70. For more information, visit Canada Pension Plan Post-Retirement Benefit .
The CPP and QPP also provide disability and survivor benefits. You must apply to receive these benefits.
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Make Sure Your Doctor Supports You
It is critical that you have your doctors support before you try to go on sick leave and apply for disability benefits. To be blunt: making a disability claim without your doctors support is a waste of time and can cause a lot of problems.Without your doctors support, your employer will not recognize your absence from work as being an approved sick leave. They will take the position that you are on an unauthorized leave and might take steps to terminate your employment.If your own doctor doesnt support you, there is no chance that any disability benefits plan or program will approve your application for disability payments. Many disability plans will deny your application even if you have a supportive doctor.What do you do if your doctor doesnt support you?It may just mean that your doctor needs more convincing. You should discuss;your concerns to the doctor and do everything the doctor recommends to improve your symptoms and ability to work. Many doctors will support you once they believe you have done everything possible to try and remain employed.In rare cases, you may have a biased or uninformed doctor. Some doctors have personal beliefs and biases against people who need to apply for disability benefits. Dont assume this is the case with your doctor just because they are reluctant to support you; give your doctor the benefit of the doubt.
The Old Age Security Program
The OAS program is the Government of Canada’s largest pension program.
You do not have to pay into the OAS program since it is funded through general tax revenues.
In addition to the OAS pension, there are three types of income-tested benefits that provide additional support to seniors with low incomes:
- the Guaranteed Income Supplement
- the Allowance
- the Allowance for the Survivor
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Calculate The Best Time To Start Social Security
If you are confused about when to start, you can use the Social Security Explorer part of the NewRetirement Retirement Planner to compare your monthly income and maximum lifetime payout at different ages.
Or, you might consider the following rules of thumb:
- Take Early: The only people who should consider taking their Social Security early are those who absolutely need the money immediately, or those who do not expect to live for very long, due to illness
- Take at Full Retirement Age: Should you have reason to believe that you will not live past the age of 80, then generally speaking you will maximize your social security benefits if you take them when you reach your Full Retirement Age.
- Wait as Long as Possible: On the other hand, if you are confident that you will live past the age of 80 or 85, then most experts recommend that you defer your social security for as long as you can , so as to maximize the benefits you receive from it.
- Other: If you have dependent children, the additional benefits you receive for them might make filing when you are younger worthwhile.
It can also be a very good idea to have an overall retirement plan before you decide when to start your Social Security benefits. The NewRetirement Retirement Planner can help you assess all of your sources of retirement income and whether or not you will have enough to cover your expenses. This tool was recently named a best retirement calculator by the American Association of Individual Investors .
Is My Oas Pension Taxable
Yes. Like most other retirement income, your OAS pension is taxable.
To voluntarily request that federal income tax be deducted each month from your OAS payment, visit the My Service Canada Account or, complete the Request for Voluntary Federal Income Tax Deductions form .
If you do not request monthly tax deductions, you may have to pay your income tax in quarterly installments. For more information, contact the Canada Revenue Agency.
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When To Apply For Ssi
Social Security does not charge an application fee, so apply for SSI as soon as you believe that you or your child may qualify for benefits. A delay may cause you to lose money because the date you file an application becomes the effective date for payment of benefits once it is approved. If you call to schedule an appointment to apply for benefits, Social Security will use the date of the call as the effective date as long as you file an application within 60 days from the date of the call.
How Have The Number And Share Of People Receiving Disability Benefits Changed Over Time And What Accounts For These Changes
There has been little change over the past two decades in the share of nonelderly adults receiving Supplemental Security due to a disability. In 2011, 2.4 percent of nonelderly adults received Supplemental Security for a disability, compared to 2.1 percent in 1996. This comparison does not, however, take into account demographic and economic changes, particularly the aging of the population and the increase in poverty, which both have increased the number of people who are potentially eligible for Supplemental Security.
Controlling just for income, participation in Supplemental Security by working-age adults who are potentially eligible because of low income has actually declined over the past decade and a half. In 2011 there were 17.6 nonelderly adults receiving Supplemental Security for every 100 nonelderly adults with incomes below 100 percent of the poverty line, compared to 18.5 nonelderly adults in 1996. In other words, the number of nonelderly adults receiving Supplemental Security grew at a slower rate than the number of nonelderly adults with very low incomes.
The share of nonelderly adults receiving Disability Insurance has increased over time. This is largely due to demographic factors, including:
A number of factors account for this one-percentage-point increase in the disability-prevalence rate after accounting for the changes in the age and gender distribution of the workforce, including the following:
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Determination Of Benefit Options
In looking over your application, the SSA determines if you can get higher benefits off your spouses record or your spouse can get benefits off of yours. The agency might also determine if your children qualify for benefits on your record. If any other family members get benefits off of your record, it wont affect your retirement payments.
Work Information Youll Need
What you do for a living may have an impact on your benefits, so youll need to supply the SSA with some employment information as well. This includes the name and address of your employer for both this year and last year.
Youll also need to know how much money you earned this year, last year and potentially next year. Youll need an estimate of next years income if youre applying in September, October, November or December.
Similar to the above section, you should also indicate on your application if any of these conditions apply to you:
- Youve been unable to work because of injury, illness or another condition at any point within the past 14 months.
- Youve qualified for a pension or an annuity from a federal or state government employer.
- You or your spouse have ever worked for the railroad industry in any capacity
- Youve earned any Social Security credit under the social security system of another country
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Watch Out For Hidden Costs
Youll also want to consider other lifestyle factors, especially Medicare. Americans become eligible for federal health insurance coverage at age 65, well after when you can begin to file for Social Security.
If you stop working at age 62 and lose health insurance, you have to get supplemental insurance to bridge the gap until you turn 65 and Medicare kicks in, Neiser says.
If you work during retirement, you have another incentive to delay collecting Social Security. Earning too much at a job after you begin collecting your benefit can reduce your payout, but only if you have yet to hit full retirement age.
However, when you hit full retirement age, your benefit will increase to account for any benefit that was withheld earlier due to working. Heres how much you can earn and not get hit.
If youre younger than full retirement age for all of 2021, the Social Security Administration will deduct $1 of your monthly check for every $2 you earn above $18,960 per year.
If you reach full retirement age in 2021, the administration deducts $1 of your monthly check for every $3 you earn above $50,520 until the month you reach retirement age.
Youll also owe Social Security and Medicare tax on your earnings, even if youre already receiving benefits.
So those are some potential pitfalls to claiming Social Security early.
A Note For People Who Are Blind Or Disabled
If you are blind or disabled, and currently working, there are certain rules in place to assist you. It is possible to receive SSI benefits while youre employed. As your earnings increase, your SSI payments will be reduced or stopped proportionately, but you may able to maintain your Medicaid coverage. You could also save some money on the side for a work goal or to attend school. In this situation, the money you put aside will not reduce your SSI benefits. Blind or disabled people who submit an application for SSI could get free special services to assist them while working. These services could be counseling, job training, or help finding a job.
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How Do I Ask For A Fair Hearing
Our call volume can be extremely high. Please do not wait on the line if you have internet access. Instead please request a fair hearing by accessing the online request form at
In accordance with Social Services Law § 36-a and 18 NYCRR § 300.11, the OTDA Office of Administrative Hearings initiated a demonstration project to ascertain the viability of conducting fair hearings to the greatest extent possible utilizing telephone, video, and other means of communication. We are holding most fair hearings telephonically. OAH will attempt to call you on the date of your scheduled hearing, between 9AM and 1PM, if your hearing was scheduled in the morning, or between 1PM and 5PM, if your hearing was scheduled in the afternoon. The Hearing Officer will call from a blocked number. Please ensure your telephones can accept a call from a blocked number. For hearings conducted by telephone, Hearing Officers will leave voice messages when possible for Appellants and their authorized representatives who fail to answer their phones. Hearing Officers will call Appellants and their authorized representatives two times during the scheduled hearing period, with at least twenty minutes between calls. If the Appellant and their authorized representative fails to answer, the hearing request may be considered abandoned .
Can Someone Else Contact Service Canada On My Behalf
You can authorize a person to give information to and receive information from Service Canada on your behalf by signing in to My Service Canada Account or by completing the Consent to Communicate Information to an Authorized Person form . Both you and the person you are authorizing must sign the printed form and mail it to the Service Canada Centre closest to you. Mailing addresses are provided on the form.
This form does not allow the person to apply for benefits on your behalf, change your payment address, or request/change the withholding of tax.
If you cannot manage your own affairs, another person or agency may be appointed to act on your behalf. Visit Supporting Homeless Seniors Program: How to act as a third-party administrator.
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When To Apply For Social Security Benefits
Social Security retirement benefits can be collected as early as age 62 or as late as age 70.
Full retirement age depends on your birthday, but for boomers now starting to retire, the full retirement age is 66.; If you receive benefits before you reach full retirement age, your benefit will be reduced by up to 25%.
Alternatively, if you postpone collecting benefits after you reach full retirement age, your benefit will increase by 8% each year until you reach age 70.; After age 70 you can no longer earn credits so there is no benefit to delaying benefits after age 70.
According to the Social Security Administration, approximately 73% of current beneficiaries submit their Social Security application before reaching retirement age and are therefore receiving reduced benefits; however this may not be the best strategy.; Your health, life expectancy, marital status and other resources all play a role in when you should start collecting benefits.
The Ins And Outs Of Applying For Social Security Benefits
Pundits spend a good deal of time advising Americans about the best age to claim Social Security at age 62, at full retirement age, at age 70 and the like.
But they hardly ever discuss the nuts and bolts of applying for Social Security benefits. They should.
You see, the seemingly simple act of completing an application for retirement, spouses, disability benefits isnt always as straightforward as you might think. I had a client once who described this as the most complicated and bureaucratic process known to mankind, says Robin Brewton, the chief operations officer for Social Security Solutions.
Heres what experts say you need to know.
Start three months before you want payments. It doesnt take that long to clear a claimno way, says Andy Landis, author of Social Security: The Inside Story. But allows time to iron out any wrinkles that come up, like finding your military discharge form ;DD Form 214, Discharge Papers and Separation Documents; or other documents. Then its clear sailing to your first payment.
Others suggest the same. If you want benefits to start on your 66th birth month go to the Social Security office three months prior to your birth month, says Ted Sarenski, the CEO of Blue Ocean Strategic Capital. Social Security will only give retroactive benefits six months prior so in no case go to them more than six months past your birth month if you intend to begin benefits on your birth month.
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How Do Benefits Work And How Can I Qualify
While you work, you pay Social Security taxes. This tax money goes into a trust fund that pays benefits to:
Those who are currently retired
To people with disabilities
To the surviving spouses and children of workers who have died
Each year you work, youll get credits to help you become eligible for benefits when its time for you to retire. Find all the benefits Social Security Administration offers.
There are four main types of benefits that the SSA offers:
Learn about earning limits if you plan to work while receiving Social Security benefits
When To Begin Receiving Social Security Benefits
Have you wondered when the best time is to retire? Benefits are based entirely on income received during the years you worked. For this reason,; it is important to work as long as possible.; Benefits are available as long as at least 40 credits have been earned. Age is also important in knowing when to retire.; If you retire early at the age of 62, your benefits will be reduced. Waiting; can increase benefits by about 25 percent. Full retirement age is currently 67. However, if your health is good or you have other income, waiting until you are 70 to claim your benefits will increase the amount you receive.
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Be As Accurate As Possible
Above all, be as accurate as possible when filling out the application. Pay; attention to details and review your answers. Compare documents with the completed information. When applying online, you will have a chance to make changes before hitting the submit button. There is no need to mail the application. It can be easily and securely submitted online. Be sure to print the receipt and keep it with other important records.