When should you take CPP?

Any month between age 60 and 70. The standard age is 65. Starting before 65 permanently reduces your monthly cheque by 0.6% for each month early (up to 36% less at exactly 60). Starting after 65 permanently increases it by 0.7% for each month late (up to 42% more at exactly 70). There is no benefit to waiting past 70.

There is no single best age — it depends on your health, family longevity, and whether you need the income now. As a rule of thumb: if you expect to live past your mid-80s, delaying CPP toward 70 usually produces the most lifetime income, because each year you wait adds a permanent 8.4% (up to 42% more at 70). If your health is poor, or you need the cash flow and have no other savings to draw on, starting at 60 can be the better call. The calculator above finds the start age with the highest lifetime total for the life expectancy you enter.

It depends on how long you live and whether you need the cash now. Taking it at 60 gives you a smaller cheque but for more years. The crossover (breakeven) is usually around age 74 — live past that and waiting to 65 produces more total lifetime income. The calculator above computes your personal breakeven from the numbers you enter.

Delaying to 70 boosts your monthly amount by 42% versus 65 — a guaranteed, inflation-indexed raise that no investment can promise. It tends to win for healthy people with family longevity who have RRSP/TFSA savings to bridge the gap from retirement to 70. If your health is poor or you have no other income, taking it earlier usually makes more sense.

Yes. CPP is indexed to the Consumer Price Index every January, and the increase applies no matter which age you start. Because inflation indexing affects every start age equally, comparing the options in today’s dollars (as this calculator does) is a fair comparison.

Log in to My Service Canada Account — it shows your estimated monthly CPP at 60, 65, and 70 based on your actual contribution history. Enter your age-65 figure above for a personalized result. Most Canadians receive well under the maximum because the maximum requires roughly 39 years of maximum contributions.

New CPP retirement pensions average roughly $900 per month, while the maximum at age 65 is $1,507.65 per month for 2026. Most people land below the maximum because it requires close to 39 years of contributions at the yearly maximum. Use your own age-65 estimate above rather than the average for the most accurate result.

Yes. You can collect CPP and keep working at the same time. If you are under 65 you must keep contributing, and from 65 to 70 contributions are optional. Every year you contribute while collecting earns a Post-Retirement Benefit that is added to your pension for life — so working longer can quietly increase your CPP even after you start it.

Yes. Your CPP retirement pension is fully taxable and added to your income for the year. Tax is not withheld automatically, so many retirees ask Service Canada to deduct income tax from each payment to avoid a bill at tax time. Spouses can also apply to share CPP, which may lower a couple’s combined tax.

You generally have to apply — CPP does not start on its own just because you turn 65. Service Canada recommends applying about six months before you want payments to begin, and you can apply online through My Service Canada Account. If you never apply, you simply do not receive it, so there is no penalty for deciding to delay toward 70.

CPP is based on what you contributed from your working income and can start any time from 60 to 70. Old Age Security (OAS) is based on how long you have lived in Canada, starts at 65 (and can also be deferred to 70), and is reduced by a recovery tax — the OAS clawback — once your income passes about $90,000. They are separate programs, and you can receive both.