New Retirement Planning Tool Available for Canadians from Ottawa
A significant number of Canadians aged 55 and older are entering retirement, as recent statistics indicate. To assist them in this transition, the government has created a tool designed for this purpose.
Government data reveals a growing trend of Canadians nearing retirement. Over 307,000 individuals retired in the year ending August 2022, representing a 31.8% increase from the previous year and a 12.5% increase from 2019, according to Statistics Canada.
In 2023, over 20% of Canadians aged 55 to 59 reported being retired, with the percentage doubling for those aged 60 to 64. Moreover, 80% of individuals aged 65 to 69 and 90% of those over 70 stated they had retired, as per Statistics Canada.
The Retirement Hub is an online resource where Canadians can evaluate their readiness for retirement and understand the government benefits available to them, such as the Canada Pension Plan (CPP) and Old Age Security (OAS).
“At Service Canada, we are dedicated to enhancing access to government benefits and services,” stated Minister of Citizens’ Services Terry Beech in a government news release. “The Retirement Hub and the OAS Estimator are among the online tools we utilize to streamline access for seniors and all Canadians nationwide.”
The hub offers a questionnaire that provides visitors with a checklist to help them prepare for retirement, addressing aspects like post-retirement living arrangements and potential income sources.
Related Stories
Effective retirement planning entails understanding eligible government benefits and assessing available financial resources post-retirement. The hub features a retirement income calculator for users to input details on employer pension plans, savings, and RRSPs.
The retirement portal provides information on how to apply for OAS benefits, including benefit amounts. Individuals aged 65 to 74 may qualify for a maximum benefit of $713.34 per month, provided their income remains below $134,626.
Users can utilize the OAS benefit estimator on the portal to determine their potential monthly benefit. However, it is important to note that this tool only offers an estimate.
Seniors may also be eligible for a Guaranteed Income Supplement (GIS) based on their marital status and income level. Qualified individuals could receive between $641 and $1,065.
Furthermore, the portal outlines additional government benefits such as allowance for spouses of GIS recipients and allowance for survivors whose spouses have passed away.
