CPP and OAS Maximum Benefits for 2023
Are you wondering how much the Canada Pension Plan (CPP) and Old Age Security (OAS) pay out?
CPP Maximums
The amount of CPP you will received are determined based on 3 factors:
- the age you decide to start your pension
- how much and for how long you contributed to the CPP
- your average earnings throughout your working life
The maximum CPP benefit during 2023 is $1,306.57 or $15,678.84/year. However the average CPP benefit paid out during 2023 is $717.15/month, or $8,605.80/year.
You can use the CRA’s online calculator to determine your benefit, here: Canada Pension Plan – How much could you receive – Canada.ca
OAS Maximums
The amount of OAS you will receive are determined based on 3 factors:
- your age (65 or older)
- how long you have lived in Canada after the age of 18
- your income, for 2023 the OAS recovery tax (otherwise known as the OAS ‘claw back’) starts when you have $81,761 in income.
| Your situation | Your annual net world income in 2022 must be | Maximum monthly payment amount |
|---|---|---|
| I am age 65 to 74 | less than $142,609 | up to $707.68 |
| I am age 75 and over | less than $148,179 | up to $778.45 |
You can estimate your monthly benefits using the CRA’s online calculator, here: Old Age Security payment amounts – Canada.ca