Canada’s government has recently declared that the benefits under the Canada Pension Plan (CPP) and Old Age Security (OAS) will be hiked this year by a substantial margin due to inflationary rates and the financial situation of elders.
Increases to OAS Benefits
As of September 2024, OAS payments will rise by 10% to reach a total of $1,400 per month. The rationale behind this adjustment is that seniors need some leeway in their monthly expenditure during hard economic times to cater for rent or mortgage and medical costs. This increase, however, is only temporary as payments will return to the norm once inflation stabilizes and begins to decrease.
Single CPP Top-Up
Along with the increase in the OAS, one-off CPP topping-up was given amounting to $1,660 payable on September 26, 2024. It allows for retirees’ speedy recovery and assists in alleviation from cost-push inflation.
2024 Payment Dates CPP and OAS
Government authorities have come out with a list of the remainder of 2024 to benefit beneficiaries for proper financial planning, including:
- September 25, 2024
- October 29, 2024
- November 27, 2024
December: December 20, 2024
These dates are applicable for both CPP and OAS benefits. This way, the beneficiary will be able to know their payments in advance.
Availability of the Higher Benefits
Beneficiaries can acquire the higher benefits through the following process:
1. Government of Canada Website: Log on to Canada.ca.
2. Benefits: Click on the “Benefits” tab and find information on pensions.
3. Access to Your Account: Use your login details with GCKey or Sign-In Partner.
4. Find the Pension Increase Section: Go to the correct section where the pension increase should be located.
5. Fill the Application Form: All necessary information and documents will be required.
6. Check and Submit: Ensure everything is correct before submitting it.
Significance of the Pension Increase
This short-term rise is a reflection of the government’s efforts to sustain its elderly population during these economically challenging times. The enhancement is meant to cushion seniors from the effects of inflation on basic expenditures.
Future Adjustments
The enhancement is short-term, and the government will continue reviewing the economic situation. Therefore, the CPP and OAS benefits may be adjusted over time to ensure that the elderly people in Canada are adequately provided for.
