With the new year underway, recipients of Canada Pension Plan and old-age security benefits are getting a modest increase from the federal government.

Effective Jan. 1, 2018, CPP payments will increase by 1.5 per cent for those already receiving benefits. For 2018, the maximum CPP retirement benefit for new recipients age 65 will be $1,134.17 per month, which represents a $20 increase from the beginning of 2017.

OAS benefits, which consist of the basic OAS pension, the guaranteed income supplement and allowances, will rise by 0.2 per cent for the first quarter of 2018 in comparison to the end of last year. As of Jan. 1, 2018, the basic OAS pension will be $586.66 per month, which represents an increase of $8.13 over the the first quarter of last year.

Have your say: Is it time for the government to act on its promise of a seniors price index?

The 2018 numbers represent a very modest increase, according to Wanda Morris, vice-president of advocacy at CARP.

The priority when it comes to such incremental changes, says Morris, should be Canada’s most vulnerable seniors. “What we need to do is focus on the number of individuals who are living in extreme poverty, particularly those who are receiving the GIS,” she says.

“The Liberal government is overdue to bring in their special seniors index as promised,” she adds, referring to a campaign promise by the federal Liberals to calculate benefit increases on the basis of a basket of factors that’s more relevant to seniors specifically than the consumer price index.

Copyright © 2018 Transcontinental Media G.P. Originally published on benefitscanada.com
See all comments Recent Comments


The minimum wage increases to $14 an hour but the seniors who have contribute for years only get an increase of $8 a month for CPP?
How does that compare ?. They always get the shaft after their years of work and contributions to the gov’t !!!

Thursday, January 04 at 11:43 am | Reply


Many seniors are living at or below the poverty line which does not allow for the required rents in Ontario. One either falls short of the minimum income for low income housing or are on long waiting lists. This leaves many seniors struggling in less then adequate housing, pressuring family members, or attempting to share accommodations.
In addition to the high cost of rents in Ontario basic drug assistance does not cover the medications required by many seniors.
Often it is a choice of paying for medication needed or food.
What if anything is being planned to assist these issues for seniors in Ontario?

Saturday, January 27 at 9:31 am

Mark Doldon:

How is an increase in pension (with the increase unpaid by the recipient) at all connected to a minimum wage increase? Seniors paid into their pension plans and paid their taxes based on assumptions on payments on retirement. For the government to just randomly decide to increase those payment in the future really isn’t fiscally responsible. I’ll be starting my own pension payout in a few short years, but i don’t expect the payout to suddenly increase without me paying any more into it.

Thursday, June 07 at 3:48 pm

Cindy Spowart-Cook:

Lou, I also appreciated your comment very much. Perhaps you could take a look at my reply to Irene Stratton, although, yes, it is female-centric. You highlighted difficulties with pension amounts regardless of gender. From one comment, it looks as though CPP was raised by 1% for this year. Yet, in Ontario, the maximum rent could be raised was 1.8%. That was actually a fairly low amount set as the maximum this year for rent increases. There are actually many issues at play that have seniors living in poverty, as I’m sure you know. The strange thing though is, I never hear a politician say the P word – poverty. My Mom was very fortunate because she had a work pension and also got my Dad’s work pension and his CPP on top of it. However, in saying that Mom was fortunate, both her and my Father grew up during The Great Depression and both left school at 13 to help their respective parents get by. So, for working from 13 until 65, yes, my Mom was fortunate, but she paid the price for it, in many ways. My parents worked well together financially and only lived in an apartment for a short time after their marriage in 1949 before buying their first home. Even when wanting to be a stay-at-home-Mom, Mom babysat children so that she could. When my sister and I got older, Mom worked the afternoon and midnight shift so that Dad was home with us. However, even with what Mom ended up having come in, it wasn’t as if she was living the life of Riley.
Bottom line, I don’t believe any senior in this country should be living in poverty. Not senior specific, but in 2017, Toronto mayor John Tory announced a rent subsidy. As it turns out, for a city with 4 million people, there were 500 subsidies offered.
There are so many individual issues that need to be addressed so that seniors are not living in poverty. But, until politicians at the Municipal, Provincial and Federal levels are ready to start looking at them, there will be no change. At 59, I don’t believe I’ll see any change (except perhaps for the worse) during my lifetime and I’m terrified of what I have to look to in 6 years.

Sunday, June 17 at 2:44 am

Jane Harrison:

I worked for a lawyer for 36 years. I enjoyed my job but it was very stressful at times with deadlines almost always very day. It was a small firm and we had very few benefits. I was always so frustrated and annoyed when I rushed to the Court house to file documents only to see the clerks sitting reading books and most times could hardly get up to wait on me? These government employees were earning top wages. Why should my tax dollars pay these workers more money than I made? I have always found this most upsetting and unfair.

Thursday, January 04 at 1:09 pm | Reply

Patricia O’Halloran:

Are theses comments forwarded to the prime minister or is this just annoyed waist of time! I have never heard of any complaints re the payment of wsib pensions in 2010—mine was so decreased that I did not qualify for a pension—due to poor interest gains on government investments. The worst was that the decreased interest started for wsib investments long before it hit anywhere else—and we had absolutely no control of this issue. Something was terribly wrong with this scenario—and I was told nothing could be done about this,

Friday, January 19 at 7:49 pm

Dear Jane Harrion:

I can appreciate your frustration with the system. Let us not forget that while everyone thinks government people make 100 + K a year and gets a golden pension lets look at the truth. Federal employees were forced into ” 6 & 5 legislated wages” while the world got 12% and 11%. After coming out of that Federal employees were frozen for 8 years WITHOUT a wage increase. You can actually never get a true CPP because it is figured into your federal pension (your pension is reduced by nearly all of the CPP). At he same time your making very healthy payments into BOTH pensions.

Thursday, February 08 at 12:54 am

Irene Stratton:

Many female seniors are single or divorced, without having a partner or significant other to help pay rent or another form of housing. Females were paid less than males. The cost of a loaf of bread, e.g., is the same for both sexes. Females do not pay less for clothes or housing because they made less.

Friday, March 02 at 1:03 pm



Saturday, March 17 at 7:27 am

I Rebel:

I agree with Jane Harrison. Too many free loaders in all walks of government. Bad service in most of the agencies. Your not the only one that feels that way. In a just world the government would actually look after our money instead wasting it.

Tuesday, March 27 at 5:54 pm

Veritas Nunquam Perit:

I agree. It is so obviously unfair it merits no discussion. But the reason this happens is because people vote for big, intrusive government and with that expanded power comes the inevitable abuse of power. Jane: your answer is simple. They do these things simply because they can !Do not expect change. We collectively have given them the power over us.

Friday, April 13 at 12:49 pm

Cindy Spowart-Cook:

Irene Stratton, I do agree with you. When you get divorced, you do have the option to split your CPP *credits* with those of your ex-spouse. For example, if he made more money than you (which, in most cases he would have), he may have CPP credits of 8 and you may have CPP credits of 4. The credits translate into CPP dollars. So, with the split, with the example given, each spouse would have CPP credits of 6. The other difficulty with women’s CPP is that if they did choose to be stay-at-home Mom’s, they were obviously not contributing to CPP during the time, so again, they have less CPP coming to them. Of course, there is the GIS. But, even with that, it’s statistically correct that more women seniors live in poverty than their male counterparts. With rents the way they are, I have a single female friend, who even has a work pension (which, again, a lot of women don’t) and at 70, she is contemplating going back to work to get some extra money in her home. This is a woman who worked from a very young age to help out her single Mother and I find it appalling that she has to consider working at 70. As for myself, I was out of the work force as a stay-at-home Mom and then I had to go on disability. It’s terrible to say, but, only because of my late husband’s CPP will I be in probably equal standing with my friend with the work pension. The figures that the Ontario Liberal government gave out for Basic Income do look good for all people living in poverty. We just have to wait for the research from the trials that are being done in three Ontario cities to see if it is a viable answer. Also, if single or divorced with no children, what 65+ year old woman (or man, for that matter) would really feel like having a roommate for the first time in their lives? It is such a multi-faceted problem. If a renter, the best option looks like geared-to-income seniors’ housing, but the wait lists are getting longer and longer, even outside of the big cities and there is no talk about building any more. It’s far easier for condos to be built for foreign investors to buy, who are well off enough that they can allow to have them sit empty. It’s a very sad situation, indeed. I do believe true cost-of-living raises, percentage wise, should be given each year.

Sunday, June 17 at 2:07 am

DJ Hayward-Till:

Why are CPP increases calculated differently than salary increases for politicians?

Friday, January 05 at 7:33 pm | Reply

D. Lindsay:

Excellent question, DJ. Unfortunately, we’ll never get an
answer from the decision makers. Their priority is to line
their own pockets at the expense of Canadian taxpayers.

Thursday, January 25 at 2:20 pm


With the new year underway, recipients of Canada Pension Plan and old-age security benefits are getting a modest increase from the federal government.?
for cpp $380 monthly it will be about $4
thanks a lot

Sunday, January 07 at 6:46 pm | Reply

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