Economic Security & Retirement

Question 1

‘Old Age Security’?

Answer 1

Restructured in 1960s - increased benefits

Qualifying age decreased 70 →65 years

Clawback introduced in 1989

Question 2

‘Allowance or Survivor’s Allowance’?

Answer 2

Guaranteed Income Supplement (ages 60-64)

Provincial Supplements

Question 3

“Canada Pension plan’ 1965?

Answer 3

Compulsory, contributory plan
Benefits linked to wages

ELIGIBILITY:
Anyone living and working in Canada
And is at least 60 years of age
*Based on labour force participation

Question 4

‘Old Age Security’ vs Canada Pension plan?

Answer 4

OLD AGE SECURITY:
- Monthly paymentavailable to Canadians age 65 (67)
not dependent on a person’s employment history
- Do not need to be retired from a job to qualify for it
- Must have lived in Canada for at least 40 years after turning 18 (for a full pension)
- Must have lived in Canada for at least 10 years after turning 18 (to qualify)
- Clawback: 15¢ for q$ above $70K income threshold

CANADA PENSION PLAN:

• Open to all Canadians who have worked and paid into the system
• Amount received depends on how much & how long a person contributed and the age at which a person started receiving CPP payments

Question 5

Retirement trends?

Answer 5

Historically trend:
- age of retirement has been decreasing

More recently trend:
- age of retirement increasing

Gap between men and women is narrowing

Question 6

Socio-demographic factors that affect when people retire?

Answer 6

Ethnicity
Family & marriage
Employment
Health
Wealth