Goodbye To 65 – New Age To Collect OAS & CPP Changes Retirement In Canada

Retiring at age 65 used to feel like a guaranteed milestone—finish work, relax, enjoy life. But things are changing fast. With people living longer, healthier lives and work styles becoming more flexible, Canada’s idea of retirement is being rewritten.

Now, when and how you collect OAS and CPP benefits can be more flexible than ever. In this article, we’ll walk you through what’s new, how it works, and what you should know.

Flexible Rules for OAS & CPP — What You Need to Know

What are OAS and CPP?

• OAS (Old Age Security) is a government pension you can get when you reach a certain age, based on years living in Canada.
• CPP (Canada Pension Plan) is based on how much you and others have paid into it through your working life.

When You Can Take Them: Age Options

You don’t have to start exactly at 65 nowadays:

• For CPP, you can begin as early as age 60 (with reduced payments) or wait until age 70 (to get higher payments).
• For OAS, the standard start is age 65, but you can delay up to age 70 to get a larger monthly amount.

If you delay, your payments increase:

• OAS: up to 36% more by waiting till age 70
• CPP: up to 42% more by waiting till age 70

These changes give you more control over when you retire and how much you receive.

Proposed Changes: Raising the Eligibility Age?

Some experts suggest that for people born after 1960, the eligibility age for OAS and CPP could move to 67. Their reasoning: with aging populations and rising costs, the current system needs help staying sustainable.

But as of 2025, these changes are not official. The current rules (age 65 for OAS and age 60–70 flexibility for CPP) are still in place. Rumors of sudden changes are just that — rumors.

Current OAS & CPP Rules (2025)

Here’s a simple table showing how things stand today:

Benefit Type	Eligible Age(s)	Max Monthly Payment	Notes
OAS	65 to 74	about $740.09	Adjusted quarterly for inflation
OAS	Age 75+	about $814.10	10% extra for seniors 75 and up
CPP	At age 65	about $1,433.00	Based on your contributions and earnings
CPP	Average retiree	~ $848.00	Reflects average among new retirees

• You can delay OAS up to age 70 to get 36% higher payment.
• You can delay CPP up to age 70 to get about 42% more monthly.
• Both OAS and CPP are adjusted for inflation so you don’t lose buying power.

What’s New & What’s the Official Word

As of now:

• The official retirement age for OAS remains 65.
• The age for CPP benefits is still flexible: 60 to 70, with lower amounts if you start early and higher if you wait.
• There’s no confirmed plan to raise the eligibility age to 67 — at least not yet.
• Any rumors about sudden cuts or hikes are not based on government announcements.

The Canadian Revenue Agency (CRA) warns people to check official sources and not believe everything shared on social media about retirement ages.

Also, Guaranteed Income Supplement (GIS) offers support to low-income seniors, and both OAS and CPP are taxed as income.

Why This Change Matters to You

• You have more choice: you decide when to start taking benefits.
• If your health is good and you can work a bit longer, delaying may give you bigger monthly income.
• It helps you plan better for a longer retirement.

But it also means you need to save smartly. You can’t just rely on “retirement at 65” anymore. You’ll want to think ahead about money, health, and what kind of life you want after work.

Retiring at 65 is no longer the one-size-fits-all plan it used to be. In Canada now, you can start OAS at 65 or delay to 70, and take CPP between 60 and 70 with adjustments. While ideas to raise the retirement age to 67 for younger people are being discussed, nothing is finalized yet.

The system is shifting toward flexibility based on your health, finances, and dreams. As retirement becomes more personal, being informed and planning ahead matters more than ever.

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