Canadians to get two federal payments early this month. Here's what to know about your CPP and OAS benefits

The final Canada Pension Plan (CPP) and Old Age Security (OAS) payments of 2025 will be in the mail — or deposited directly into bank accounts — on Monday. Here’s what to know.

Yes. Government pension payments usually go out closer to the end of the month — next year’s schedule lists dates between the 25th and the 29th of each month — but the December payments are always timed a little early so they don’t fall in the middle of the holidays and end-of-year closures.

Anyone 60 years of age or older and retired is entitled to CPP as long as they’ve made at least one payment to the plan during their employment history. The benefit then continues for the rest of their lives. (This doesn’t include Quebec, which has its own pension plan.)

Similarly, OAS kicks in at age 65, provided you’ve lived in Canada for at least 10 years since turning 18.

Canadians living outside of Canada are eligible if they were a citizen or legal resident when they left the country, and also lived here for at least 20 years since turning 18.

Employees contribute to CPP through payroll deductions, which are matched by employers. The contribution rate for the current year is 5.95 per cent of earnings up to $71,300, and maxes out at $4034.10. Self-employed individuals pay double since they don’t have an employer to contribute.

OAS is funded from general revenues, so there is no payroll deduction to cover it specifically.

There are a number of variables for CPP, including an individual’s average income and when they started collecting the pension. But the maximum monthly payout throughout 2025 was $1,433 for a 65-year-old retiree.

There are variables for OAS as well, such as how long you have lived in Canada, but the maximum for those aged 65 to 74 is $740.09 a month. At age 75 is gets bumped up 10 per cent to $814.10.

Oddly, yes. If you’re under 70 and still working, you can contribute to CPP and also receive payments from it. The contributions results in a higher payout when you do retire. Contributions stop after you turn 70, whether you’re working or not.

After the early December payments the government returns to an end-of-month (or so) schedule, with the next payment due on Jan. 28, 2026.

Yes. CPP payments will increase by two per cent in January. OAS will go up by just 0.3 per cent, but since those increases are calculated quarterly, it works out to a two per cent rise since last January.

• Alberta pension survey results find 63% opposed to leaving CPP
• CRA has made 'important changes' to the 2025 income tax package. What Canadians need to know

Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our newsletters here.