Avoid a Retirement Fright: Know Your Benefits
Oct 02, 2025
October is the season for ghosts and goblins, not financial surprises. Let's unmask how CPP, OAS, and GIS really work so you don't get spooked when retirement arrives.
CPP is the backbone of retirement for most Canadians. You can dig it up as early as 60, or wait until 70 to let it grow stronger. The scary part? Many people don’t realize how much the timing affects what they get. The trick is fitting it in with your other income streams so this skeleton supports you instead of rattling around. I use retirement planning software that applies AI techniques to test different start ages for CPP and OAS. Behind the scenes, the software runs thousands of scenarios and compares outcomes, so we can see exactly which option best fits your situation.
Delaying CPP can increase your monthly payment by up to 42%
OAS may feel like free candy at 65, but beware - if your income climbs too high, it starts to vanish like a phantom in the night (the government reduces it if your income is above a certain level). Understanding the clawback thresholds now means you won’t get caught off guard later. That same software tests different scenarios, helping us plan around clawbacks and avoid losing out on benefits you’ve earned.
Plan around clawbacks so your benefit isn't reduced unexpectedly!
The GIS is one of the best-kept secrets in retirement planning. Many people don’t even know they’re eligible, but for those with modest incomes, it can be a sweet surprise. Think of it as the full-size chocolate bar you weren’t expecting to find in your Halloween haul. With AI-powered projections, we can test how adjusting withdrawals, CPP, and OAS timing might open the door to GIS later in retirement.
Even modest-income retirees may qualify - check your eligibility!
Let's be real, AI tools don't replace personalized planning - but they do provide more data so we can make informed, tailored decisions for your retirement. If you're interested in trying it out yourself, try my DIY Financial Planning Tool for only $9/month.
I was just working with a client who was nervous about how much income they would have in retirement. Together, we created a plan that had them draw down their RRSPs earlier than expected and shift those funds into their TFSA. At the same time, we delayed starting CPP and OAS. This gave them steady income in the short term, while also reducing their taxable income in the long run. By the time they did start CPP and OAS, their payments were larger, their RRSP balance was lower, and their taxable income was modest enough to qualify for GIS. They didn’t have to sacrifice their lifestyle along the way, and instead of a retirement fright, they ended up with a retirement treat.
Did you know that delaying CPP until age 70 can increase your payments by up to 42% compared to starting at 65? That's one "trick" that could turn into a real "treat" if you don't need the income right away.
Want to avoid a retirement scare and feel confident about your income in retirement? Let's review your benefits together so you know exactly what's behind the mask. Book a free consultation today!
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