Ottawa's move to increase the age of eligibility for old age security (OAS) and guaranteed income supplement (GIS) benefits to 67 from 65 could end up saving government more than $10 billion a year by the time it's fully implemented, according to a report by the auditor general.
Two rather contentious reports on public sector pensions were published recently—one by the Canadian Taxpayers Federation (CTF) and one by the Canadian Federation of Independent Business (CFIB) . While they obviously constitute an attack on public sector pensions, they also bring attention to an apparently untenable position held by the federal government.
As of July 1, 2012, the maximum basic OAS pension benefit paid to people 65 years of age and older will increase by 0.9% to $544.98 per month.
CARP appears to be getting little industry support in its resistance to the federal government’s raising OAS eligibility from age 65 to age 67.
Here’s a twist. In a trend completely at odds with the rest of the world, France has made a move to lower its retirement age for some workers, from 62 years to 60. And critics are saying it could be a costly mistake.
It seems the idea of expanding the Canada Pension Plan doesn’t die easily. The NDP hasn’t let it go, nor has the Ontario government who, with their March 27 budget, reiterated their preference for a “modest, phased-in expansion of CPP” over pooled registered pension plans (PRPPs).
CARP appears to be getting little industry support in its resistance to the federal government’s raising OAS eligibility from age 65 to age 67.
The Canadian Association of Retired Persons (CARP) is leading the pushback efforts against the federal government’s decision to raise the OAS eligibility age from 65 years to 67 years.
The federal government’s recent decision to raise the eligibility age for old age security (OAS) from 65 to 67 is an absolute must, but it’s also too timid, says Yves Guérard, an actuary and the author of a new publication from the Montreal Economic Institution (MEI).
By 2029, Old Age Security (OAS) will not become payable until age 67. After nearly half a century of improvements in government retirement programs, this is the first significant take-away. And it may not be the last.