What’s the Retirement Age in Canada: 65 or 67? Essential Information for You{2024}

Updated on June 14, 2024

Discover the Retirement Age in Canada: Is it 65 or 67? This article provides comprehensive details and essential information about the Retirement Age in Canada, covering everything you need to know.

Retirement Age Canada

Retirement is eagerly anticipated by many, signifying a shift from work responsibilities to self-enjoyment. Planning involves saving and considering crucial aspects like pension plans. Understanding the retirement age is pivotal; traditionally set at 65 in Canada, the law has evolved, allowing individuals to work beyond this age as desired, focusing on personal and family time.

What is the Retirement Age in Canada

While the conventional retirement age is 65, it’s not obligatory. Early retirement is an option for those with sufficient savings. Eligibility for Canada Pension Plan benefits begins at 60, with the amount dependent on when the retirement pension is initiated and the individual’s CPP contributions.

Delaying the CPP Pension results in higher payments, as it can be taken anytime between 60 and 70. Old Age Security benefits start at a minimum age of 65. Visit the official Canadian Government website for detailed age requirements on different retirement benefits in Canada.

Retirement Age in Canada 65 or 67

According to Statistics Canada, the average retirement age for women in 2022 stood at 63.6 years, with a median retirement age of 63.8 years. For men, the average retirement age was 65.5 years, and the median retirement age was 65.2 years in the same year.

Overall, the combined average retirement age for both genders in 2022 was 64.6 years, with a median retirement age of 64.8 years. In 2021, both males and females had an average retirement age of 64.3 years and a median retirement age of 64.5 years.

Check the average retirement age of both males and females in Canada-

Worker’s Class 202020212022
Total, all retirees64.3 years64.3 years64.6 years
Public sector62.1 years62.4 years62.7 years
Private sector64.6 years64.7 years64.7 years
Self-employed67.8 years67.6 years68.4 years

Check the median retirement age of both males and females in Canada-

Worker’s Class 202020212022
Total, all retirees64.5 years64.5 years64.8 years
Public sector61.3 years61.8 years61.8 years
Private sector64.6 years64.8 years64.9 years
Self-employed66.8 years65.9 years67.8 years

To obtain additional details on average and median retirement ages in Canada, you can explore Statistics Canada’s website. These figures are derived from the retirement ages of individuals in the public sector, private sector, and those who are self-employed. It’s important to note that these averages and medians can fluctuate annually based on various factors.

All We Know About Retirement Age Canada

Determining an earlier retirement age involves considering various factors such as government pension benefits, retirement savings, the nature of retirement, and company pension plans. Individuals should assess these aspects comprehensively to establish their retirement age. Additionally, if they anticipate receiving government benefits post-retirement, eligibility criteria should be thoroughly examined.

 

Retirement Age Canada Both

Beyond age criteria, certain benefit plans may have additional requirements. The envisioned lifestyle in retirement plays a crucial role in deciding the retirement age. For those considering significant purchases or travel, it’s essential to assess their saved funds and potential benefits before making a decision.

Additionally, citizens can utilize the Retirement Income Calculator on the official Canadian Government website to estimate federal benefits like CPP and OAS. To use the calculator, individuals need to input various essential details, including financial information, RRSP statements, and contributions.

Opting for early retirement, below age 60, becomes viable if one has a robust company pension, high income, a substantial inheritance, and a well-structured retirement plan. The typical retirement age falls between 60 and 70, with some individuals choosing late retirements at age 70 and beyond.

 

 

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