Should I take CPP at 60, 65, or 70?

It depends on your health, other income, and need for cash flow. Taking CPP at 60 means a 36% permanent reduction. Waiting until 70 gives you 42% more than taking it at 65. The break-even age for 60 vs 65 is about 74; for 65 vs 70 it is about 82-84. If you expect to live past 80, delaying is usually the better financial choice.

How much does CPP increase for each year I delay?

CPP increases by 0.7% per month (8.4% per year) for each month you delay past age 65, up to age 70. Before 65, it is reduced by 0.6% per month (7.2% per year). The maximum increase for waiting from 65 to 70 is 42%.

How does early CPP interact with OAS?

CPP and OAS are independent programs with separate claiming decisions. Taking CPP early does not affect your OAS amount. However, CPP income counts toward the OAS clawback threshold — so early CPP combined with other income could trigger the clawback sooner.

When to Take CPP: Age 60, 65, or 70?

Q: Can I take CPP and still work?

Yes. Since 2012, there is no earnings test for CPP — you can collect your full benefit while still working. If you are under 65 and receiving CPP, you must continue making CPP contributions on your employment income. Between 65 and 70, contributions are optional but build a small additional Post-Retirement Benefit.

CPP benefit projection showing monthly income at different claiming ages

The Canada Pension Plan lets you start collecting anywhere between age 60 and 70. Take it early and you get smaller payments for more years. Wait and you get a larger amount but collect for fewer years. The break-even analysis is simple enough — but the right answer depends on factors most people overlook: your health, your other income sources, OAS timing, and what happens to a surviving spouse. This guide walks through the math and the framework for making the decision deliberately.

The Three Claiming Ages

Age 60: Early CPP

Taking CPP before age 65 reduces your benefit by 0.6% for every month before your 65th birthday. At exactly age 60, that’s 60 months, so your benefit is reduced by 36%. The Government of Canada publishes the current CPP benefit amounts and payment rates so you can check the latest maximums.

If your standard CPP benefit at 65 would be $1,200/month, taking it at 60 gives you $768/month — $432/month less, every month for the rest of your life.

Age 65: Standard CPP

The reference amount. If you’ve contributed for most of your working life, the maximum CPP in 2026 is roughly $1,364/month, though the average recipient receives considerably less. Your actual amount depends on your earnings history and years of contribution. The Canada Pension Plan is administered by Service Canada, and you can find your personal Statement of Contributions through your My Service Canada Account.

Age 70: Delayed CPP

Every month you delay past 65 increases your benefit by 0.7%. At age 70, that’s 60 months, so your benefit is 42% higher than the age-65 amount.

Using the same $1,200/month example: delaying to age 70 gives you $1,704/month — $504/month more, for life.

Break-Even Analysis

Age 60 vs Age 65

If you take CPP at 60 instead of 65, you collect 60 extra months of payments ($768 × 60 = $46,080), but at a lower amount. The break-even age — where total lifetime benefits equalize — is approximately age 74.

If you expect to live past 74, age 65 is the better financial decision in pure math terms. If you have reason to believe you’ll live a shorter life, early CPP is more valuable.

Age 65 vs Age 70

If you delay from 65 to 70, you sacrifice 60 months of the full benefit ($1,200 × 60 = $72,000). But from age 70 onward, you collect $504/month more. The break-even age is approximately age 82–83.

If you expect to live past 83 and are in good health at 65, delaying to 70 generates more lifetime CPP income. If you have health concerns or a family history of shorter lifespan, claiming earlier makes more financial sense.

Factors Beyond the Simple Break-Even

Other income in early retirement

If you’re planning an RRSP meltdown strategy in your 60s, adding CPP to your income in those years may push you into a higher tax bracket, reducing the after-tax value of each CPP dollar. In some cases, delaying CPP until 70 while drawing down the RRSP at low rates is the more tax-efficient combination — even if the longevity break-even would normally favor earlier CPP.

OAS interaction

OAS starts at 65 (you can delay to 70 for a similar deferral bonus). If you’re already receiving CPP at 65, adding OAS on top can push income above the OAS clawback threshold ($90,997 in 2025), where 15 cents of OAS are clawed back for every dollar of income. Delaying CPP to 70 while keeping income below the threshold from 65 to 70 can preserve full OAS.

Working while collecting CPP

Since 2012, there is no work cessation test — you can start CPP at 60 and continue working full-time. However, if you’re under 65 and receiving CPP, you must continue making CPP contributions on your employment income. Between 65 and 70, contributions are optional but build the Post-Retirement Benefit (PRB), a small annual increment to your CPP.

Survivor benefits

If you have a spouse or partner, their survivor benefit is based in part on your CPP amount at death. A higher CPP from delayed claiming may increase the survivor benefit, providing more income security for a longer-lived spouse. This is worth modeling if there’s a significant age gap or health difference between partners.

Single vs couple decisions

The break-even analysis above assumes you’re optimizing for your own lifetime benefits. Couples should model both partners together, accounting for survivor benefits and the combined tax impact of both CPP streams starting at different ages.

The Health Caveat

All break-even calculations assume average Canadian life expectancy (roughly 83–85 for someone currently aged 60). If you have significant health concerns, a strong family history of early death, or a terminal diagnosis, the early claiming math changes substantially. CPP can provide meaningful income in the years you need it most.

Conversely, if you’re in excellent health at 65 with no family history of major illness, the odds of living past the 82–83 break-even are strong, and delay is likely the better financial decision.

A Practical Example

Marie is 63, has a CPP benefit of $1,200/month at 65, and plans to retire at 63 with $400,000 in her RRSP. She’s doing an RRSP meltdown, withdrawing $35,000/year. Her other income is minimal.

If she takes CPP at 63: $1,200 × (1 - 0.006 × 24) = $1,200 × 0.856 = $1,027/month. Combined with $35,000 in RRSP withdrawals, her total income is approximately $47,324/year — still within reasonable brackets but leaving less room for RRSP drawdown.
If she delays CPP to 70: Her RRSP meltdown years (63–70) are free of CPP income. At $35,000/year, she stays in lower brackets throughout. At 70, CPP pays $1,200 × 1.42 = $1,704/month ($20,448/year). Combined with OAS at 70 (assuming she also delayed OAS), her guaranteed income is robust — and the RRSP is significantly drawn down, reducing RRIF exposure.

The delay scenario often produces better lifetime after-tax income for someone in good health executing a planned RRSP meltdown, even though the break-even age is 82–83.

How Cinderfi Helps

CPP benefit comparison showing income at claiming ages 60, 65, and 70 with breakeven analysis

Cinderfi’s CPP timing tool lets you compare claiming at 60, 65, and 70 side by side within your full retirement projection. It models the interaction with RRSP withdrawals, OAS, RRIF minimums, and provincial taxes — so you can see the after-tax income impact of each claiming age, not just the gross benefit comparison. The projection runs through your full retirement horizon, showing cumulative income, tax paid, and portfolio balance at death under each scenario.

Model this in your own plan — try Cinderfi free.

April 1, 2026 · 5 min read