When to Take CPP Canada — Age 60 vs 65 vs 70

One of the most consequential retirement decisions Canadians make is when to start their CPP pension. You can start as early as age 60 (with a permanent 36% reduction) or defer as late as age 70 (for a 42% increase). The right answer depends on your health, other income sources, and break-even age.

Rule of thumb: If you need the income now, take it early. If you're healthy and have other income to 70, defer. The break-even between taking CPP at 60 vs 65 is approximately age 74. Between 65 and 70, it's approximately age 82–83.

CPP Optimal Timing Calculator

Your CPP benefit at age 65 ($/month): Your current age: Expected lifespan (years):

CPP Start Age Comparison

Start Age	Adjustment	Monthly (on $1,000 base)	Annual
60	-36%	$640	$7,680
62	-21.6%	$784	$9,408
65	Standard	$1,000	$12,000
67	+16.8%	$1,168	$14,016
70	+42%	$1,420	$17,040

When Taking CPP Early (Age 60) Makes Sense

You have a serious health condition and a shorter life expectancy
You need the income now and have no other sources
You are laid off or your business is struggling
Your spouse already has significant pension income
You plan to invest the CPP payments aggressively (requires consistent returns of 5%+ to break even)

When Deferring CPP to Age 70 Makes Sense

You are in excellent health and expect to live past 82–83
You are still working at 65 and have other income
You want the maximum inflation-protected guaranteed income
You have a spouse who depends on a CPP survivor benefit
You want to manage the OAS clawback — higher CPP at 70 with lower RRIF withdrawals may help

The Break-Even Ages Explained

Starting at 60 vs. 65: You receive 60 months of extra payments at the reduced rate. The break-even age is approximately 74–75. If you live past 75, starting at 65 beats starting at 60.

Starting at 65 vs. 70: You forgo 60 months of payments at 65 but get 42% more for life from 70. The break-even age is approximately 82–83. Average Canadian life expectancy at 65 is about 87 for women and 84 for men — making deferral to 70 statistically advantageous for many.

CPP and Survivor Benefits

If you die before your spouse, they may receive a CPP survivor benefit of up to approximately $727/month (for surviving spouses under 65). The more CPP you've accumulated — and the higher your monthly benefit — the more your survivor receives. Deferral to 70 can meaningfully increase the survivor benefit your spouse inherits.

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