The Canada Revenue Agency (CRA) administers various financial assistance programs to support Canadians, especially during the holiday season when expenses tend to increase. In December 2024, several payments, including Old Age Security (OAS), Canada Pension Plan (CPP), and Canada Workers Benefit (CWB), are scheduled. Here’s a detailed breakdown of these programs, including payment dates and tips to ensure timely receipt.
Old Age Security (OAS)
OAS is a non-contributory benefit available to Canadians aged 65 and older. The December 2024 OAS payment is set for December 27, 2024, coinciding with the CPP payment date. The exact amount varies based on factors such as residency and income level. For 2024, the maximum monthly OAS payment is approximately $1,000, though higher-income recipients may face deductions due to the OAS clawback.
Key Facts:
- Eligibility: Must be 65+ and meet residency requirements.
- Payment Method: Direct deposit is faster than mailed cheques.
- Clawback Threshold: Payments reduce for incomes above a set limit.
Canada Pension Plan (CPP)
CPP provides retirement income to Canadians who contributed during their working years. Payments are calculated based on contributions, work history, and the age at which recipients start receiving benefits. For December 2024, CPP payments will also be issued on December 27, 2024.
Payment Details:
- Average Monthly Payment: Around $1,200 for recipients aged 65.
- Maximum Payment: Approximately $1,306 in 2024.
- Early Withdrawal Penalty: 0.6% reduction per month if collected before 65.
Canada Workers Benefit (CWB)
The CWB is a refundable tax credit aimed at low-income workers. It helps offset basic living costs. Payments for the last quarter of 2024 will be issued between December 20–22, 2024, for those who opted for advance quarterly payments.
Eligibility and Amount:
- Maximum Annual Amount: $2,400 for individuals, $4,200 for families.
- Eligibility Criteria: Must have low to moderate income and file a tax return.
Comparison of Benefits and Payment Dates
| Benefit | Payment Date | Eligibility Age/Criteria | Average Payment |
|---|---|---|---|
| OAS | December 27, 2024 | 65+, based on residency | Up to $1,000 |
| CPP | December 27, 2024 | Contributions during working years | Around $1,200 |
| CWB | December 20–22, 2024 | Low-income workers, based on tax return | $2,400 (individuals), $4,200 (families) |
FAQs
1. How can I ensure I receive my payments on time?
- Sign up for direct deposit to avoid delays.
- Keep your CRA account information updated, including banking and mailing details.
- File your taxes promptly to qualify for benefits like CWB.
2. What if I don’t receive my payment?
- Check your CRA account for payment status.
- Confirm eligibility criteria.
- Contact CRA for assistance if issues persist.
3. Can CPP and OAS payments increase? Yes, payments are adjusted annually based on inflation. In 2024, both programs saw slight increases to account for rising costs of living.
4. Who qualifies for the CWB? Low-income individuals and families who meet income thresholds and file their taxes on time qualify for this refundable credit.
Tips for Budgeting
The December payments often align with holiday expenses. Consider setting aside part of your benefit payments for essential needs like housing and utilities. Advance planning can help maximize the support provided by these programs.
For additional details on CRA benefits and their administration, visit the CRA website.