If you left the work force or reduced your working hours to be the primary caregiver for your children, it will likely be to your benefit to apply for the CPP child rearing provision when applying for CPP benefits.
To apply for the CPP child rearing provision you would complete section 11A in the application form for the CPP retirement pension (ISP1000). This provision will ensure that you receive the highest possible CPP payment. It does so by removing the child rearing period from the contributory period when calculating your CPP benefit amount.
To be eligible, the following conditions must be met:
- Your children must have been born after December 31, 1958.
- You must have had a reduction in earnings (i.e. Due to reduced hours, leaving the workforce, or taking on a lower paying job) to care for your children who were under the age of seven.
- You or your spouse were eligible to receive Family Allowance payments or the Canada Child Tax Benefit during that period of time.
If you meet the conditions above, you will be required to provide the following information as proof:
- the child’s name, date of birth and Social Insurance Number or
- the child’s birth certificate (the original or a certified true copy)
The child rearing provision improves your CPP benefits by removing the child rearing period from the contributory period
Note that you can still request this provision even if you are already receiving CPP benefits by completing the child rearing provision form (ISP1640).
If you would like more information or have any questions, feel free to contact us at 780.466.6204, or click here to send us an email.
Thanks to Johnny Kwong of KWB Chartered Accountants for providing this content.
