Q&A: Taking early CPP benefits
Question: I will be turning 60 next February and I’m in a quandary as to whether to take reduced CPP Benefits or wait until I’m 65 years old. Several friends have recommended that I take early reduced benefits because the ‘break-even’ point of reduced benefits at 60 versus 65 is 84 years of age. That is to say although I would receive reduced benefits, it will be in my 84th year that all monies equal out. Are there considerations that I should take into account? – Bob E., Victoria BC
Gordon Pape answers: I assume that you will not be working
at that point. If you are, the question is moot because you can’t start claiming
CPP retirement benefits until you stop working, even if only temporarily.
When to start collecting is a tough call because no one knows how long they
will live. Your family’s medical history offers some guidance but few people
would base a decision on that.