1. BENEFITS UPDATE Federal Income Security Benefits: Ten Things that Elder-Law Lawyers “Need to Know”

2. Gender Doesn’t Matter • Federal income security benefits are given in identical circumstances to “spouses” and “partners” whether same-sex or opposite-sex. • The Canada Pension Plan Act and the Old Age Security Act were amended in July 2000 to treat same-sex common-law partners identically to opposite-sex common-law partners. Benefits Update

3. CPP Contributors Benefits • Retirement Benefits of up to $844/mo. • Death Benefits of up to $2,500. • Survivors Benefits for: • Spouses under age 65 of up to $471/mo. • Spouses age 65 or more of up to $506/mo. • Children (of Deceased or Disabled Contributors) Benefits of up to $200/mo. • Disability Benefits of up to $1,031/mo. Benefits Update

4. CPP Credit Splitting and Assignment • Since 1987, CPP credits may be divided between separated and formerly cohabiting spouses or partners for the period of actual co-habitation. • Unmarried “partners” must apply for a credit-split within four years of separation. • CPP Retirement Benefits may be shared or “assigned” between co-habiting spouses or partners. Benefits Update

5. OAS Benefits • OAS Pension of up to $484/mo. • Eligibility is based on (1) age of 65 y.o. and (2) years of “residence” in Canada, after reaching age 18, of: • 40 years residence for a full pension; or, • 10 years residence for a partial “pro-rated” pension. • Residence after the receipt of benefits doesn’t count. • “Treaty” residence outside Canada will count for the 10-year or 40-year rules, depending on the terms of the treaty. Benefits Update

6. GIS Benefits • Comes in one single combined payment with the OAS pension. • Must be applied for yearly. • Maximum GIS payment is: • $593/mo. for a single person; • $389/mo. for a pensioner’s spouse or partner. • Reduced by $1 for every $2 of “other income”, i.e.: any income on the previous year’s tax return, except OAS. Benefits Update

7. Spouse’s Allowance • OAS “Spouse’s Allowance” and “Widowed Spouse’s Allowance” are now officially known as the “Allowance”. • Same rules as the GIS for spouses, partners or widows of OAS recipients ages 60-64 y.o. • Spouses Allowance up to $967/mo. • Equivalent to OAS $484 + GIS $389/mo. • Widowed Spouses Allowance up to $874/mo. • Roughly equivalent to 2X OAS of $484/mo. Benefits Update

8. Payments Outside Canada • CPP benefits are paid to a contributor anywhere world-wide, regardless of residence; subject to non-residents tax. • OAS benefits are paid outside Canada: • indefinitely, for 20-year contributors. • for up to six months for less-than-20-year contributors. • Absence from Canada for more than six months disqualifies one from GIS. Benefits Update

9. You Must Apply for Benefits • Income Security Benefits are not paid unless an application is made. • Retro-active benefits can be paid for the month of application and the eleven preceding months. • Longer retroactivity can be paid based on: • mental incapacity to make an application; or, • administrative error. Benefits Update

10. Appeals Process • Eligibility for CPP, OAS and GIS benefits can be appealed by: • an internal review or “reconsideration”; • a review before the CPP or OAS Review Tribunal; and, • with leave, before the Pension Appeals Board. • Rectifying “Administrative Error” is a matter of ministerial discretiononly. Benefits Update

11. 1-800-277-9914 • Income Security Programs can be easily accessed by phone. • Service Agents have immediate access to on-line client information. • Oral consent to release information can be given by conference call. • The client will need to give a date of birth and Social Insurance Number. Benefits Update