Canada Unveils CPP Benefit Boost for Students

Employment and Social Development Canada

January 8, 2025 Gatineau, Québec Employment and Social Development Canada

Today, Minister of Seniors Joanne Thompson announced new benefits for part-time students whose parents are disabled or deceased and contributed to the Canada Pension Plan (CPP). As of January 1, 2025, eligible part-time students aged 18-24 will receive 50 percent of the amount paid by the CPP to full-time students. For 2025, this is a monthly flat rate of $150.89 for part-time students who qualify for the benefit. Students will need to show a minimum school attendance threshold to qualify for the benefit.

CPP children's benefits are there to provide financial support to dependent children under the age of 18 that would normally be provided by their disabled or deceased parent. For children aged 18 to 24, these benefits help cover some of the cost of their education. It is estimated that this new benefit will immediately help 6,712 beneficiaries in 2025.

This change is part of the CPP reforms announced in the Fall Economic Statement and Budget 2024 following the agreement of ministers of finance to conclude the 2022-2024 CPP Triennial Review. Other CPP amendments took effect on January 1, 2025, including adding a top-up to the death benefit for certain contributors, extending eligibility for the Disabled Contributor's Child's Benefit when the parent reaches age 65, and ending the entitlement to a survivor's pension following a CPP credit split. In addition to the Triennial Review changes, the package included a change to the CPP legislation that was already in effect: extending the incapacity provisions to protect the Disabled Contributor's Child's Benefit.

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