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Retirement Calculator for Canadians

Updated

Projected Retirement Savings
Current Savings
Total Contributions
Investment Growth
Years of Retirement Income

Enter your current age, target retirement age, current savings, monthly contribution, expected return and the yearly income you want in retirement. The calculator projects your savings at retirement and how many years they could pay that income. It is part of the retirement planning hub, and how much you need to retire explains the method behind a savings target.

How the calculator works

Saving years: from your current age to your retirement age, your savings grow at the return you enter, compounded monthly, with your monthly contribution added.

Retirement years: the calculator estimates how many years your savings can pay your target income, applying a lower return (70% of the one you entered) to reflect a more conservative mix in retirement.

Neither phase adjusts for inflation. To see results in today’s dollars, enter a return after inflation (for example 4.5% instead of 7% if you assume 2.5% inflation).

What CPP and OAS add

BenefitMaximum a monthMaximum a yearCan start
CPP retirement pension (starting at 65 in January 2026)$1,507.65$18,09260 to 70
OAS pension, 65 to 74 (October to December 2026)$762.50$9,15065 to 70
GIS, single, no other income (October to December 2026)$1,138.90$13,667With OAS

CPP is based on your contributions from work; OAS on years lived in Canada; the GIS on low income. 40 years of residence after age 18 gives the full pension; fewer gives a partial pension. OAS is reduced by the recovery tax when net income is above $93,454 (2025 income), and it can be deferred to 70 for up to 36% more. Starting later raises both pensions for life: CPP by 0.7% and OAS by 0.6% for each month after 65.

With the average new CPP ($10,300 a year) and the maximum OAS, guaranteed income is about $19,450 a year for one person. At a 4% withdrawal rate, the savings needed for a given income:

Income wantedFrom savingsSavings target
$40,000$20,550$513,750
$60,000$40,550$1,013,750
$80,000$60,550$1,513,750

A couple each receiving these benefits has twice the guaranteed income, which lowers the savings needed for a household budget.

CPP at different start ages

You can start the CPP retirement pension any time from 60 to 70 (65 is the standard age): it is 0.6% lower for each month before 65 (up to 36% less at 60) and 0.7% higher for each month after (up to 42% more at 70), with no gain from waiting past 70; applying after 65, you can backdate the start up to 11 months, but not before the month after your 65th birthday.
Start ageShare of the age-65 amountMaximum a year (pension starting in January 2026)
6064%$11,579
65100%$18,092
70142%$25,690

Starting at 65 instead of 60 catches up in total at about age 74, and starting at 70 instead of 65 at about 82. CPP at 60 vs 65 vs 70 has every age and the trade-offs.

How Canadians’ savings compare by age

From Statistics Canada’s 2023 Survey of Financial Security, by age of the family’s main earner:

AgeMedian RRSP/RRIF (families holding one)Median net worth
Under 35$15,000$159,100
35 to 44$33,000$409,300
45 to 54$72,600$675,800
55 to 64$120,000$873,400
65 and over$102,200$738,900

Source: Statistics Canada, Table 11-10-0016-01. Net worth includes home equity.

RRSP balances alone understate how ready people are, because TFSAs, non-registered investments, workplace pensions and home equity sit outside that column. Net worth by age has the full tables.

How retirement income is taxed

IncomeTaxCounts for the OAS recovery tax?Counts for the GIS?
CPP/QPPTaxableYesYes
OASTaxableYesNo (OAS itself isn’t counted)
RRSP/RRIF withdrawalsTaxableYesYes
TFSA withdrawalsTax-freeNoNo
Capital gains (non-registered)The taxable halfYesYes
Canadian dividendsGrossed up, with the dividend tax creditYes (grossed-up amount)Yes, after a deduction for the dividend tax credit
GISTax-freeYes (it is in net income, then deducted to get taxable income)No

Because TFSA withdrawals don’t count as income, choosing which account to draw from each year can affect both tax and benefits; retirement income strategies covers the order of withdrawals.

Planning ideas

  • Registered accounts first. TFSA and RRSP growth isn’t taxed each year, unlike interest, dividends and realized gains in a non-registered account. FHSA vs TFSA vs RRSP compares the accounts.
  • RRSP withdrawals in low-income years. An RRSP must mature by December 31 of the year you turn 71: by then you convert it to a RRIF, buy an annuity, or withdraw it as taxable income (or combine these). Between leaving work and that deadline, some people have unusually low taxable income; drawing on the RRSP then can mean lower tax than larger forced RRIF withdrawals later, on top of CPP, OAS and any pension (converting an RRSP to a RRIF).
  • Pension income splitting. You can allocate up to 50% of your eligible pension income to your spouse or common-law partner with a joint election on Form T1032 filed with both returns, if you were both Canadian residents on December 31 and were not living apart because of a relationship breakdown for 90 days or more including December 31; RRIF (including LIF) and RRSP annuity payments count only if you are 65 or older at the end of the year (or received them because your spouse died), and OAS and CPP/QPP never count.
  • Deferring CPP and OAS when other money can cover the gap: both increases are permanent and indexed to inflation.

How much to save each month

Balances reached with monthly saving at an assumed 7% a year, compounded monthly, starting from nothing:

Monthly saving20 years30 years35 years
$500$260,463$609,985$900,527
$1,000$520,927$1,219,971$1,801,055
$2,000$1,041,853$2,439,942$3,602,109

Time matters as much as the amount: the same monthly saving over 35 years ends with about 3.5 times the 20-year balance. Returns aren’t guaranteed; the calculator at the top lets you test other rates.

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Sources

The figures and rules on this page come from these sources, last checked against them between September 5, 2026 and September 30, 2026. How we check facts.