Can I get both CPP and Social Security?

As of early 2025, it is possible for individuals who have worked in both the U.S. and Canada to collect retirement benefits from both countries. Navigating these cross-border benefits, including understanding the impact of international agreements, is crucial for securing your financial future. This guide details exactly how you can get both CPP and Social Security.

Quick Summary

Individuals who have contributed to pension plans in both the U.S. and Canada can collect benefits from both countries due to the Canada-U.S. Totalization Agreement. Recent legislation has simplified this process by eliminating the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), removing previous benefit reductions for many people. Eligibility for U.S. Social Security can even be secured by combining U.S. and Canadian work credits if you haven't earned enough in one country alone.

Key Points

• Dual Eligibility: Yes, you can collect both CPP and U.S. Social Security benefits if you have worked in both countries, thanks to the Canada-U.S. Totalization Agreement.

• WEP Repeal: The Windfall Elimination Provision (WEP), which previously reduced U.S. Social Security benefits due to foreign pensions, was repealed in January 2025, eliminating a major financial penalty for dual benefit recipients.

• Combined Credits: If you lack enough work credits in one country, the Totalization Agreement allows you to combine your work history from the U.S. and Canada to meet eligibility requirements.

• Separate Applications: You must apply for CPP and Social Security separately with the respective government agencies, although U.S. Social Security offices can help with CPP applications for U.S. residents.

• Strategic Timing: Carefully planning when to start receiving each benefit can maximize your total income. Options range from starting both early to delaying both until age 70 for the highest potential payout.

• Taxation Rules: Be aware of the tax implications. Both benefits are taxable income, and a tax treaty dictates how they are taxed to prevent double taxation, though consultation with a tax professional is advised.

The Canada-U.S. Totalization Agreement

The Canada-U.S. Totalization Agreement assists individuals who have worked in both countries. Its purpose is to prevent paying Social Security taxes to both nations on the same income and to help those who haven't earned enough credits in one country to qualify for benefits by counting work from both.

How Credits are Totalized

If you lack sufficient U.S. work credits (40 quarters) to qualify for Social Security, the U.S. Social Security Administration may count your CPP coverage periods to help you meet the minimum requirement. You need at least six quarters of U.S. coverage to use this totalization. Once eligible through totalization, your U.S. benefit amount is calculated based only on your U.S. earnings history, resulting in a partial benefit.

The Repeal of the Windfall Elimination Provision (WEP)

Previously, the Windfall Elimination Provision (WEP) reduced U.S. Social Security benefits for those receiving a pension from work not covered by Social Security, including many foreign pensions like CPP. However, the Social Security Fairness Act, enacted in January 2025, repealed both the WEP and the Government Pension Offset (GPO). This means your CPP pension will no longer reduce your U.S. Social Security benefit, and eligible individuals may receive retroactive payments.

Coordinating Your Benefits: CPP and Social Security

With the WEP and GPO repealed, coordinating your benefits involves applying separately for CPP through Service Canada and Social Security through the U.S. Social Security Administration.

When to Apply for Benefits

• CPP: You can start collecting a reduced benefit at age 60, a full benefit at 65, or an increased benefit by deferring until age 70.
• Social Security: Benefits can start as early as age 62 with a reduction. Your full retirement age depends on your birth year, and delaying until age 70 maximizes your monthly payment.

Coordination Strategies

Timing is key when claiming benefits. Consider these strategies:

• Start Social Security Early, Delay CPP: This provides earlier income while allowing your CPP to grow.
• Delay Social Security, Start CPP Early: With WEP gone, delaying Social Security increases that benefit while you receive earlier CPP payments.
• Delay Both Benefits: If financially feasible, delaying both until age 70 yields the highest possible monthly income from both sources.

Navigating the Application Process

Applying for CPP and Social Security are separate processes. If you live in the U.S. and need to apply for CPP, a U.S. Social Security office can provide forms and submit your application to Service Canada. Canadian residents can apply for U.S. benefits through a U.S. Social Security office near the border or a Service Canada Centre.

How to Apply for CPP and Social Security

To apply, gather personal identification, work history, and contribution records for both countries. Contact the appropriate agency (U.S. Social Security Administration or Service Canada) and complete the necessary application forms, such as Form CDN-USA 1 for cross-border applications. If you are using totalized credits, ensure the agency is aware of your contributions in the other country.

Potential Tax Implications

Benefits from both countries are generally taxable income. The U.S.-Canada tax treaty addresses how these benefits are taxed to prevent double taxation. U.S. Social Security benefits paid to Canadians may have U.S. tax withheld, for which a credit might be claimed on your Canadian return. CPP benefits paid to U.S. residents are typically taxable in the U.S. Consulting a cross-border tax advisor is recommended.

A Comparison of Key Differences

Feature	Canada Pension Plan (CPP)	U.S. Social Security
Primary Eligibility	At least one valid contribution to the plan.	40 credits of work (typically 10 years).
Totalization Agreement	Use U.S. credits for eligibility if needed (for OAS only, not CPP itself).	Use Canadian credits for eligibility if needed.
Earliest Collection	Age 60 (reduced benefit).	Age 62 (reduced benefit).
Full Retirement Age	Age 65.	Varies by birth year (66-67).
Maximum Deferral	Age 70 (increased benefit).	Age 70 (increased benefit).
Funding	Contributory, funded through employee and employer contributions.	Contributory, funded through payroll taxes.
WEP/GPO Impact	No reduction to CPP. Previously reduced some U.S. benefits (repealed).	Previously reduced by non-covered pensions (repealed). Benefit amount can be impacted by international agreements.

Conclusion

Thanks to the Canada-U.S. Totalization Agreement and the repeal of WEP and GPO in 2025, receiving both CPP and Social Security is now more feasible and financially advantageous for individuals with work history in both countries. The process requires applying separately to each agency and strategizing the timing of claims to maximize overall retirement income. Seeking advice from a cross-border financial and tax professional is highly recommended to develop a comprehensive retirement plan. For more information on U.S. Social Security, visit the Social Security Administration website.

Frequently Asked Questions

Does collecting CPP reduce my Social Security benefit?

No, as of early 2025, the Windfall Elimination Provision (WEP) has been repealed, so your CPP pension will no longer reduce your U.S. Social Security benefit.

Can I combine my CPP and Social Security payments into a single check?

No, you cannot combine the payments. CPP and U.S. Social Security are managed by separate government agencies and are paid out as two individual benefits.

What is the Totalization Agreement?

The Canada-U.S. Totalization Agreement is a pact that helps individuals who have worked in both countries qualify for social security benefits. It prevents double taxation and, if you lack enough work credits in one country, allows you to use your credits from the other country to meet eligibility.

How do I apply for CPP if I live in the United States?

If you are a U.S. resident, you can visit or contact any U.S. Social Security office to obtain the necessary forms (like Form CDN-USA 1) and assistance for applying for your Canadian benefits.

Do I have to start collecting my CPP and Social Security benefits at the same time?

No, the start dates for your CPP and Social Security benefits do not need to coincide. You can strategize the timing of each benefit separately to maximize your overall retirement income.

Will my Canadian Old Age Security (OAS) affect my U.S. Social Security?

No, your Canadian Old Age Security (OAS) pension does not affect your U.S. Social Security benefit amount. Totalization rules for OAS differ from those for CPP.

Are CPP and Social Security benefits taxable?

Yes, both CPP and U.S. Social Security benefits are generally considered taxable income. A tax treaty between the two countries helps prevent double taxation, but it is important to consult a tax advisor for specifics.