If Cora chooses the 66 2/3% option
Choosing
the 66 2/3% spousal benefit option will provide Cora and Ron with a total household income of $66,000/year ($46,000 from Cora and $20,000 from Ron) at age 65, when Cora’s CPP starts.- This option will give them the largest household income of the three options.
After Cora passes away:
- Although Cora’s CPP and OAS pensions will stop, Ron will receive a CPP survivor’s pension in addition to his own CPP and OAS pensions.
- Ron will also continue to rely on the $4,000 annual income ($333 monthly) he receives from his RRIF.
- With all these sources of income, Ron’s total household income will be $44,800/year, before taxes, after Cora passes away.
- This option will provide Ron with 67%, before taxes, of their previous total household income.

Cora was developed as an example by HOOPP for illustrative purposes only. This example assumes that Cora retires at age 60 and starts her CPP and OAS at age 65. It also assumes that she passes away before age 75 (the age when OAS increases). All amounts are before taxes and do not include any future cost of living adjustments (COLA) on her HOOPP pension, or any increases to CPP or OAS benefits. Cora and Ron start receiving their CPP and OAS at age 65. They both receive the average amount of CPP and the maximum OAS benefits payable on January 1, 2022. After Cora passes away, Ron continues to receive his CPP pension, plus a 60% CPP survivor’s pension. This combined amount is below the maximum CPP that applies in this situation. Life insurance or other assets were not included in the example.
If Cora chooses the 80% option
Choosing
the 80% spousal benefit option will provide Cora and Ron with a total household income of $65,500/year ($45,500 from Cora and $20,000 from Ron) at age 65, when Cora’s CPP starts.- To provide Ron with a larger spousal pension, Cora’s lifetime pension and their total household income would be reduced by $500/year, compared to the
66 2/3% spousal option.
After Cora passes away:
- After Cora passes away, her CPP and OAS pensions will stop, but Ron will continue to receive his CPP (plus the CPP survivor’s pension) and his OAS pensions.
- Ron will also continue to rely on the $4,000 annual income ($333 monthly) he receives from his RRIF.
- After Cora passes away, Ron’s total household income will be $48,400/year, before taxes. This is an increase of $3,600/year compared to the 66 2/3% option.
- This option will provide Ron with 73%, before taxes, of their previous total household income.
Cora was developed as an example by HOOPP for illustrative purposes only. This example assumes that Cora retires at age 60 and starts her CPP and OAS at age 65. It also assumes that she passes away before age 75 (the age when OAS increases). All amounts are before taxes and do not include any future cost of living adjustments (COLA) on her HOOPP pension, or any increases to CPP or OAS benefits. Cora and Ron start receiving their CPP and OAS at age 65. They both receive the average amount of CPP and the maximum OAS benefits payable on January 1, 2022. After Cora passes away, Ron continues to receive his CPP pension, plus a 60% CPP survivor’s pension. This combined amount is below the maximum CPP that applies in this situation. Life insurance or other assets were not included in the example.
If Cora chooses the 100% option
Choosing
the 100% spousal benefit option will provide Cora and Ron with a total household income of $64,800/year ($44,800 from Cora and $20,000 from Ron) at age 65, when Cora’s CPP starts.- To provide Ron with a larger spousal pension, Cora’s lifetime pension and their total household income would be reduced by $1,200/year, compared to the 66 2/3% spousal option.
After Cora passes away:
- After Cora passes away, her CPP and OAS pensions will stop, but Ron will continue to receive his CPP (plus the CPP survivor’s pension) and his OAS pensions.
- Ron will also continue to rely on the $4,000 annual income ($333 monthly) he receives from his RRIF.
- After Cora passes away, Ron’s total household income will be $53,600/year, before taxes. This is an increase of $8,800/year compared to the 66 2/3% option.
- This option will provide Ron with 82%, before taxes, of their previous total household income and with the most financial support as he will continue to receive the same HOOPP pension she was receiving.

Cora was developed as an example by HOOPP for illustrative purposes only. This example assumes that Cora retires at age 60 and starts her CPP and OAS at age 65. It also assumes that she passes away before age 75 (the age when OAS increases). All amounts are before taxes and do not include any future cost of living adjustments (COLA) on her HOOPP pension, or any increases to CPP or OAS benefits. Cora and Ron start receiving their CPP and OAS at age 65. They both receive the average amount of CPP and the maximum OAS benefits payable on January 1, 2022. After Cora passes away, Ron continues to receive his CPP pension, plus a 60% CPP survivor’s pension. This combined amount is below the maximum CPP that applies in this situation. Life insurance or other assets were not included in the example.
Cora's decision
Thinking about their total household income was helpful for Cora to understand the "big picture" when it came to their life in retirement. Here are the factors Cora considered before making her final decision:
- After considering age, family history and health, Cora recognized that she was relatively healthy, and also knew that, on average, women tend to live longer than men.
- Cora and Ron try to live within their means. So, even though Ron does not have a workplace pension, she recognized that the 66 2/3% option would provide an overall income replacement of 67%, which would be enough to for him to live on.
- Plus, most of Ron's income will be secure and predictable, and may be eligible for cost of living adjustments (i.e., HOOPP pension, CPP, OAS). HOOPP's inflation protection can help his pension keep up with the rising cost of living and maintain its buying power in retirement.
- Cora and Ron are fortunate enough to have no mortgage or other large debt that Ron would have to take care of if Cora passed away first. Based on these factors, they discussed that they would rather have a higher household income to enjoy together
in retirement.
Cora decided that choosing the 66 2/3% spousal option was right for her. She knew this option would allow them to live comfortably in retirement and that Ron would be taken care of after she passes away.

Cora was developed as an example by HOOPP for illustrative purposes only. This example assumes that Cora retires at age 60 and starts her CPP and OAS at age 65. It also assumes that she passes away before age 75 (the age when OAS increases). All amounts are before taxes and do not include any future cost of living adjustments (COLA) on her HOOPP pension, or any increases to CPP or OAS benefits. Cora and Ron start receiving their CPP and OAS at age 65. They both receive the average amount of CPP and the maximum OAS benefits payable on January 1, 2022. After Cora passes away, Ron continues to receive his CPP pension, plus a 60% CPP survivor’s pension. This combined amount is below the maximum CPP that applies in this situation. Life insurance or other assets were not included in the example.