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General Information
(Here is a summary of some of the
information in the Survivor Benefits brochure put out by Human Resources
Canada)
(This brochure and the
application forms are always available at the funeral home)
What are CPP survivor benefits?
CPP survivor benefits are
paid to the deceased contributor's estate, surviving spouse and
dependent children. There are three types of benefits.
The death benefit is a
one-time payment to, or on behalf of, the estate of a deceased CPP
contributor.
The surviving spouse's
pension is a monthly pension paid to the surviving spouse of a deceased
contributor.
The children's benefit is
a monthly benefit for dependent children of a deceased contributor.
It is important that you
apply for CPP benefits. If you do not apply, you may lose benefits you
are entitled to receive.
How long must I contribute for my
survivors to receive benefits?
For your survivors to be
eligible, you must have made contributions to the Canada Pension Plan
for at least three years. If your CPP "contributory period" is longer
than nine years, you must have contributed in: one third of the calendar
years in your contributory period, or 10 calendar years, whichever is
less.
Who is eligible for survivor benefits?
The CPP death benefit is
a one-time, lump-sum payment made to the deceased contributor's estate.
If there is no estate, the person responsible for the funeral expenses,
the surviving spouse or the next of kin may be eligible, in that order.
The CPP surviving
spouse's pension is paid to the person who, at the time of death, is the
legal or common-law spouse of the deceased contributor (see definition
of "spouse"). If you are a separated legal spouse and there is no
cohabiting common-law spouse, you may qualify for this benefit.
The CPP children's
benefit is paid to the natural or adopted child of the deceased
contributor, or a child in the care and control of the deceased
contributor at the time of death. The child must be either under age 18,
or between the ages of 18 and 25 and in full-time attendance at a
recognized institution.
How much is the death benefit?
As with most CPP
benefits, the amount of the death benefit depends on how much, and for
how long, you paid into the CPP.
CPP first calculates the
amount that your CPP retirement pension is, or would have been if you
had been age 65 when death occurred. The death benefit is equal to six
months' worth of this "calculated" retirement pension, up to a maximum
of $2,500.
How much will my surviving spouse
receive?
The amount of your
surviving spouse's monthly pension depends on:
- how much, and for how
long, you have paid into the Plan;
- your spouse's age when
you, the contributor, die; and whether your spouse is also receiving a
CPP disability or retirement pension.
First CPP calculates how
much your CPP retirement pension is, or would have been if you had been
age 65 at the time of your death. Then, a further calculation is done
based on your surviving spouse's age at the time of your death.
In 1997, the average
survivor's pension paid to persons aged 65 and over was $231.78 per
month. The maximum for that year was $442.09 per month.
Who qualifies for the children's
benefit and how much is it?
A child who has lost at
least one parent who was a CPP contributor may qualify. For the benefit
to be paid, the deceased parent must have met the contributory
requirements.
The monthly children's
benefit is a flat rate that is adjusted annually.
In 1998, the children's
benefit is $169.80 per month.
A child may get up to two benefits if:
both parents paid into
the CPP, and each parent is either disabled (according to CPP rules) or
deceased.
Are benefits always paid?
No. The person who died
must have made enough contributions to the Canada Pension Plan . As
well, his or her survivors must meet eligibility requirements, and
apply.
If I am the survivor, when should I
apply?
You should apply as soon
as possible after the contributor's death. If you delay, you may lose
benefits. CPP can only make back payments for up to 12 months.
Note:
if you are widowed more than once, only one surviving spouse's pension -
the larger of the two - will be paid.
Who should complete the application?
As the surviving spouse,
you are responsible for applying for your monthly pension. If you are
incapable of applying, you may have a representative (such as a trustee)
apply for you.
If you are caring for a
dependent child of the deceased contributor and the child is under the
age of 18, you should also apply for the children's benefit on behalf of
the child. However, children under age 18 who are living on their own
may complete their own application.
Dependent children who
are between the ages of 18 and 25 and in full-time attendance at a
recognized institution should apply for the children's benefit
themselves.
The executor,
administrator or a legal representative of the estate should apply for
the death benefit. If there is no estate, the person responsible for the
funeral expenses, the surviving spouse or the next of kin may apply, in
that order.
How do I apply?
You must complete an
application. Application kits are available from any Human Resources
Canada Centre and always available at our funeral home. The kit contains
the information and instructions as well as a list of documents you will
need to apply.
