CPP and OAS Payments Increase in 2025: The cost-of-living adjustment, or COLA, is a helpful benefit that ensures your pension keeps its value. We are pleased to share that for 2025, the COLA for retirees from the Public Service Pension Plan and their families will be 2.7%. Let’s break down what this means for you and how you can benefit from this change.
What is the 2025 COLA?
The 2025 COLA means your pension will go up by 2.7%, helping it match the rise in prices. You’ll see this change in your monthly pension payment, and there will be details in your Retired Member Statement (RMS) that you will get in January 2025.
For retired TVO Plan members and their families, the 2025 COLA will be 1.64%, as stated by the TVO Plan rules.
How COLA Works for PSPP Members
How Is COLA Figured Out?
COLA is calculated by checking changes in the Consumer Price Index (CPI) over time. This helps ensure that your pension keeps up with rising prices, so it remains valuable.
Why Is COLA Different From What You Hear in the News?
The COLA for PSPP members is calculated following specific rules of the plan. This process may not match the general CPI numbers you see reported in the news.
How Does COLA Affect My Pension?
Starting in 2025, your pension payments will automatically adjust. This is to help you keep up with the rising costs of everyday items by protecting your buying power.
Important Dates and Information for 2025
Tax Documents for 2024
- Your T4A or NR4 tax slips for 2024 will be available through your e-services account by early to mid-February 2025.
- A physical copy will also be mailed to you by ADP.
Pension Payment Dates
The 2025 pension pay dates have been mentioned on Pension pay Dates page. Planning ahead for these dates can help with financial management.
Direct Deposit Setup
No matter where you live—Canada, the U.S., or abroad—you can sign up for direct deposit for faster, hassle-free pension payments.
Important Things to Remember at Year-End
Check Your Personal Details
Make sure your address, marital status, and other personal information are correct. You can do this by visiting our e-services or by contacting us.
Early Retirement Bridge Benefit
If you turn 65 in 2025, be aware that your early retirement bridge benefit will stop in the month you turn 65.
Submitting Medical and Dental Receipts
If you have any medical or dental receipts from 2023, you can still send them in for reimbursement until the end of 2024. For more information, check our Insured Benefits page.
Not Signed Up for e-Services Yet?
Signing up for e-services is simple. Just click “Login” at the top of our website and follow the “Member Registration” steps to begin.
Important Information for Other Plans
TVO Plan Members and Survivors
- In 2025, the cost of living adjustment (COLA) will be 1.64%, according to the rules of the TVO Plan.
- Retired members will get their Retirement Monthly Statement (RMS) in December 2024, which will show their monthly pension amount.
- Survivors will receive a letter about their annual COLA in mid-December 2024.
Ontario Northland Plan Members and Survivors
- Members in the Northline Transfer Group will keep getting a fixed annual increase, and their RMS will be sent out in 2025.
- Other Ontario Northland Plan members might receive an extra COLA, which will depend on the plan’s funding and any extra money available. A letter about the 2025 COLA has already been sent out.
If you have questions about your COLA, tax papers, or pension payments, the Client Care Centre is ready to assist you.
Phone:
Local: 416-364-5035
Toll-free (Canada and U.S.): 1-800-668-6203
Email: clientservice@opb.ca