OAS/CPP and SSA benefits...

[CalGreenCard]

I apologize if this has been asked before, but I've never found a clear answer to this question. Under current law, let's say someone worked for a few years in Canada while very young--and spent the rest of their career until retirement age in the USA. Let's say they are now a dual citizen.

As I understand it they would qualify for (a small amount of) CPP based on their short time working in Canada. And they'd qualify for OAS because they lived in Canada for at least 1 year since turning 18, and they've contributed to SSA for more than 20 years.

But having spent most of their career in the US, they would also qualify for SSA in their own right without regard to the small amount of time they spent in Canada.

Now the question is--would the amount they get from either CPP or OAS be deducted from the amount they would otherwise be entitled to from SSA? And would the answer depend partly on whether they retire in Canada, the US, or a third country?

[nelsona]

The OAS will ONLY be based on the years youspent in Canada: so 3 years as an adult, gets you 3/40ths of the monthly amount. The SS contributions only are used to determine if you get this forever while living outside canada, or only for 6 months. it doesn't add any value.

The CPP will ONLY be based on your CPP contributions. SS contributions don't give anything towards CPP.

Btw, your SS will get a small cut by virtue of the CPP that you collect (but not the OAS). THis is by the WEP preocess.

[CalGreenCard]

[quote="nelsona"]THis is by the WEP preocess.[/quote]

From other posts of yours, the WEP reduction would drop to zero if I work more than 30 years in the US contributing to SSA?

It is understood based on the rest of your reply that the OAS amount would be very small in such a case.

[nelsona]

yes, if you have 30 years of "substantial earnings", which is more than the minimum required to get 4 quarters of SS credit, WEP is taken off the table.