Good afternoon! Government retirement benefits come with more fine print than most people realize — an early exit forced by AI, a clawback that quietly shrinks your OAS cheque, and a credit thousands of Canadians never claim. Today's issue walks through all three.
On The Money Today:
Why retiring earlier than planned could shrink your CPP and OAS
The income threshold that triggers Canada's OAS clawback
The $2,813 credit CRA data shows many Canadians never claim
Let's dive in.
RETIREMENT
AI is already reshaping who gets to choose when they retire, and the shift is catching planners off guard. If it happens to you even a few years early, you could lose OAS eligibility altogether and permanently shrink your CPP, a gap that adds up to thousands less every year in retirement. See what's at risk before that decision gets made for you.
IN PARTNERSHIP WITH Homewise
One habit that separates wealthy Canadians from everyone else is how they use debt. Rather than avoiding it, they put it to work on assets that grow in value, and a mortgage is the clearest example of that: it builds equity over time instead of losing value like a car or a gadget. But that payoff depends heavily on the terms you lock in from day one.
Homewise's free 5-minute application compares offers from over 30 lenders, so you can find a competitive rate whether you're a first-time buyer or renewing an existing mortgage. Locking in the right rate now could save you hundreds of dollars every month down the line.
RETIREMENT
Once your retirement income crosses a set threshold, Ottawa automatically claws back part of your OAS, often with little warning. For 2026 that threshold sits at $95,323, and income you might not expect, like RRIF withdrawals or grossed-up dividends, can push you over it without you realizing. Find out where you stand against that number, and the moves that can lower what you pay back.
MUST READ
The Canada Workers Benefit is designed to top up the income of lower and modest wage workers, and CRA figures show a large share of eligible Canadians never claim it simply because they skip filing a return. If your income was on the lower side this past year, or you know someone who didn't file, this credit could be sitting unclaimed right now. Learn if you qualify, and what you could be missing.
MONEY IQ
What's the nickname commonly used for the OAS clawback?
ALSO MAKING THE ROUNDS TODAY
TAXES: Canadians with ADHD, diabetes or a mental health condition may qualify for a $10,138 tax credit
MORTGAGES: RECO is disciplining Ontario agents for faking buyer contracts. Here's what to check before you sign
INVESTING: Toronto firm loses $140 million of customer cash to scammers, and they're not getting it back
BUDGETING: Kevin O'Leary says people should have $100,000 saved by 33. Most Canadians aren't even close
MONEY IQ: HOW'D YOU DO?
Answer: A) The recovery tax — officially it's the OAS Recovery Tax, though most Canadians just call it "the clawback."
That's a wrap for today! Before you go, we'd love to know what you thought of today's newsletter. Hit REPLY if you have more to share — we read every reply.
