Oas

The new Liberal government is on track to seriously address the growing problem of poverty in old age. But their election promises need some critical reconsideration. 

For the first time ever, the percentage of Canadian seniors aged 65 to 69 who are still working rose to more than one in four in the autumn of 2013.

As shown by Statistics Canada, while the life expectancy of Canadians has been steadily rising, the average number of years spent not working has actually been stable since the mid-1990s – due to the fact that more and more seniors continue to work past the traditional age of retirement.

Not content with the recent Harper government decision to trim program costs by raising the age of eligibility for Old Age Security and the Guaranteed Income Supplement (OAS/GIS) from 65 to 67, the Fraser Institute wants to withdraw OAS benefits from more seniors.

They propose to claw back OAS benefits from seniors with individual incomes of more than $51,000, instead of the current clawback level of $71,000. Under their proposal, benefits would be entirely lost at an income of $95,000, instead of the current $115,000.