Key takeaways
- —CPP is generally portable — you can receive it outside Canada in most cases
- —OAS abroad requires 20+ years of Canadian residence after age 18
- —Full OAS requires 40 years — fewer years means a proportionally reduced payment
- —Non-resident withholding tax (25% standard) may reduce your usable pension income
- —GIS is generally not available for long-term overseas retirees — do not plan around it
- —CPP + OAS + RRSP/RRIF + savings is the stronger overseas retirement model
Yes, many Canadians can retire abroad and continue receiving CPP and OAS payments. But CPP and OAS do not work exactly the same way. CPP is usually more portable. OAS depends more heavily on how long you lived in Canada after age 18, and whether you qualify to receive it while living outside Canada.
CPP: can you receive it outside Canada?
CPP is a contributory pension. If you qualify for CPP, you can generally receive it while living outside Canada.
Your actual CPP amount depends on:
- —how much you contributed
- —how long you contributed
- —when you start taking CPP
- —whether you qualify for any other CPP benefits
- —tax withholding if you become a non-resident
OAS: can you receive it outside Canada?
Yes, but the rules are stricter than CPP.
Required to receive OAS abroad
- ✓Canadian citizen or legal resident on the day before you left Canada
- ✓Lived in Canada for at least 20 years after age 18
May not qualify
- ✗Fewer than 20 years of Canadian residence after age 18 (unless a social security agreement helps)
- ✗Left Canada before establishing residency entitlement
Full OAS vs partial OAS
Even if you qualify for OAS abroad, you may not receive the full amount.
| Years in Canada after age 18 | OAS entitlement |
|---|---|
| 40+ years | Full OAS pension |
| 30 years | 30/40 = 75% of full OAS |
| 20 years | 20/40 = 50% of full OAS |
| Under 20 years | May not qualify for OAS abroad |
What about GIS?
The Guaranteed Income Supplement is different from CPP and OAS. GIS is designed for low-income OAS recipients living in Canada. If you leave Canada for an extended period, GIS payments can be affected.
Non-resident withholding tax on CPP and OAS
If you live outside Canada, Canada may withhold non-resident tax from CPP, OAS or QPP payments.
| Situation | Withholding rate |
|---|---|
| Standard non-resident rate | 25% |
| With applicable tax treaty | Reduced rate (varies by country — often 15–25%) |
| No tax treaty with Canada | 25% standard rate |
Healthcare: what happens if you leave Canada?
Canadian healthcare is provincial and territorial. If you spend too much time outside your province, you may lose provincial health coverage or need to re-establish eligibility when you return.
You may need:
- —international private health insurance
- —local health insurance in your destination
- —self-funded routine care
- —emergency medical reserve
- —evacuation coverage
- —a plan for returning to Canada if health deteriorates
For Thailand and the Philippines, private healthcare may be more affordable than in North America, but quality depends heavily on city and hospital. For Portugal and Spain, healthcare access depends on residency status, visa route and local rules.
How each destination works for Canadian retirees
Thailand
CPP and OAS may cover a meaningful part of monthly expenses, especially outside major tourist areas. But Thailand is not automatically cheap in Bangkok, Phuket or Hua Hin.
Main considerations: private health insurance · Thai visa requirements · CAD/THB exchange rate · savings buffer
Fits best: CPP/OAS + RRSP/RRIF income · Health insurance budget
Philippines
CPP and OAS may stretch further here than in Canada or Western Europe. English is widely used. Healthcare quality varies significantly by location — city selection is important.
Main considerations: hospital access outside major cities · visa route · CAD/PHP exchange rate
Fits best: Modest pensions · Lower monthly costs · English-speaking environment
Portugal
Portugal has become more expensive. CPP and OAS alone may not leave enough margin in popular areas. Visa income requirements and tax residency add complexity.
Main considerations: visa income expectations · private healthcare · tax residency · EUR/CAD risk
Fits best: CPP/OAS + strong RRSP/RRIF · Meaningful savings · Interest in Europe
Spain
Excellent lifestyle and healthcare access, but more demanding from a visa and tax perspective. Spanish tax residency may treat worldwide income — including Canadian pensions — as taxable.
Main considerations: Non-Lucrative Visa · private healthcare · worldwide income tax · EUR/CAD risk
Fits best: Strong income + savings · Professional tax advice · Clear visa plan
Biggest risks for Canadians retiring abroad
- ✗Assuming OAS is always portable — it depends heavily on Canadian residence history
- ✗Forgetting the 20-year OAS rule — this is critical if you lived outside Canada for significant periods
- ✗Looking at gross pension income — non-resident withholding tax reduces your usable monthly amount
- ✗Ignoring healthcare — provincial health coverage is not a global retirement healthcare plan
- ✗Underestimating currency risk — your income may be in CAD but your costs in THB, PHP or EUR
- ✗Choosing a country based only on rent — visa, healthcare, tax and insurance change the real answer significantly
Check your retirement abroad fit
Before choosing Thailand, the Philippines, Portugal or Spain, check how your Canadian pension income works with each destination — visa eligibility, affordability, healthcare, tax and pension factors compared.
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Start my Canada assessment →Frequently asked questions
Can Canadians receive CPP while living outside Canada?
Yes, in most cases. CPP is a contributory pension and can generally be received while living outside Canada. Your CPP amount depends on how much and how long you contributed, when you start taking it, and whether non-resident withholding tax applies. The standard non-resident withholding rate is 25%, although tax treaties may reduce this.
Can Canadians receive OAS while living outside Canada?
Yes, but the rules are stricter than CPP. To receive OAS abroad, you generally need to have been a Canadian citizen or legal resident on the day before you left Canada, and to have lived in Canada for at least 20 years after age 18. If you lived in Canada for fewer years, you may not qualify for OAS abroad unless a social security agreement helps.
What is the non-resident withholding tax on Canadian pensions?
The standard Canadian non-resident withholding tax rate on CPP and OAS payments is 25%. Tax treaties between Canada and your destination country may reduce this rate. This means your actual usable monthly income may be lower than your gross pension amount.
Is CPP and OAS enough to retire in Thailand or the Philippines?
Sometimes, but often not comfortably. CPP and OAS can go further in lower-cost countries like Thailand and the Philippines, but relying only on government pensions can be risky if you need private healthcare, live in a major city or face currency swings. The stronger model is CPP plus OAS plus RRSP or RRIF income plus savings buffer.
ReloComp is a relocation planning and decision-support tool. This guide is for general educational purposes only. It is not financial, tax, legal, pension or migration advice. CPP, OAS, tax, healthcare and visa rules can change, and your personal circumstances may affect your eligibility. Check Service Canada, CRA and a qualified adviser before making relocation decisions.