The Use of the Canadian Pension System by Immigrants and Native-Born Canadians

Abstract

This paper examines the participation of immigrants and native-born Canadians in three important pension programs: the Canada/Quebec Pension Plan (CPP/QPP), the Guaranteed Income Supplement (GIS) and the private retirement pension plans. I find that immigrants rely more on GIS but participate less in CPP/QPP and private retirement pension plans than native-born Canadians. Also, women are less likely to receive CPP/QPP benefits than men in the same situation. Moreover, single or divorced people are more likely to receive payments from GIS than those with spouses.