Hi Larry. Canadian citizen (worked & paid taxes) living in Florida since 1997 (LPR). Single, no kids, 57 yo. Currently receiving social security disability benefits since 2015 due to diagnosis of incurable blood cancer (multiple myeloma). I can no longer work due to cancer and having difficulty making ends meet as everything is now much more expensive. Can I apply for Canadian disability benefits, even after 7 years of being disabled? And if I do apply, will US disability be decreased because I’m receiving Canadian benefits? I do not file US income tax as my yearly amount is lower ($18,865) than the filing threshold ($25,000). Would I have to file income tax in Canada—and in US—if I’m approved for benefits from Canada? Just trying to see if all the potential “yearly back & forth tax paperwork and the likes” is worth the bottom line dollar amount (would you know how much?). Have no family; it’s only me taking care of me. Thank you so very much.

Hi. I'm sorry, but my expertise is limited to U.S. Social Security benefits. I'm not able to answer questions about the Canadian Pension Plan (CPP) nor income tax regulations. You may want to refer to the following Social Security website, which provides general information about the CPP plan and about applying for CPP benefits: https://www.ssa.gov/international/Agreement_Pamphlets/canada.html.

What I can tell you is that when and if you do start collecting a Canadian pension based on your work and earnings, it will likely cause your monthly Social Security disability (SSDI) or Social Security retirement benefit rate to be reduced. That's because of the Windfall Elimination Provision (WEP). WEP can cause a person's U.S. Social Security disability or retirement benefit rate to be calculated using a less generous benefit calculation formula than the formula that is normally used.

However, there is a WEP guarantee provision that limits the amount of reduction that can be caused by WEP to no more than roughly half of the amount of the person's non-covered pension. So, if you do qualify for a Canadian pension, it shouldn't reduce your U.S. benefit amount by more than roughly half of the CPP amount. And, if you have at least 30 years of 'substantial' earnings on which you paid U.S. Social Security taxes, you would be exempt from any WEP reduction to your benefit amount. The yearly amounts of earnings that are considered substantial under this provision are listed on page 2 of the following Social Security publication: https://www.ssa.gov/pubs/EN-05-10045.pdf.

Best, Jerry