Episode 56: What Will Your Paycheque Be in Retirement in 2026?

Published February 23, 2026

One of the biggest questions people ask before retiring is simple — “How much will I have coming in each month?”

In this Money Monday episode, Darren Devine walks through how retirement income often comes together by combining sources such as:

→Government benefits

→Pensions

→RRIF withdrawals

→Personal savings

Rather than focusing on accounts, this episode reframes retirement income as a monthly paycheque, helping Canadians understand how predictable income can be created — and adjusted — over time.

Clarity around income is one of the biggest confidence-builders in retirement, and it starts with understanding how the pieces fit together.

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Recommended Related Episodes

If you’re thinking about what your retirement paycheque might look like, these Money Monday episodes may also be helpful.

Episode 26: RRIF Rules You Should Know -Understanding RRIF withdrawal rules is essential when building a predictable retirement “paycheque.”

Episode 29: Keys to a Successful and Secure Retirement - Provides broader context on the foundational pillars that support sustainable retirement income.

Episode 27: Does Your Investment Strategy Match Your Life Stage? - Helps ensure your income strategy aligns with where you are today — not where you were five or ten years ago.

Episode 50: Do You Have a Written Plan — or Just Good Intentions? - Reinforces that creating a retirement paycheque requires coordination, not guesswork.

Episode 53: 3 Tax Moves Retirees Should Consider Before Filing - Connects retirement income planning with tax efficiency — since what you keep matters just as much as what you withdraw.

Darren Devine, CFP®, CLU®

Financial Planner, Sun Life
President of Devine and Associates Financial Services Inc.

You won’t stop needing a paycheque in retirement—you’ll just need it to come from different places.

Hello, and welcome to Money Monday, where we help simplify your financial journey.
I'm Darren Devine, Financial Planner with Sun Life and President of  Devine & Associates. I’ve been helping families across Ontario plan, protect, and enjoy their retirement income for over 20 years.

When you retire, your paycheque doesn’t disappear—it just changes shape.

Instead of coming from an employer, it usually comes from 3 or 4 main “buckets”:

  • Government benefits:
    CPP (Canada Pension Plan) and OAS (Old Age Security) are both indexed to inflation, which means payments are reviewed and adjusted regularly so your income can better keep pace with rising prices.
    For 2026, CPP benefits paid in 2025 are getting about a 2% increase, and the maximum earnings CPP is based on is rising again, thanks to the ongoing CPP enhancement. (Government of Canada)
  • Pensions – from an employer, if you have one.
    Many defined benefit pensions also include annual inflation protection, giving you a bit of a “raise” each January. (OMERS)
  • Personal savings – RRSP/RRIF, TFSA, non-registered: 
    This is the flexible piece. You and your planner decide how much to draw, from which account, and when—balancing tax efficiency with keeping your investments sustainable over time. (Wealthsimple)

Let’s use a simple example for 2026.

Imagine a couple, Anne and Mark:

  • Each receives CPP and OAS every month.
  • Together, that might add up to, say, around $3,000 a month from government benefits, depending on their contribution history and ages.
  • On top of that, they draw $1,500 a month from a RRIF they’ve built over the years.

Suddenly, they’ve created something that feels very familiar: a monthly “paycheque” of $4,500—even though they’re no longer working.

That’s the goal of a written retirement income plan for 2026 and beyond:

  • Decide how much you need each month
  • Line up CPP, OAS, any pensions, and RRIF/TFSA withdrawals
  • And test “what if” scenarios—like market downturns or higher inflation—on paper instead of in real life.

When you can see your paycheque in retirement mapped out, year by year, it usually reduces a lot of anxiety around markets and headlines—because you understand where your income is coming from and why.

If you’re retiring in 2026, or already retired and want to know what your retirement paycheque really looks like, that’s exactly the kind of planning conversation we have every day.

Thanks for tuning into Money Monday. Don’t forget to like and comment for more episodes filled with tips to help make your financial journey a breeze. Until next time, I'm Darren Devine, and you can always talk to us today at DevineAndAssociates.ca!

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