I'm feeling a little conflicted on the possibility of pushing back the OAS age. It actually used to be older than what it is now. If you don't save enough, you have to work a little longer. I think it's good for those in good health, not so much if they have issues working at 66.
In general, I'm not sure if people are being encouraged to save enough. If you don't save any money before starting post secondary, you get an interest free loan. That loan is probably bigger than if you saved any money, but it's ok, some of it will be forgiven afterward.
Sure, you can save money for retirement, but you're taxed on interest. RRSPs you get a tax deferral, but then you are taxed on all of it when you withdraw in the future. If you save too much, you won't get OAS or GIS. TFSAs are probably the biggest incentive to save as you're never taxed on them.
I'm all for helping people who need the help. If there are 2 people in 2 similar situations is it wrong that one may scrimp and save, put money into an RRSP and get less money from the government when they retire. The other lives it up, then gets more from the goverment later on.
Is there more the goverment could be doing to encourage people to save? Maybe only tax people on the principal of RRSPs (when withdrawn from an RRIF) and not the compounded interest?