Canadian seniors can anticipate a boost in their Old Age Security (OAS) payments in 2025, thanks to adjustments aligned with inflation and cost-of-living increases. These changes aim to provide enhanced financial support to retirees across the country.
Understanding the OAS Program
The Old Age Security (OAS) program is a monthly pension provided by the Canadian government to individuals aged 65 and older. Eligibility is based on age, residency, and income criteria. The program is designed to offer financial assistance to seniors, ensuring a basic level of income during retirement.
2025 OAS Payment Increases
In 2025, OAS payments have been adjusted to reflect changes in the Consumer Price Index (CPI), ensuring that benefits keep pace with inflation. The adjustments are as follows:
| Age Group | Maximum Monthly OAS Payment (2025) | Annual Income Threshold for Full OAS (2023) |
|---|---|---|
| 65 to 74 years | $727.67 | Less than $142,609 |
| 75 years and over | $800.44 | Less than $148,179 |
Note: The 10% increase for individuals aged 75 and over, introduced in July 2022, remains in effect.
OAS Payment Schedule for 2025
OAS payments are typically issued during the last week of each month. The scheduled payment dates for 2025 are:
- January 29
- February 26
- March 27
- April 28
- May 28
- June 26
- July 29
- August 27
- September 25
- October 29
- November 26
- December 22
It’s advisable to set up direct deposit through your My Service Canada Account to ensure timely receipt of payments.
Eligibility Criteria for OAS
To qualify for OAS benefits:
- Age: Must be 65 years or older.
- Residency: Must have resided in Canada for at least 10 years after turning 18.
- Income: Annual net world income must be below the specified thresholds for full OAS payments.
Individuals who have lived in Canada for less than 40 years after age 18 may receive a partial pension.
Additional Benefits: Guaranteed Income Supplement (GIS)
Low-income seniors receiving OAS may also be eligible for the Guaranteed Income Supplement (GIS), a non-taxable benefit. GIS amounts are adjusted quarterly based on CPI changes. As of April to June 2025, the maximum monthly GIS payments are:
| Marital Status | Maximum Monthly GIS Payment |
|---|---|
| Single, widowed, or divorced | $1,086.88 |
| Married/common-law partner receives OAS | $654.23 |
| Married/common-law partner does not receive OAS | $1,086.88 |
Eligibility for GIS depends on income levels and other criteria.
The 2025 adjustments to OAS payments reflect the Canadian government’s commitment to supporting seniors amid rising living costs. By understanding these changes and ensuring eligibility, retirees can better plan for financial stability during their golden years.
FAQs
How often are OAS payments adjusted?
OAS payments are reviewed and potentially adjusted quarterly—in January, April, July, and October—based on changes in the Consumer Price Index (CPI).
Can I receive OAS if I live outside Canada?
Yes, if you’ve lived in Canada for at least 20 years after turning 18, you may continue to receive OAS payments even if residing abroad.
Is OAS income taxable?
Yes, OAS payments are considered taxable income. You can choose to have taxes deducted at the source or pay when filing your annual tax return.