The Old Age Security (OAS) pension provides essential financial support to seniors in Canada, helping them maintain a stable income in retirement. Eligibility and payment amounts depend on:
- Age: Must be 65 or older.
- Residence: Length of time lived in Canada after age 18.
- Income: Benefits may be reduced based on annual net world income.
OAS payments are taxable income and subject to a recovery tax for individuals with net annual incomes above the 2024 threshold of $90,997.
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Enhanced OAS Benefits for Seniors Aged 75+
Starting in July 2022, the OAS pension was permanently increased by 10% for recipients aged 75 and older. This adjustment ensures greater support for Canada’s aging population.
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Additional Benefits Under the OAS Program
In addition to the OAS pension, three supplementary benefits are available:
- Guaranteed Income Supplement (GIS): Provides additional support for low-income seniors.
- Allowance: For individuals aged 60 to 64 with a low-income spouse or common-law partner receiving OAS and GIS.
- Allowance for the Survivor: For low-income surviving spouses or common-law partners aged 60 to 64.
Notably, GIS, Allowance, and Allowance for the Survivor payments are not taxable income.
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Payment Adjustments: October to December 2024
OAS benefit amounts are adjusted quarterly to reflect changes in the Consumer Price Index (CPI). For the October to December 2024 period:
- OAS payments increased by 1.3%.
- Over the past year (October 2023 to October 2024), benefits have increased by 2.8%.
Payment Adjustments: January to March 2025
For the January to March 2025 quarter, OAS benefits will remain unchanged. However, over the past year (January 2024 to January 2025), benefits have increased by 2.0%.
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Maximum Monthly Payment Amounts (October to December 2024)
OAS Pension (65+ years)
| Age Group | Annual Net Income Threshold | Maximum Monthly Payment |
|---|---|---|
| 65 to 74 years | Less than $148,451 | Up to $727.67 |
| 75+ years | Less than $154,196 | Up to $800.44 |
Guaranteed Income Supplement (65+ years)
| Situation | Annual Net Income Threshold | Maximum Monthly Payment |
| Single, widowed, or divorced | Less than $22,056 | Up to $1,086.88 |
| Spouse/common-law partner receives OAS | Combined income < $29,136 | Up to $654.23 |
| Spouse/common-law partner receives Allowance | Combined income < $40,800 | Up to $654.23 |
| Spouse/common-law partner does not receive OAS | Combined income < $52,848 | Up to $1,086.88 |
Allowance (60-64 years)
| Situation | Combined Income Threshold | Maximum Monthly Payment |
| Spouse/common-law partner receives OAS & GIS | Less than $40,800 | Up to $1,381.90 |
Allowance for the Survivor (60-64 years)
| Situation | Annual Net Income Threshold | Maximum Monthly Payment |
| Surviving spouse/common-law partner | Less than $29,712 | Up to $1,647.34 |
How Payments Are Updated
OAS payment amounts are reviewed every January, April, July, and October to reflect CPI changes:
- If the cost of living increases: Monthly payment rates will increase.
- If the cost of living decreases: Monthly payment rates will not decrease.
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Key Notes for Partial Pension Recipients
If you lived in Canada for 10 to 40 years after age 18, you may qualify for a partial OAS pension. Contact Service Canada to determine your specific payment amount.
Next Steps
- Benefit Amounts for January 2025: Updated amounts will be published at the end of December 2024.
- Resources for Calculations: Use the OAS Estimator Tool or consult the Quarterly Report of Canada Pension Plan and Old Age Security for combined payment details.
Stay informed and ensure you receive the benefits you’re entitled to. If you have questions, reach out to Service Canada for personalized assistance.
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