The Old Age Security (OAS) program is one of Canada’s most important financial supports for seniors. In 2025, Canadian seniors will see a significant boost in their OAS payments, with increases of up to $2,350 annually.
This article will cover the details of the upcoming OAS payment increases, who is eligible, and how you can make sure you’re receiving the full amount.
OAS Payment Increases in 2025
The OAS payments for 2025 will see an increase to help seniors cope with the rising cost of living. For those aged 65 to 74, the OAS payment will be raised to $727.67 per month, while those aged 75 and older will receive $800.44 per month.
This increase is a response to inflation and is designed to provide more financial relief to seniors. It is also important to note that these figures are adjusted quarterly to reflect changes in the Consumer Price Index (CPI), ensuring that the payments align with the rising cost of goods and services.
OAS Payment Breakdown
Here’s a breakdown of the OAS increases for 2025:
| Age Group | New Monthly Payment | Annual Increase |
|---|---|---|
| 65 to 74 | $727.67 | $2,350 |
| 75 and over | $800.44 | $2,350 |
These amounts reflect the OAS payment for residents who meet the eligibility criteria for the program.
One-Time OAS Top-Up in 2025
In addition to the regular increases, seniors aged 65 and older will receive a one-time OAS top-up payment of $650 in March 2025. This additional payment is designed to offer immediate financial relief to seniors who may be struggling with the rising costs of living.
- Top-Up Amount: $650
- Payment Date: March 27, 2025
This top-up is a one-off payment and will be automatically deposited into recipients’ accounts, so there’s no need to apply separately.
Eligibility for OAS in 2025
To qualify for OAS, individuals must meet the following criteria:
- Age Requirement: You must be 65 years old or older.
- Residency: You must have lived in Canada for at least 10 years after the age of 18. To receive the full OAS amount, you must have lived in Canada for 40 years or more after turning 18.
- Income Threshold: The OAS program is income-tested for higher earners. If your annual income exceeds $86,912, you may be subject to a clawback. The clawback reduces the amount you receive based on your income over this threshold.
How to Apply for OAS
If you are approaching the age of 65 and have not yet applied for OAS, here’s what you need to do:
- Online Application: You can apply online through your My Service Canada Account.
- Paper Application: If you prefer, you can submit a paper application by completing the required forms and mailing them to your nearest Service Canada office.
- Automatic Enrollment: In most cases, if you have already filed taxes and are eligible for OAS, you will be automatically enrolled in the program. However, it’s always good to double-check your enrollment status.
Make sure to apply at least six months before turning 65 to avoid any delays in receiving your benefits.
Payment Schedule for 2025
The OAS payments are distributed monthly. Here is the schedule for the first few payments in 2025:
- January 29, 2025
- February 26, 2025
- March 27, 2025 (including the one-time top-up)
- April 28, 2025
- May 28, 2025
The payments are typically direct-deposited into your bank account or sent by cheque if you do not have direct deposit set up.
The 2025 OAS payment increases represent a significant financial boost for seniors in Canada. With a $2,350 increase annually and a $650 one-time top-up, these changes will provide much-needed financial relief to those aged 65 and older.
By understanding the eligibility requirements, the application process, and the payment schedule, seniors can ensure they are receiving the maximum benefits available to them.
Be sure to file your taxes on time and keep your Service Canada account up to date to make the most of your OAS benefits.
FAQs
How do I apply for the OAS pension?
To apply for OAS, you can complete your application online through your My Service Canada Account or submit the necessary forms through the mail. Make sure to apply at least six months before you turn 65 to ensure there are no delays.
Will my OAS payments change if I continue to work after 65?
If you continue working after 65, your OAS payments may be subject to a clawback if your income exceeds $86,912 annually. However, if your income is below this threshold, your OAS payments will not be affected.
Can I receive the OAS payment if I moved to Canada after turning 65?
If you moved to Canada after the age of 65, you may still be eligible for OAS, but the amount will be pro-rated based on how many years you lived in Canada after the age of 18. To receive the full amount, you must have lived in Canada for at least 40 years after turning 18.