Canadian seniors play a vital role in shaping the country, and their financial stability is more important than ever. Rising living costs have made it harder for many retirees to keep up with everyday expenses. That’s why the news of a proposed one-time $2,650 payment through Old Age Security (OAS) and the Canada Pension Plan (CPP) has caught the attention of many across the country. While this payment is still unconfirmed, it could be a much-needed boost for those living on a fixed income.
Here’s a breakdown of what this proposed payment could mean, who may be eligible, and how to maximize your benefits.
Overview
This proposed one-time payment aims to help seniors manage essential costs like housing, groceries, and healthcare. Although it has not been officially confirmed by the Government of Canada, if implemented, the payment would be distributed alongside the regular OAS payment in June.
| Topic | Details |
|---|---|
| Proposed Payment | $2,650 one-time OAS/CPP payment |
| Eligibility | Seniors aged 65+ receiving OAS/CPP |
| Payment Date | June 29, 2025 |
| Income Threshold | $148,451 (ages 65-74), $154,196 (75+) |
| Official Info | Available at Canada.ca |
This extra support could make a real difference for many seniors, especially those already receiving OAS or CPP.
OAS and CPP
Old Age Security (OAS) is a monthly payment made to eligible seniors aged 65 and older. It’s designed to provide a basic income in retirement.
The Canada Pension Plan (CPP) is a benefit based on your work history and the amount you’ve contributed during your career. Together, OAS and CPP form the foundation of most Canadian retirement income plans.
Who May Be Eligible
To qualify for the potential $2,650 payment, you must already be receiving OAS or CPP, and meet a few key criteria.
Age
You must be at least 65 years old.
Residency
You must be a Canadian citizen or permanent resident and have lived in Canada for at least 10 years after turning 18. More years of residency may increase your benefit amount.
Income Limits
To receive the full benefit without a reduction:
- Ages 65-74: Annual income must be below $148,451
- Ages 75 and older: Annual income must be below $154,196
If you earn more than these amounts, your OAS payment may be reduced due to the Old Age Security Recovery Tax.
When Payments May Arrive
If the $2,650 payment is approved, it would likely follow the same schedule as your regular OAS payment. For June 2025, the payment date is June 29.
How You’ll Get Paid
Most seniors receive their payments through direct deposit. If you’ve already set up direct deposit with Service Canada, there’s nothing else you need to do. If you prefer mailed cheques, remember they take longer to arrive.
Make sure your personal information, including banking details, is current to avoid delays.
Didn’t Get Your Payment?
If your payment doesn’t arrive when expected, contact Service Canada. Have your Social Insurance Number and other personal info ready. Updating your address or bank details through your My Service Canada Account is often the quickest way to resolve issues.
How to Apply for OAS and CPP
If you’re not yet receiving OAS or CPP, here’s how to apply:
Step 1
Visit the official Government of Canada website to confirm your eligibility based on age, residency, and income.
Step 2
- Proof of age (birth certificate)
- Residency documents (utility bills, tax records)
- Bank account info for direct deposit
Step 3
You can apply online through your My Service Canada Account (MSCA) or by mailing a completed paper form. The online method is usually faster.
Step 4
Once submitted, monitor your application through your MSCA. If anything is missing, Service Canada will contact you.
Tips to Boost Your Retirement Income
Delaying the start of OAS or CPP beyond age 65 can increase your monthly payments.
- OAS grows by 0.6% each month you delay, up to 36% by age 70
- CPP grows by 0.7% per month, up to 42% by age 70
Apply for Supplementary Benefits
If you have limited income, you might also qualify for:
- Guaranteed Income Supplement (GIS)
- Allowance for low-income individuals aged 60-64 with a spouse receiving GIS
- Allowance for the Survivor if your spouse has passed away
Each program has specific eligibility criteria. You can find more information on Canada.ca.
Reduce Taxes on Your Benefits
To lower your tax burden:
- Consider income-splitting with your spouse
- Max out contributions to your TFSA
- Speak with a financial advisor to create a personalized retirement plan
Taking advantage of all available programs and making smart financial choices can stretch your retirement income further.
FAQs
When is the $2,650 payment expected?
It may arrive on June 29, 2025, with regular OAS.
Is the $2,650 payment confirmed?
No, it is proposed and not officially confirmed.
Who qualifies for OAS?
Seniors 65+ with at least 10 years of Canadian residency.
Can I get CPP and OAS together?
Yes, many seniors receive both programs at once.
What is the OAS income limit?
$148,451 (ages 65–74) and $154,196 (75+).
