Canadian seniors could be in for some welcome financial relief in 2025. With rising costs affecting essentials like food, rent, and medication, the proposed $2,350 Old Age Security (OAS) increase is making headlines. While not officially confirmed yet, this one-time boost would help retirees facing growing financial pressures. Let’s look into what this means for you.
Overview
Here’s a quick summary of the OAS proposal for 2025:
| Details | Information |
|---|---|
| Program Name | Old Age Security (OAS) |
| Proposed Increase | One-time payment of up to $2,350 |
| Monthly OAS (2025) | $727.67 (65–74), $800.44 (75+) |
| Eligibility Age | 65 and older |
| Residency | Must meet minimum residency requirements |
| Income Limits | $148,451 (65–74), $154,196 (75+) |
| Official Site | Canada.ca |
What Is the OAS Program?
The Old Age Security program is a government-run pension plan funded through general tax revenue. It provides monthly payments to seniors aged 65 or older, regardless of their employment history. Unlike the Canada Pension Plan (CPP), OAS doesn’t require work contributions. Instead, it’s based on how long you’ve lived in Canada after turning 18.
Seniors who have lived in Canada for at least 40 years after age 18 get full OAS. If you’ve lived here for 10 to 39 years, you may receive a partial amount.
$2,350 OAS Increase
In response to rising living costs, there’s talk of a one-time $2,350 OAS boost for qualifying seniors in 2025. While it hasn’t been officially approved, it follows a trend of the government providing extra support during times of economic strain.
This payment would likely help cover food, medical costs, utilities, and housing expenses—especially helpful for seniors on a fixed income.
Regular OAS Amounts in 2025
These are the standard OAS payments before any one-time increases:
- Ages 65–74: $727.67 per month
- Ages 75+: $800.44 per month
These figures already include a 10% bump added in 2022 for seniors 75 and older. Payments adjust quarterly to reflect inflation.
Who Qualifies?
You may be eligible if:
- You’re 65 or older in 2025
- You’re a Canadian citizen or legal resident
- Your net income is under:
- $148,451 (for ages 65–74)
- $154,196 (for 75+)
Seniors with income above those thresholds may have some or all of their benefits clawed back through the OAS Recovery Tax.
How to Apply for OAS
Applying is straightforward, but it’s important to plan ahead:
- Check Eligibility: Confirm age, residency, and income details.
- Gather Documents: Have your SIN, bank info, and proof of residency ready.
- Apply Online or by Mail:
- Use your My Service Canada Account
- Or mail in a paper application
- Monitor Application Status: Track it through your online account.
Already receiving OAS? If the $2,350 increase is approved, it may be deposited automatically into your account.
When Will the Payment Be Issued?
Regular OAS payments are made monthly—usually on the third-last banking day of the month. If the one-time $2,350 payment is approved, it’s expected mid-year in 2025.
Upcoming 2025 OAS payment dates:
- June 29, 2025
- July 27, 2025
- August 28, 2025
To receive your funds on time, make sure your direct deposit info with the CRA is current.
Tips to Maximize Your OAS Benefits
Delaying your OAS past age 65 increases your monthly payments. For every month you wait, the amount goes up by 0.6%. That’s 7.2% more per year, or a total of 36% more if you wait until age 70.
Avoid the Clawback
The OAS Recovery Tax reduces your payments if your income crosses the $86,912 threshold (as of 2025). Ways to reduce your taxable income include:
- Using a TFSA instead of RRSP for savings
- Pension income splitting
- Spacing out RRSP withdrawals over time
Apply for Additional Support
If you have a low income, you might also qualify for:
- Guaranteed Income Supplement (GIS)
- Provincial housing or utility benefits
- Seniors’ tax credits or transit passes
These programs can add hundreds—or even thousands—of extra dollars to your yearly support.
FAQs
Is the $2,350 OAS payment confirmed?
Not yet. It’s a proposed one-time increase for 2025.
Do I have to apply for the $2,350 payment?
If approved, most seniors will receive it automatically.
What’s the OAS income limit in 2025?
$148,451 for 65–74, and $154,196 for 75+ seniors.
Can I get OAS if I live outside Canada?
Yes, if you meet residency rules or international agreements.
When are OAS payments made?
Usually on the third-last business day of each month.
