CPP & OAS Payments Changing in June 2025 – Check Eligibility and Payment Date

As June 2025 nears, Canadians receiving Canada Pension Plan (CPP) and Old Age Security (OAS) payments can expect a few important changes. These updates affect when you’ll get paid, how much you’ll receive, and what you need to qualify. Whether you’re already retired or preparing to apply soon, understanding the updates will help you stay ahead.

In this guide, we’ll cover everything from payment dates and eligibility rules to how CPP and OAS work together. Let’s walk through what’s changing and how to make sure you’re ready.

Programs

CPP is a contributory pension plan for workers in Canada. You pay into it during your working years, and the government pays you back when you retire or if you become disabled. Your benefit amount depends entirely on how much and how long you’ve contributed.

Old Age Security (OAS)

OAS is a monthly payment for Canadians aged 65 and older. It doesn’t depend on your work history or income from employment, but rather on your age and how long you’ve lived in Canada after age 18.

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Together, these two programs are essential for most retirees in Canada.

Changes

There are a few notable changes coming in June 2025:

Payment Date

Both CPP and OAS payments for June will be issued on June 26, 2025. While most payments follow a monthly schedule, this specific date is confirmed for June, so be sure to mark your calendar.

Payment Increase

As part of an annual cost-of-living adjustment, payments are expected to rise slightly. These increases generally range from 1% to 3%, depending on inflation. You might notice a small bump in your monthly deposit starting in June.

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OAS Eligibility Updates

If you turn 65 in 2025, be aware that the eligibility process for OAS may change. This could include added paperwork or new documentation requirements. Keep an eye on updates from Service Canada to avoid delays in your application.

Inflation Adjustments

Both CPP and OAS are indexed to inflation. This means your benefits are adjusted to keep up with the cost of living. These changes ensure your buying power doesn’t drop even if prices go up.

How it Works

Here’s a quick overview of how these programs function:

CPP

You and your employer contribute to CPP through your paycheque. The more you contribute over time, the more you’ll receive. You can start as early as age 60, but your payment will be reduced. Waiting until age 70 increases your monthly amount.

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OAS

To receive full OAS payments, you must have lived in Canada for at least 40 years after age 18. If you’ve only lived in Canada for 10 to 39 years, you’ll receive a partial benefit based on your residency length.

Eligibility

• Must be at least 60 years old
• Must have contributed to CPP at least once
• Payments depend on how much and how long you contributed

OAS Eligibility

• Must be 65 or older
• Must have lived in Canada for at least 10 years after age 18
• For full benefits, 40 years of Canadian residency is required

How to Apply

If you haven’t started receiving CPP or OAS yet, here’s how to check your eligibility and apply:

For CPP

1. Visit the Canada Pension Plan website
2. Log in to your My Service Canada Account (MSCA)
3. Check your contribution history
4. Use the online CPP calculator to estimate your benefits

For OAS

1. Confirm your Canadian residency history
2. Log in to My Service Canada Account
3. Apply up to 6 months before turning 65
4. Use the OAS calculator to see your estimated amount

Considerations

Here are a few extra things to keep in mind when planning your retirement income:

Early or Late CPP

• Starting at 60 reduces your monthly amount by 0.6% for each month before 65
• Waiting until 70 increases your amount by 0.7% for each month after 65

OAS Clawback

If your annual income is over $79,845 in 2025, you may be subject to the OAS recovery tax, often called the clawback. The more your income exceeds this amount, the more of your OAS benefit is clawed back.

Tax Implications

Both CPP and OAS are taxable income, which means they could increase your tax bill. Keep track of your total income to avoid surprises at tax time.

With these changes approaching in June 2025, now’s the time to review your retirement plan. Make sure your Service Canada account is up-to-date, review your income levels, and stay informed about any updates from the federal government. Planning ahead is key to getting the most out of your CPP and OAS benefits.

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