The Old Age Security (OAS) pension is one of the three main pillars of Canada’s retirement income system. The two other pillars are the Canada Pension Plan (CPP) and Employment Pension Plans/Individual Retirement Savings.
The universal OAS pension is a taxable monthly payment available to seniors who are aged 65 and older and who meet the eligibility requirements.
Unlike the CPP, Old Age Security benefits are not tied to your employment history. You may be eligible to receive the OAS pension even if you have never worked or are still employed.
In addition to the universal OAS pension, there are three other benefits that low-income seniors may also qualify for: The Guaranteed Income Supplement, Allowance, and Allowance for the Survivor. I discuss them in a separate article.
Read on to learn about OAS payment dates in 2025, eligibility, amounts, how to apply, and how to minimize OAS clawback.
Related: How Much Income Will You Need in Retirement
OAS Payment Dates for 2025
- January 29, 2025
- February 26, 2025
- March 27, 2025
- April 28, 2025
- May 28, 2025
- June 26, 2025
- July 29, 2025
- August 27, 2025
- September 25, 2025
- October 29, 2025
- November 26, 2025
- December 22, 2025
Learn more about OAS payment dates.
Who is Eligible for the Old Age Security Pension?
- You must be at least 65 years of age.
- If living in Canada: You must be a Canadian citizen or legal resident and must have lived in Canada for at least 10 years since you turned 18.
- If living outside Canada: You must have been a Canadian citizen or legal resident before you left Canada and must have resided in Canada for at least 20 years since you turned 18.
- There are a few other scenarios where you may be eligible for the OAS; for example, if you have lived in a country with which Canada has established a social security agreement.
How to Apply for the OAS Pension
If you wish to start receiving your OAS pension at 65 years of age, you can send in your application the month after you turn 64.
Service Canada will sometimes enroll seniors automatically and send them a notification letter. If you are not automatically enrolled, complete and mail the Application for the Old Age Security Pension Form.
How Much OAS Benefit Can You Expect in 2025?
The amount you will receive every month depends on how long you have lived in Canada after turning 18.
To qualify for a full OAS pension, you must have lived in Canada for at least 40 years after age 18. You will receive a partial pension benefit if you haven’t resided in Canada for the full 40 years. The partial pension benefit is 1/40th of the full pension amount for each complete year you lived in Canada after age 18.
For example, if you have lived in Canada for 20 years as an adult, you may qualify to receive 20/40th or one-half of the full benefit.
OAS benefits are adjusted quarterly in January, April, July, and October based on the prevailing Consumer Price Index. For the second quarter of 2025 (i.e. April to June), the maximum monthly OAS benefit is unchanged at $727.67 (for ages 65 to 74) and $800.44 (for ages 75 and over).
Related: CPP and OAS Survivor Benefits for Spouses and Children
OAS Deferral Option
Since July 1, 2013, individuals can voluntarily defer their OAS pension for up to 5 years after the date they become eligible. This deferral will make them eligible for a higher monthly pension later.
For every month the OAS is deferred, the monthly pension amount increases by 0.6% up to a maximum of 36% at age 70.
OAS Clawback
Officially known as the OAS recovery tax.
Your OAS benefit may be reduced by a clawback if your net income for the previous calendar year exceeds $90,997 (2024).
If your net income exceeds this amount, you must pay back 15% on the excess income up to a maximum of the total OAS benefit received. This deduction is like an additional 15% tax on top of your current tax rate.
OAS clawback example: For example, for the 2022 income year, the income threshold was $81,761. If your net income was $85,000, the excess of $3,239 would trigger a clawback of $485.85 (i.e. 15% x $3,239). This would result in a monthly reduction in OAS benefits of $40.48 for the July 2023 to June 2024 period.
For the January to March 2025 quarter, if your net income exceeds $148,451, your OAS benefit will be reduced to zero.
Related: Guaranteed Income Supplement, Allowance and Allowance for the Survivor
How To Minimize OAS Clawbacks
A few strategies that may be deployed to limit OAS clawback, if applicable, include:
Income Splitting: Splitting eligible pension income, including workplace pensions, RRIF, and utilizing spousal RRSPs. This can lower individual spouses’ overall income and limit or eliminate OAS clawback.
Defer OAS/CPP: Seniors can defer OAS pensions for up to 5 years from when they are eligible. CPP can be deferred as well. However, note that deferring OAS or CPP will increase your benefits later down the road and could then trigger OAS clawbacks at that time. In some cases, taking CPP much earlier may be a better option.
Prioritize TFSA Contribution: Income generated from investments in a TFSA is not taxable and does not count towards your net income.
Utilize RRSP Contribution Room: You can contribute to an RRSP until the end of the year in which you turn 71. If you have unused RRSP contribution room from previous years or still have employment income, contributing to an RRSP will lower your net income for OAS calculations. Making spousal RRSP contributions will achieve the same result.
Optimize other Investments: Interest income from Guaranteed Income Certificates, savings, etc., are taxed fully. Dividends are grossed up (138%) and may push your income over the maximum threshold. Only 50% of capital gains are included in taxable income.
If you have questions about your Old Age Security pension, you can contact Service Canada as follows:
- If you reside in Canada or the United States, the toll-free number is 1-800-277-9914.
- If you reside outside Canada and the United States, the number to call is 1-613-957-1954.
Service Canada is open between 8:30 a.m. to 4:30 p.m. EST from Monday to Friday. Be sure to have your Social Insurance Number handy before calling.
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Related Reading
- Complete Guide To Retirement Income In Canada
- How To Generate Regular Income From Your RRSP in Retirement
- How To Generate Retirement Income From a LIRA
- The Complete Pre-Retirement Financial Checklist
- Is GIS Taxable?
I had collected OAS for years.Because of capital gains my income was over the allotted amount.Do they automatically place you back into OAS after your income becomes less in order to be eligible.When would i get my first amount …the end of June or the end of July.
I have not heard from them.
Thanks
May 5th,2021
Hello, my husband and I have been living in Canada for 7yeas he is 82 ,and I am 71 years old. Before pandemic Covid-19, our daughter used to pay for us, but she missed her job last year and could no longer pay us for our life. Is Canadian Government paying for us to live on? And does OAS include us and help us ? We are very desperate and helpless, please help us.
With respect and thanks. Julie
@Julie: Sorry to hear. You could qualify for partial OAS benefits depending on how long you have lived in Canada as an adult.
Eligible seniors can expect a $500 one-time OAS payment during the week of August 16, 2021.
If someone turns 65 years of age after being in Canada for 35 years he/she receives 35/40 of the OAS amount. Is the ratio going to change the next year when he is 66 and his residence in Canada has increased by one more year to 36? I mean the payment ratio changes to 36/40 and continues until it reaches 40/40?
@Saeed: No, the ratio when you start collecting is what is used going forward in calculating your benefit.
Thank you
Hi Enoch, Is it necessary to have continuous residence in Canada to be eligible for OAS ? E.g. – If I resided in Canada for 5 years straight and then was away for 2 years and came back to reside in Canada for 5 years. Would that count as 10 years to make me eligible for OAS ? Thank you.
@LASB: I believe so…you don’t need to have lived here full-time. That said, you should inquire further from Service Canada how they count each full year.
On January 27, 2021I didn’t receive my full pension, I got only$359 OAS and the rest part didn’t. I don’t know what is going on? And how I could live on $359 ?
I understand that the liberal government have approved a 10% increase in old age pension benefits when a person has turned 75. I turned 75 this month but my pension only increased by the cost of living increase. Can I assume that the increase is only payable starting the month after one turns 75. Thanks
This is an explanation to those who are delaying their OAS based upon the following specific circumstances.
If a person decided to continue working after the age of 65 and their income was at the top end of the chart, then you decide to retire at the age of 66. You will not receive OAS in that year. The government will look at your prior years income and if it was over the limit, it means everything would’ve been clawed back anyhow, so the government will issue you a slip in the amount that you would have received that you can use as a tax deduction for that year. In the following year after you’ve done your new taxes, the government will look at what your income was and based upon that, will issue you the appropriate amount of monies. If for example you are under the limit, you would get the maximum OAS coming to you. My understanding is this would be done around midway through the year and the government would issue the monies for that 1st half of year owed to you and then continue monthly payments.
It took several calls to the Canadian revenue agency before I spoke to someone who could explain it to me properly.