The Old Age Security (OAS) program is one of Canada’s largest pension initiatives, providing monthly taxable benefits to eligible senior citizens. As living costs rise, the Government of Canada has implemented an OAS payment increase to reduce financial stress for seniors. This article covers everything from the new payment amount to eligibility and payment dates for 2025.
Next OAS Payment Increase 2025
With inflation rates soaring, the Canada Revenue Agency (CRA) has announced adjustments to OAS benefits. Starting from July 2025, beneficiaries will receive an increased payment amount to help manage the growing cost of living. The new payment amount is designed to offset inflation and provide seniors with greater financial security.
OAS Payment Increase New Amount
As per the Consumer Price Index (CPI) changes, OAS benefits have increased by 0.7% for the July–September 2025 quarter, marking a 2.8% total increase since July 2023. Eligible seniors can now expect an additional $2,250 in their OAS payments for 2025.
| Quarter | CPI Adjustment (%) | Total Increase (%) | New OAS Amount (CAD) |
|---|---|---|---|
| July – September 2025 | 0.7% | 2.8% | $2,250 |
| Previous (2024) | – | – | $2,188 |
OAS Payment Dates 2025
The OAS payments are disbursed monthly. Below are the anticipated dates for the July–September 2025 quarter:
| OAS Payment Month | Day of Payment | Payment Date (2025) |
|---|---|---|
| July | Monday | 29th July |
| August | Wednesday | 28th August |
| September | Wednesday | 25th September |
Seniors should regularly check the CRA’s official website for any changes to the payment schedule.
OAS Payment Eligibility Criteria
Eligibility for the OAS pension is determined by the Canadian government’s guidelines. The criteria differ depending on whether the applicant resides in Canada or abroad.
Eligibility for Residents in Canada:
- Must be 65 years or older at the time of application.
- Must be a legal resident of Canada during the approval process.
- Must have lived in Canada for at least 10 years since turning 18.
Eligibility for Residents Outside Canada:
- Must be 65 years or older.
- Must have been a legal resident of Canada the day before leaving the country.
- Must have lived in Canada for at least 20 years since age 18.
For Canadian Citizens Working Abroad:
- Must be 65 years or older and employed by Canadian institutions (e.g., armed forces, banks).
- Must return to Canada within 6 months after ending employment abroad.
It’s crucial to verify eligibility through the CRA portal to avoid application rejections.
How to Apply for OAS Payments
Applying for OAS payments is simple and can be done online via the CRA’s website.
Step-by-Step Application Process:
- Visit the CRA official website.
- Navigate to the OAS application portal.
- Log in with your credentials or create a new account.
- Fill out the application form with accurate details.
- Upload scanned copies of required documents.
- Submit the application and save the acknowledgment slip.
Applicants will receive a notification regarding their application status.
OAS Payment News and Updates
The OAS payment rates are reviewed quarterly—in January, April, July, and October. If the cost of living increases, payments are adjusted accordingly. However, if living costs drop, the payment amount remains the same, ensuring stability for beneficiaries.
Canada’s government continues to prioritize seniors’ welfare by enhancing programs like the OAS. Regular updates can be accessed through the official CRA portal.
FAQs
What is the new OAS payment amount in 2025?
Eligible seniors will receive a $2,250 OAS increase starting from July 2025.
How often are OAS payments reviewed for adjustments?
OAS payments are reviewed quarterly to reflect changes in the cost of living.
Who qualifies for the OAS pension in Canada?
Residents aged 65 or above with at least 10 years of Canadian residency qualify.
Can seniors living outside Canada receive OAS benefits?
Yes, if they’ve lived in Canada for at least 20 years since age 18.
What happens if the cost of living decreases?
The OAS payment amount remains unchanged even if the cost of living drops.
How can I apply for OAS payments?
Apply online through the CRA website with necessary identification and documents.
When will the next OAS payment be issued?
The next OAS payment is scheduled for 29th July 2025.
Is the OAS payment taxable?
Yes, the OAS benefit is considered taxable income in Canada.
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