OAS Payments Increasing by $2350 in 2025: If you’re a Canadian senior or planning for retirement, you’ve probably heard some chatter: Old Age Security (OAS) payments could rise by up to $2350 in 2025. But is it a real bonus? Who qualifies? And how can you make sure you’re not missing out?
Whether you’re already receiving OAS or turning 65 soon, this article breaks it all down—with real numbers, practical advice, and clear guidance so you can plan your retirement with confidence.
OAS Payments Increasing by $2350 in 2025
| Topic | Details |
|---|---|
| OAS 2025 Payment Increase | No official one-time $2,350 lump sum, but annual increases from inflation + age 75+ boost can total that amount |
| Monthly OAS (2025) | Age 65–74: $727.67, Age 75+: $800.44 |
| Annual OAS Payment | Age 65–74: $8,732.04, Age 75+: $9,605.28 |
| Additional GIS | Up to $1,086.88/month for low-income seniors |
| Eligibility | Canadian residents age 65+, lived in Canada for at least 10 years after age 18 |
| Clawback Threshold (2025) | Starts at $90,997 in net income |
| Apply Here | Canada.ca – Apply for OAS |
While there’s no surprise $2,350 bonus payment, 2025 brings real gains for Canadian seniors through higher OAS and GIS benefits—especially for those over 75.
Knowing how and when to apply, defer, and coordinate your income streams is key. Don’t leave money on the table. Check your eligibility today and take control of your retirement income.
What Is Old Age Security (OAS)?
Old Age Security (OAS) is a federal monthly payment available to most Canadians aged 65 and older. Unlike CPP, which is based on your work history, OAS eligibility is based on how long you’ve lived in Canada.
OAS is a core part of Canada’s retirement system and is available to seniors regardless of work history—making it especially important for those with little or no pension income.
Understanding the $2,350 “Increase”
There’s been some confusion around a $2,350 boost to OAS in 2025. Here’s the truth:
- There is no one-time $2,350 bonus.
- The increase comes from:
- Regular inflation indexing
- A 10% increase for people aged 75 and older
- Incremental quarterly adjustments
In real terms, if you’re 75+ and comparing your total yearly payment in 2022 versus 2025, the difference could exceed $2,000. That’s where this number likely comes from.
“The cumulative increase in OAS and GIS over recent years has made a meaningful difference for our older seniors, especially those facing rising housing and medical costs.” — Canadian Centre for Policy Alternatives
Real-Life Example: How Much More Will You Get?
Let’s take Margaret, age 76, who receives the full OAS and GIS:
- 2022: She received ~$9,000 OAS + ~$12,000 GIS = ~$21,000 total
- 2025: She’ll receive ~$9,605 OAS + ~$13,000 GIS = $22,600+ total
That’s an increase of over $1,600 to $2,000 in just three years, largely due to policy enhancements and inflation protection.
When Are OAS Payments Made?
OAS is paid monthly, usually around the third-to-last business day of each month. Here are some 2025 payment dates:
| Month | Payment Date |
|---|---|
| January | Jan 29, 2025 |
| February | Feb 26, 2025 |
| March | Mar 27, 2025 |
| April | Apr 28, 2025 |
How to Apply for OAS in 2025
Most Canadians are automatically enrolled. However, some will need to apply manually.
Application Steps:
- Log into My Service Canada Account to check your status.
- If not auto-enrolled, complete the ISP-3550 form or apply online.
- Choose a start date for your payments—either at 65 or defer up to age 70.
- Get a confirmation and monitor your payments monthly.
Should You Defer OAS to Age 70?
You can defer your OAS payments up to age 70 and receive 0.6% extra per month deferred, up to 36% more total.
Example:
- Monthly OAS at 65: $727.67
- Deferred to 70: ~$989/month — an extra $3,132 per year
Smart move if you’re still working at 65 and don’t need the income immediately.
Watch Out: OAS Clawback in 2025
If your net income exceeds $90,997 (2025 threshold), your OAS will be reduced by 15 cents per dollar over that amount.
This affects higher-income retirees, especially those with large RRSP/RRIF withdrawals.
Ways to Minimize the Clawback:
- Split pension income with your spouse
- Withdraw RRSPs gradually to avoid income spikes
- Use a TFSA instead of RRSP in retirement
- Work with a retirement planner to smooth income
Common Mistakes to Avoid
- Assuming you’re auto-enrolled without checking
- Waiting too long to apply (retroactive payments max out at 11 months)
- Not coordinating OAS and GIS, which can affect total benefits
- Ignoring the clawback threshold
Tools to Estimate Your OAS
Try these official government tools to plan ahead:
- OAS Estimator Tool
- Canadian Retirement Income Calculator
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FAQs About OAS Payments Increasing by $2350 in 2025
Is the $2,350 increase a one-time payment?
No. It reflects cumulative increases in annual OAS payments due to inflation and age 75+ bonuses.
How do I check if I’m automatically enrolled?
Log in to My Service Canada Account or call 1-800-277-9914.
What is the age 75+ OAS enhancement?
A 10% monthly increase for seniors 75 and older, automatically applied.
Can I get both OAS and GIS?
Yes, if your income is low enough. GIS is a non-taxable benefit that adds to your OAS.
Can I receive OAS while living abroad?
Yes, if you lived in Canada for at least 20 years after age 18 or meet a social security agreement.
