Old Age Security explained

Choose a topic below and understand your OAS step by step 👇

Old Age Pension Canada: Who Qualifies & How Much You Get

Old Age Security (OAS) is one of the main public retirement programs available to seniors in Canada. Unlike the Canada Pension Plan (CPP), OAS is not tied to employment or contributions.

It’s funded by the government and based on age and residency. If you’re approaching 65 or planning your retirement, understanding who qualifies for OAS, how much you could receive, and what rules apply is essential to make informed financial decisions.

What is Old Age Security and how it works

OAS is a monthly benefit for people aged 65 and older who meet specific legal and residency criteria. You don’t need to have worked in Canada to qualify. The program includes:

OAS pension – for seniors 65+ who meet residency requirements
Guaranteed Income Supplement (GIS) – for low-income OAS recipients living in Canada
Allowance – for low-income individuals aged 60–64 whose spouse or partner receives GIS
Allowance for the Survivor – for low-income individuals aged 60–64 whose spouse or partner has died

These benefits are administered by Service Canada and are not based on employment history.

3 key things you need to know about OAS

1️⃣ Enrollment isn’t always automatic: Since 2013, many people are enrolled using tax data, but some must apply manually.

2️⃣ You can delay payments for a higher amount: Deferring OAS up to age 70 increases your monthly payment by 0.6% per month, up to 36% more.

3️⃣ High-income earners may face a clawback: If your 2024 income exceeds $90,997, you will need to repay part or all of your OAS pension through the recovery tax.

Who is eligible for OAS

To qualify, you must:

Be 65 or older
Be a Canadian citizen or legal resident at the time your application is approved
Have lived in Canada for at least 10 years after age 18 (or 20 years if applying from abroad)

⚠️ IMPORTANT: To receive the full pension, you must have lived in Canada for 40 years after turning 18. If you’ve lived here less time, you may receive a partial pension based on how many years you’ve resided in the country.

Frequently asked questions about OAS

1. Do I need to have worked in Canada to qualify?

No. OAS is based on age and residency, not work history or contributions.

2. How much will I receive monthly?

The maximum is $740.09 for those aged 65–74 and $814.10 for those 75+. Your amount may be lower if you’ve lived in Canada less than 40 years after age 18.

3. When does OAS start?

You can start at 65, or delay up to 70 for a higher monthly payment. There is no option to begin earlier.

4. What is the clawback and who does it affect?

If your 2024 income exceeds $90,997, you’ll begin to repay your OAS pension. The more your income exceeds this threshold, the more of your pension you must repay. At higher incomes, the benefit may be fully eliminated.

5. Can I receive OAS while living abroad?

Yes, if you lived in Canada for at least 20 years after age 18. Some international agreements may also help you qualify.

6. Is OAS taxable?

Yes, OAS is fully taxable. GIS and Allowance benefits are tax-free but must be reported.

7. What’s the difference between OAS and CPP?

OAS is residency-based and government-funded. CPP is based on work contributions from you and your employer.

8. How do I apply?

Some people are automatically enrolled. If not, you must apply through Service Canada.

9. What if my information is incorrect?

Contact Service Canada to correct your records or update your eligibility status.

10. Can I receive GIS or Allowance along with OAS?

Yes, if you meet the income and residency rules. These benefits provide extra support and are not taxed.

Old Age Security is a key part of retirement planning in Canada. Knowing if you’re eligible, what you might receive, and how to access extra benefits like GIS or Allowance helps you make better choices. In the next section, we’ll explore who qualifies for OAS in more detail 👇.