Will Your OAS Payment Rise in July 2025? Find Out Now!

Starting in July 2025, seniors in Canada will get more money through the Old Age Security (OAS) program. This extra money is added to help with the rising cost of living. The increase is based on the Consumer Price Index (CPI), which tracks how prices go up over time.

This means seniors will get a little more cash each month to help pay for things like food, rent, and medical bills.

What Is the July 2025 OAS Adjustment?

The Government of Canada checks and updates OAS payments every three months—January, April, July, and October. This is done to keep up with how prices are changing in Canada, especially due to inflation.

In July 2025, OAS payments will go up. The increase is based on how much prices have risen in the last few months.

Here are the new amounts:

Age Group	April–June 2025	July 2025 (New Amount)
65–74	$727.67	$743.00 (approx.)
75+	$800.44	$816.00 (approx.)

Who Can Get the Increased OAS Payment?

To get this increase, seniors must:

• Be 65 years or older.
• Be a Canadian citizen or legal resident.
• Have lived in Canada for at least 10 years after turning 18.

You don’t need to apply again to get the increase. If you already receive OAS, the extra money will be added automatically, unless there is a change in your residency.

Why Is This Increase Important?

Prices in Canada are going up, especially for everyday things like:

• Groceries
• Housing
• Medical care

Seniors, who often live on fixed incomes, are more affected by price increases. The OAS payment increase in July 2025 is meant to help them deal with these extra costs. It’s a way to make sure seniors can still afford what they need.

When and How Will Payments Be Made?

OAS money is paid every month. Seniors will start seeing the higher payments from July 29, 2025.

There are two ways to receive the payment:

• Direct Deposit: Money goes directly into your bank account.
• Cheque by Mail: If you are not signed up for direct deposit, a cheque will be mailed to your home.

Are There Any Tax Rules?

Yes. OAS payments are counted as taxable income. If your total income is high, you might have to pay some of it back. This is called the OAS clawback.

Here’s what it means in 2025:

• Clawback Starts: If your annual income is over $90,997, you may pay some OAS back.
• OAS Ends Completely:
  • Age 65–74: No payment if income is over $148,451.
  • Age 75+: No payment if income is over $154,196.

If you are close to these amounts, it’s a good idea to talk to a financial advisor to reduce how much you may have to repay.

What About Low-Income Seniors?

There is also help for seniors who have low incomes. It’s called the Guaranteed Income Supplement (GIS). If you qualify for both OAS and GIS, your total monthly payment will be higher.

Here’s a breakdown:

Age Group	OAS Payment	GIS Max Payment	Total Monthly Payment
65–74	$743.00	$1,086.88	$1,829.88
75+	$816.00	Varies by income	Up to $1,902.88

Stay Updated and Plan Smart

It’s important for seniors to:

• Know when payments are coming.
• Understand how much they’ll receive.
• Be aware of income limits to avoid the clawback.

By staying informed, seniors can manage their money better and plan for a more comfortable retirement.

Conclusion

The July 2025 OAS payment increase is an important update for seniors in Canada. As living costs go up, this extra money helps seniors keep up with their daily needs. With the increase, seniors aged 65–74 can expect around $743 per month, and those 75+ will get about $816.

Plus, if you also receive GIS, your total monthly income could go over $1,800 or even $1,900. This shows how Canada is working to support its seniors in living healthy, secure, and dignified lives.

FAQ’S