OAS payment dates in 2024 : Old Age Security payment amounts, Benefits & Dates in 2024
Old Age Security benefits are monthly payments made by the federal government to supplement the income of eligible Canadians age 65 and older. Along with the Canada Pension Plan (CPP) and personal savings, OAS contributes to financial support for older Canadians. CPP and OAS payments are issued on the same dates. If you’re approaching or planning for retirement, you may have questions about Old Age Security (OAS) benefits, like: Do I need to apply for OAS? How much will I receive in OAS? When do OAS payments go out? We cover these questions and more below. But first, here’s a quick overview of how OAS works.
Who qualifies to receive OAS?
OAS eligibility depends on how long you have lived in Canada, your age and your citizenship. To be eligible for OAS, you must:
- be at least 65 years old; and
- be a Canadian citizen or legal resident
To answer the question of how long you’ve lived in Canada, it depends on where you live now. If you currently live in Canada, you must have lived in Canada for at least 10 years since you were 18 years old. If you live outside of Canada, you must have lived in Canada for at least 20 years since you were 18 years old.
Your employment history doesn’t affect your eligibility. You can even receive OAS if you are still working or have never worked before.
Enrolment for OAS is generally automatic, and you can expect to receive a letter in the month after you turn 64. If you don’t get confirmation of your enrolment, you may have to submit an application to Service Canada. You can do this online or by filling out a paper form.
Note that there are some circumstances when you may be entitled to other benefits, such as if you are widowed, or your spouse or common-law partner is eligible for the Guaranteed Income Supplement (GIS). (More on the GIS below.)
You can learn more about the OAS program and your eligibility by reading the government’s Old Age Security program toolkit.
How much can I expect to receive in OAS benefits?
Good news! The Old Age Security program is indexed to inflation, meaning that the government reviews the program quarterly (in January, April, July and October) and makes increases based on the Consumer Price Index (CPI). (Should the cost of living decrease, your benefits will stay the same.) However, these frequent adjustments make it difficult to predict the exact amount.
The amount you will receive in OAS benefits depends on three main factors:
1. The number of years you’ve lived in Canada since you were 18 years old
If you’ve lived in Canada for at least 40 years since you turned 18, you’ll likely be eligible for the maximum pension payout amount. The CRA also notes there are some situations where you might qualify for the full OAS pension without having 40 years of residence—consider calling Service Canada to inquire (1-800-277-9914).
If you don’t qualify for the full OAS pension, you might be eligible for partial OAS, says the CRA: “If you live in Canada when you apply, you can receive a partial OAS pension if you have lived in Canada for at least 10 years after the age of 18. If you live outside of Canada when you apply, you can receive a partial OAS pension if you have lived in Canada for at least 20 years after the age of 18.”
2. Your age when you begin receiving your OAS pension
You can start receiving OAS at age 65. However, you can choose to delay your start date up to 60 months (which is five years) in return for a monthly 0.6% increase in your eventual pension payment. Using the September 2024 maximum monthly payout amount of $718.33 as an example, this is how delaying your start date could affect your pension.
Key Features of OAS:
- Eligibility: Generally, to qualify for OAS, you must be at least 65 years old and meet certain residency requirements in Canada.
- Monthly Payments: The amount you receive may vary based on how long you have lived in Canada after age 18.
- Automatic Enrollment: Many Canadians are automatically enrolled when they reach age 65, but some may need to apply.
- Income Testing: OAS benefits may be reduced or clawed back if your income exceeds a certain threshold.
- Supplementary Benefits: There are additional programs, such as the Guaranteed Income Supplement (GIS), which provides extra financial support to low-income seniors.
How to apply for Old Age Security
Old Age Security (OAS) is a monthly pension provided to Canadians aged 65 and up. It’s one of the ways the federal government supports retirees. According to the Canada Revenue Agency, you might be automatically enrolled if Service Canada already has the necessary information, and you’ll be notified if that’s the case. However, if you haven’t heard anything about OAS by the month after your 64th birthday, you may need to submit an application.
Eligibility Criteria
To be eligible for the OAS pension, you must meet the following criteria:
- Age Requirement: You must be 65 years or older.
- Legal Status: You must be a Canadian citizen or a legal resident of Canada.
- Residence Requirement: You must have resided in Canada for at least 10 years since the age of 18 to receive the OAS pension in Canada. If you live outside Canada, you need to have lived in Canada for at least 20 years after turning 18.
OAS Pension Amount
As of 2024, the maximum monthly OAS pension payment is approximately $615.37. However, this amount can vary based on factors such as your income and the length of time you have lived in Canada. Some seniors may also qualify for the Guaranteed Income Supplement (GIS) if they have a low income, which can significantly increase their monthly benefits.
Applying for the OAS Pension
The application process for the OAS pension can be initiated up to 11 months before you turn 65. Here are the steps to apply:
- Gather Required Documents: You will need documents that prove your age, citizenship, and residency.
- Complete the Application Form: You can apply online through the Service Canada website or by mail using the paper application form.
- Submit Your Application: Once completed, submit your application along with the necessary documents. It’s advisable to apply well in advance to ensure timely processing.
Important Facts and FAQs
- Taxable Income: The OAS pension is considered taxable income, and you may need to pay income tax on your payments.
- Deferring OAS Pension: You can choose to defer receiving your OAS pension for up to 60 months after you become eligible. For each month you defer, your monthly payment will increase by 0.6%, up to a maximum of 36% at age 70.
- Recovery Tax: If your annual income exceeds a certain threshold, you may have to repay part of your OAS pension through the OAS Recovery Tax.
- Guaranteed Income Supplement (GIS): Low-income seniors may qualify for the GIS, which provides additional monthly benefits.
Is Old Age Security taxable?
Yes, Old Age Security payments are considered taxable income. Taxes aren’t automatically deducted from your monthly OAS payments, but you can request it. To have taxes deducted, you can either sign into your My Service Canada Account or complete the Request for Voluntary Federal Income Tax Deductions CPP/OAS form and submit it to Service Canada.
If you don’t request monthly deductions, you may need to pay your taxes quarterly. Residents of Canada will receive a T4 tax slip, while those living outside of Canada will get an NR4 tax slip to include when filing their income taxes.
When do Old Age Security payments go out?
The next OAS payment will hit bank accounts on September 25, 2024.
Here are the remaining payment dates for 2024:
- October 29, 2024
- November 27, 2024
- December 20, 2024