The Canadian government has officially announced a one-time special $1,980 Old Age Security (OAS) payment for seniors. The announcement provides relief and optimism to millions of older Canadians, particularly those with heavy dependence on monthly pension earnings. With rising living costs, this one-time or adjusted payment is intended to assist seniors to live more easily.
What Is the OAS Payment?
Old Age Security (OAS) is a monthly payment made to eligible Canadian seniors 65 years of age or older. OAS is distinct from the Canada Pension Plan (CPP) and is supported by general tax revenues. The government recently announced that certain seniors will receive an OAS payment worth up to $1,980, based on their age, income, and tax return history.
This figure captures the base OAS pension, as well as other supplementary payments like the Guaranteed Income Supplement (GIS) or potential inflation-related adjustments.
Why $1,980?
The $1,980 is a combination of OAS monthly payments and additional supplements that eligible seniors would get during a specific payment period. It could also include quarterly adjustments or retroactive amounts. The actual figure might be slightly different based on when the beneficiary turns 65, their marital status, and yearly income.
Seniors aged 75 and above also receive an increased OAS amount because of the 10% increase that came into effect in July 2022.
Who Is Eligible for the OAS Payment?
You must:
- Be 65 years of age or older
- Be a legal resident or citizen of Canada
- Have resided in Canada for at least 10 years since the age of 18
- Have met income levels (for extra benefits such as GIS)
- Have submitted your most recent income tax return
Seniors residing outside of Canada might be eligible even if they meet legal status and residency criteria. Your CRA determines the specific amount you’re entitled to based on your annual income.
How Will You Get It?
Most eligible seniors already registered in the OAS plan will get this payment automatically by direct deposit or mailed cheque. No reapplication is required if your banking or personal information is up to date.
However, if you have not applied yet and just turned 65, you must apply online through My Service Canada Account, or by mailing in a filled-out OAS application form.
When Is the Payment Coming?
Although the government did not establish a formal country-wide date for paying the $1,980 payment, it should be made as early as mid-2025, based on specific cases. Standard monthly OAS payments continue according to schedule, generally on the last week of every month.
Why This Matters for Seniors
With inflation affecting everyday essentials such as food, rent, and healthcare, the OAS increase is designed to provide financial support and stability to Canada’s elderly. It also speaks to the government’s acknowledgment of the rising cost of aging at home or long-term care. For low- and moderate-income seniors, even a few hundred dollars can contribute significantly to improved quality of life.
FAQs
Q.Is the $1,980 OAS payment a monthly or one-time payment?
A.It depends. The $1,980 could be cumulative monthly payments or retroactive adjustments depending on your eligibility.
Q.Do I have to apply for this payment?
A.If you’re already getting OAS, no application is required. New seniors have to apply through Service Canada.
Q.Will this payment impact other benefits such as GIS?
A.No, this payment is separate and does not reduce your eligibility for GIS or CPP.
