📢 What You Need to Know About the 2025 OAS Increase in Canada
As we move through 2025, many Canadian seniors are wondering how much they can expect from Old Age Security (OAS) payments — and whether any changes are coming. Here’s a breakdown of the most recent updates, including cost-of-living adjustments, the special 75+ top-up, and what it means for your finances this year.
💡 What Is OAS and Why It Matters
OAS is a monthly payment available to most Canadians aged 65 and older. It’s not tied to your work history — eligibility is based on age and residency. Payments are reviewed quarterly and adjusted to keep pace with inflation, which is especially important in today’s unpredictable economy.
🔄 Quarterly Adjustments in 2025
OAS payments are indexed to the Consumer Price Index (CPI) and reviewed every three months. This means your payment may increase (but never decrease) in response to inflation.
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April–June 2025: No increase. CPI was stable, so monthly payments remained the same.
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July–September 2025: A 1.0% increase is expected, reflecting the latest CPI movement. This brings the year-over-year increase to 2.3% — modest but helpful.
This means starting July 2025, you’ll see a small boost in your OAS deposit, designed to keep your purchasing power in check.
👵 The Extra Boost for Seniors Aged 75+
If you’re 75 or older, you qualify for an additional 10% increase on your monthly OAS payment — a change that began in July 2022 and continues today.
Here’s what that looks like in real numbers for 2025:
| Age Group | Monthly OAS (2025) |
|---|---|
| 65–74 | $727.67 |
| 75+ | $800.44 |
This boost is automatic — you don’t need to apply for it separately.
🧾 OAS Clawback Thresholds (2025)
If your income is higher than a certain amount, you may have to repay some or all of your OAS through what’s known as the OAS Recovery Tax (commonly referred to as the “clawback”).
For 2025, here are the income thresholds:
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Ages 65–74: Repayment begins if your net world income exceeds $148,179
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Ages 75+: Threshold rises slightly to $154,196
If you’re approaching these income levels, it’s worth doing some retirement planning to avoid surprises at tax time.
✅ What Should You Do Now?
1. Check your OAS deposit in July to see the updated amount.
2. Review your net income if you’re close to the clawback threshold.
3. Consider combining your OAS with other benefits like the Guaranteed Income Supplement (GIS) if your income is modest.
Final Thoughts
OAS remains a vital support system for Canadian seniors. While the 2025 increases are modest, they’re an important reminder of how the government adjusts for inflation — and how crucial it is to stay informed.
Whether you’re already receiving OAS or planning for retirement soon, staying up to date with changes like these ensures you’re getting the most out of the benefits you’ve earned.