Home Finance Old Age Security Canada: How to Apply and payments date 2023

Old Age Security Canada: How to Apply and payments date 2023

Old Age Security Canada

The Canadian Old Age Security (OAS) pension is a monthly payment you can get if you are 65 and older. In some cases, Service Canada will be able to automatically enroll you for the OAS pension. In other cases, you will have to apply for the Old Age Security pension. Service Canada will inform you if you have been automatically enrolled.

In most cases, you do not have to apply to get this benefit.

Why you may have to apply for Old Age Security Canada

You may have to apply for the Old Age Security. We may not have enough information to enroll you automatically.

When payments start
You can receive your first payment the month after you turn 65.

Delaying your first payment
You can receive a higher Old Age Security pension amount for each month you decide to delay your first payment.

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Old Age Security pension amount

The amount you receive depends on your income and how long you lived in Canada or specific countries after the age of 18.

You will have to pay tax on the Old Age Security pension payment.

Extra payment based on your income and your age
In addition to your OAS, you could also be eligible for other benefits.

Guaranteed Income Supplement

You may also be eligible for the Guaranteed Income Supplement if:

you are 65 or older
you live in Canada
you get the Old Age Security pension
your income is below the maximum annual income threshold for the GIS based on your marital status
You apply for the GIS at the same time as you apply for the OAS pension.

One-time grant for Guaranteed Income Supplement recipients who received pandemic benefits
If you saw a reduction or loss of benefits in July 2021 due to the receipt of pandemic benefits in 2020, you could receive a one-time grant.

One-time payment for older seniors

You may also be eligible for the One-time payment for older seniors if:

you are eligible for the Old Age Security pension as of June 2021, and
were born on or before June 30, 1947
Benefits for your spouse or common-law partner
Allowance
If you are eligible to receive the Guaranteed Income Supplement, your spouse or common-law partner may be able to receive the Allowance if your spouse or common-law partner:

is 60 to 64 years of age
is a Canadian citizen or a legal resident
resides in Canada and has resided in Canada for at least 10 years since the age of 18
your combined annual income is less than the maximum annual income threshold for the Allowance
Allowance for the Survivor

You could receive the Allowance for the Survivor if:

you are 60 to 64 years of age
your spouse or common-law partner has died and you have not remarried or entered into a common-law relationship
your annual income is less than the maximum annual income threshold for the Allowance for the Survivor.

Do you qualify for Old Age Security Canada

Your employment history is not a factor in determining eligibility. You can receive the Old Age Security (OAS) pension even if you have never worked or are still working.

If you are living in Canada, you must:

be 65 years old or older
be a Canadian citizen or a legal resident at the time we approve your OAS pension application
have resided in Canada for at least 10 years since the age of 18
If you are living outside Canada, you must:

be 65 years old or older
have been a Canadian citizen or a legal resident of Canada on the day before you left Canada
have resided in Canada for at least 20 years since the age of 18

Canadians working outside Canada for Canadian employers

Canadians working outside Canada for Canadian employers, such as the Canadian Armed Forces and banks, may have their time working abroad counted as residence in Canada.

To qualify this time working abroad as a residence, you must have either:

returned to Canada within 6 months of ending employment
turned 65 years old while still employed and maintained a residence in Canada during your time outside of Canada
You must provide the following 2 documents:

proof of employment from the employer
proof of physically returning to Canada (unless you turned 65 while still employed outside Canada).
Under certain conditions, spouses, common-law partners, dependents, and Canadians working abroad for international organizations may also count time spent abroad as residence in Canada.

If neither of the above scenarios applies to you, you may still qualify for the Old Age Security pension, a pension from another country, or from both countries if you have:

lived in one of the countries Canada has established a social security agreement
or
contributed to the social security system of one of the countries with which Canada has established a social security agreement.

How much you could receive Old Age Security Canada

Old Age Security (OAS) pension amounts – October to December 2022. To receive the OAS your annual income in 2022 must be:

Age/Maximum monthly payment amount: 65 to 74 $685.50 Less than $129,757

Age/Maximum monthly payment amount: 75 and over $754.05 Less than $129,757

The Old Age Security pension is reviewed in January, April, July and October to reflect increases in the cost of living as measured by the Consumer Price Index. Your monthly payment amount will not decrease if the cost of living goes down.

Increased Old Age Security pension at age 75

If you are or will be 75 years old or older in June 2022, you will get an automatic 10% increase of your Old Age Security pension starting in July 2022.

If you are turning 75 after July 1, 2022 you will receive the increase in the month following your 75th birthday.

The 10% increase in the maximum OAS pension rate will not affect the calculation of your Guaranteed Income Supplement (GIS).

Your payment

If your income is higher than $79,845 (2021), you will have to repay part or your entire Old Age Security pension. Find out more about Old Age Security pension recovery tax.

You can receive your benefit payment by cheque or direct deposit to your banking account in Canada, the United States, or to some specific countries. You will have to sign up for direct deposit.

Retroactive payments

If you are already over 65, we may be able to give you a retroactive payment for up to a maximum of 11 months from the date we receive your application. If you delay receiving your Old Age Security pension you will not be able to receive retroactive payment during the deferral period.

You might also be eligible to receive extra payments based on your income such as:

the Guaranteed Income Supplement
the Allowance
the Allowance for the Survivor
Payment dates
You will receive your first Old Age Security payment either:

the month after you turn 65
the specific date that you have chosen

Should you wait to start collecting Old Age Security

You can receive your first Old Age Security pension payment the month after you turn 65.

You can receive a higher amount for each month you decide to delay your first payment.

You can delay payment of the Old Age Security pension for up to 60 months (5 years) after you are 65. The longer you delay, the larger your pension payment will be each month.

After age 70, there is no advantage in delaying your first payment. In fact, you risk losing benefits. If you are over the age of 70 and are not receiving an Old Age Security pension, apply now.

If you are eligible for the Guaranteed Income Supplement, there is also no advantage in delaying your first payment.

Consider your personal circumstances

There are many factors you should consider when deciding when to start receiving your Old Age Security pension. These include your health, your financial situation, and your plans for retirement.

You should think about:

whether you plan to keep working
if your spouse or common-law partner wants to apply for the Allowance
your health
your retirement plans
If you are still working and receiving Old Age Security payments
If you are still working and your income is higher than $79,845 (2021), you will have to repay part of your Old Age Security pension payment. Delaying your first payment can let you keep more of your pension.

If you are planning on receiving the Guaranteed Income Supplement and your income is less than what you reported on your tax form last year, contact us.

Other benefits will be delayed if you delay your Old Age Security payment
If you are not in receipt of the Old Age Security pension:

you cannot get the Guaranteed Income Supplement
your spouse cannot apply for the Allowance
Note: The Guaranteed Income Supplement and Allowance amounts don’t increase when you delay receiving Old Age Security pension payments. You cannot receive the Guaranteed Income Supplement and your partner cannot receive the Allowance when you are not receiving the Old Age Security pension.

Applying to delay your first payment

If you received a letter from us and want to delay your first payment:

log into your My Service Canada Account and follow the directions
complete, sign, and return the enrolment letter by mail
Guide for calculating OAS amounts for each year the pension is delayed

Delaying with an earlier start date than the date of application
Other situations that can affect your Old Age Security pension amount

If you have lived in Canada less than 40 years

Not everyone receives the full Old Age Security pension. The amount you receive depends on the number of years you have lived in Canada.

If you lived in Canada for less than 40 years (after age 18) you will receive a partial payment amount. Your payment amount is based on the number of years in Canada divided by 40. You can delay your first payment up to 5 years to get a higher amount.

Old Age Security: Your application

To complete your application you need to do the following:

Step 1: Determine if you need to apply
Step 2: Decide when you want your OAS to start
Step 3: Submit your application
Step 4: Receive a response from us
Step 5: Review your application status
Step 6: If you disagree with the decision
Step 1: Determine if you need to apply
We may send you a letter to let you know that you will receive the Old Age Security (OAS) pension.

You will need to apply for the Old Age Security pension if:

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you get a letter from us asking you to apply
information in the letter we send you is incorrect
If you did not receive any letter about the Old Age Security pension the month after you turned 64, contact us to find out if you need to apply.

Step 2: Decide when you want your OAS to start

You’ll be asked to choose 1 of the following:

start receiving your pension at age 65 (your pension will start the month after your 65th birthday)
start receiving your pension at a specific date that you choose
You’ll need to understand when is the best time for you to start receiving your pension.

Step 3: Submit your application

Apply online

To be able to apply online, you must:

be at least 1 month past your 64th birthday
not be currently receiving an Old Age Security pension
have not already applied for the Old Age Security pension and Service Canada is not currently assessing your application
be currently living inside of Canada
not have an authorized third party on your account (for example, a person acting by proxy)

If you are applying online, you’ll need a My Service Canada Account (MSCA).

If you don’t have a My Service Canada Account (MSCA), you can register for one. You’ll receive a personal access code to complete your registration.

Note: It’s important to gather the information you need before you begin, because once you start the application, you cannot save it and continue later. Your session will expire after 20 minutes of inactivity (this time starts when your computer mouse stops moving and resets when your mouse is moved).

Gather your personal information before you begin to apply using a paper application

If you are applying by mail you need to:

print and complete the paper form Application for the OAS and the GIS (ISP-3550)

include certified true copies of the required documents mail the application or bring it in person to a Service Canada office.

If someone is helping you with your application
Protecting your information
Learn how we protect your privacy.

Step 4: Receive a response from us

We will mail you a letter with either:

a decision on your application
a request for more information
Your decision letter
Your letter with a decision will include:

the amount you will receive each month
the date for your first payment
any past payments that may be owed to you

Step 5: Review your application status

To view your application status, you can:

log into My Service Canada Account (MSCA)
contact Service Canada

If you don’t have an MSCA account, you can register for one.

Step 6: If you disagree with the decision

If you disagree with the decision, you may ask to have the decision reviewed. You must request this review in writing within 90 days of receiving your decision letter.

Your application will be reviewed by Service Canada staff who were not involved in making the original decision on your application.

More information on how to request a review of the decision

There are 3 ways you can make a request for reconsideration:

submit your request online using My Service Canada Account (MSCA), or
complete and submit the Request for Reconsideration of an Old Age Security Decision form (ISP-3134), or

prepare and submit a written request to review the decision and include:

your name

your address

your telephone number

your social insurance number or client identification number
a detailed explanation of why you do not agree with the decision
any new information that could affect the decision

your signature and the date

If you complete your request on paper

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Sign and date your written request and submit it:

by mail to the return address on the decision letter, or

in person at a Service Canada office

Reconsiderations can take several months to complete, depending on the case. Service Canada will review your application and any new information you submit in support of your request and send you a (new) decision by mail.

If you disagree with the reconsideration

If you disagree with the new decision, the next step is to contact the Social Security Tribunal to appeal.

If you would like a representative to help you communicate with the Social Security Tribunal about your appeal, you will need to:

complete section 9 of the Notice of Appeal – Income Security – General Division form, or

call the Social Security Tribunal and provide your representative’s information.

You must contact the Social Security Tribunal directly to change or cancel your representative.

Note: If you would like your representative to communicate with both Service Canada and the Social Security Tribunal, fill out section 9 of the Notice of Appeal form and complete the Consent to Communicate Information to an Authorized Person form for Service Canada.

While receiving OAS: Your first payment

You will receive your first Old Age Security (OAS) payment either:

the month after you turn 65
the specific date that you’ve chosen
The Benefits payment calendar has details of the exact date Old Age Security payments are made.

Receiving your OAS pension outside of Canada

You can qualify to receive Old Age Security pension payments while living outside of Canada if one if these reasons applies to you:

you lived in Canada for at least 20 years after turning 18
you lived and worked in a country that has a social security agreement with Canada. The time you lived or worked in that country and Canada must be at least 20 years.

If you do not qualify to receive your Old Age Security pension while outside of Canada, your payments will stop if you are out of the country for more than 6 months after the month you left.

You cannot collect the Guaranteed Income Supplement if you are outside Canada for more than 6 months.

Old Age Security pension payments are taxable income

Your Old Age Security pension payments are taxable income. Taxes aren’t automatically deducted each month. You can ask that federal income tax be deducted from your monthly payment by:

signing into your My Service Canada Account or
completing the Request for voluntary Federal Income tax Deductions CPP/OAS form (ISP-3520OAS) form and mailing it to us or dropping it off at a Service Canada office

If you do not ask for monthly tax deductions, you may have to pay your income tax each quarter. For more information, contact the Canada Revenue Agency (CRA) Tax Services Office.

Taxes if you live outside Canada

T4 and NR4 tax information slips

Early each year, you will receive a T4 or NR4 tax slip showing the amount of Old Age Security payments you received during the previous year. You must include this slip when you file your annual income tax return.

T4 tax information slips are for residents of Canada, while NR4 tax information slips are for those living outside Canada. You can view your tax information slips online with My Service Canada Account as early as February 1 each year.

If you have not signed up to view them online, we will send your tax slip by mail in February of each year.

If your situation changes
If your personal information or marital status changes
You must contact us if:

you change your address or phone number
you get married
you enter into a common-law union
you divorce or separate
your spouse or common-law partner dies
a beneficiary dies

If you have an address outside of Canada, you will only be able to view your information online. It is not yet possible to change the information for foreign addresses and direct deposit online. Contact us to update your account information.

If you want to cancel or delay your Old Age Security payments

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If you have been receiving Old Age Security for less than 6 months, you can ask us to cancel or delay your first payment. Write to us within 6 months of receiving your first payment.

From the date your request is granted, you have 6 months to repay any amounts that you received and any related benefits you and/or your spouse or common-law partner received.

You can re-apply at a later date and receive an increased Old Age Security pension.

If you leave Canada for more than 6 months

If you do not qualify for receiving Old Age Security outside Canada, your payments will stop if you are out of the country for more than 6 months after the month you left. You cannot collect the Guaranteed Income Supplement if you are outside of Canada for more than 6 months.

Example

If you plan to be absent from Canada for more than 6 months, you must contact us to avoid an overpayment.

Service Canada compares information with the Canada Border Services Agency. If you leave Canada for more than 6 months while collecting Old Age Security, we’ll determine if you’re eligible to those payments. If not, we’ll calculate how much we have overpaid you, and you will then have to repay that amount.

Note: You could be fined for giving false, misleading, or purposely omitted information.

You can also come forward to correct wrong or incomplete information or to give important information that you haven’t already shared with Service Canada. Learn about Penalties, Interest and Disclosure Policy.

If you return to Canada

When you return to Canada, contact us to restart your payments.

If you are in jail

Your Old Age Security payments will stop if you are in a federal prison serving a sentence of 2 years or more. You must notify Service Canada in writing of your release and your payments will start again the month you are released.

When someone dies

If you’re reading this following the loss of a loved one, please accept our condolences.

When someone dies, please inform us as soon as possible to avoid an overpayment. Find out how to cancel Old Age Security benefits on behalf of a deceased person.

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