Exciting Changes Coming to OAS Payments!
Hey everyone, we have some really exciting news to share about changes to the old Age Security pension that many of you have been waiting for.
Prime Minister Announces a $2,200 Monthly Increase
Earlier this week, Prime Minister Justin Trudeau announced plans to increase OAS payments by $2,200 per month, raising the maximum monthly amount from $1,500 to $2,200. This change is set to take effect starting the first half of February 2024.
Resounding Support Across Canada
This announcement has been met with resounding support, especially among senior citizens across Canada. OAS provides a crucial source of income for millions of retirees, helping cover basic living expenses. A $2,200 increase represents a nearly 50% boost in benefits, which could make an enormous difference in seniors’ quality of life.
Urgency for Reform
Advocates have been urging the government for years to update the OAS system, arguing that the current monthly amount simply isn’t enough to keep pace with rising costs of living. Senior poverty has become an increasingly pressing issue, with around 12% of seniors in Canada living below the poverty line as of 2020.
Get Your $2000 Extra Per Month OAS Payment Signed By Trudeau Exciting Changes Coming to OAS Payments!
Addressing the Declining Buying Power
With housing, food, transportation, medical care, and other expenses consistently going up, many experts say the buying power of OAS has been on a steady decline. The base payment rate has only increased by about 15% over the past couple of decades when accounting for inflation.
Government’s Response
The federal government was compelled by the urgency and importance of this issue. In announcing the decision to increase monthly OAS transfers by nearly 50%, the Prime Minister emphasized the need to ensure all Canadian seniors can retire with dignity.
Understanding the Changes
Now, let’s go over exactly how this change to OAS will work and who stands to benefit. It’s important to understand that not all seniors automatically qualify for the maximum OAS amount.
Automatic Increase for Existing Recipients
Seniors already collecting OAS will automatically start getting the new higher payment amounts beginning February 2024 without needing to apply or file any additional paperwork. Payments are indexed to inflation as well, so they’ll continue to rise modestly over time.
Boosting OAS for All Eligible Seniors
The Trudeau government plans to increase OAS payments for all eligible seniors, regardless of how much total OAS support you currently receive.
Continuing Efforts to Address Senior Poverty
Of course, a boost to OAS on its own isn’t enough to fully address the issue of senior poverty. The federal government says it will continue exploring complementary policies aimed at supporting aging Canadians. But there’s no question this is a monumental stepping stone.
CRA Increase Pensions Up To $1360 Extra: Canada Pension Plan (CPP) for the year 2024
How to Apply for OAS
Service Canada may automatically enroll you for Old Age Security (OAS) or send you a letter asking you to apply.
My Service Canada Account or complete the paper application (Form ISP-3550) and mail it to the nearest Service Canada Centre.
For questions about your OAS benefit, contact Service Canada at 1-800-277-9914 or TTY at 1-800-255-4786.
OAS Payment FAQ
What day does OAS get deposited?
OAS pension payments are usually deposited into your bank account in the last week of each month, except for December. OAS cheques are sent out a bit earlier, so you receive them around the same time.
How much is the old age pension in Canada?
The maximum OAS payment amount in 2024 is $713.34 if you are aged 65 to 74 and $784.67 if you are 75 and older. If you defer OAS past age 65, your OAS benefit increases by 0.60% each month, for a maximum increase of up to 36%.
When do I get my first OAS payment?
Your first OAS pension is paid the month after you turn 65.
When is GIS paid?
GIS payments are deposited in your bank account in the last week of each month. The GIS payment dates for 2024 are January 29, February 27, March 26, April 26, May 29, June 26, July 29, August 28, September 25, October 29, November 27, and December 20, 2024.
On what dates are Canada pensions paid?
CPP and OAS are paid on the same monthly dates to your bank account via direct deposit.
What are the CPP payment dates in 2024?
CPP pension benefits are paid on the same day as the OAS. The CPP payment dates in 2024 are January 29, February 27, March 26, April 26, May 29, June 26, July 29, August 28, September 25, October 29, November 27, and December 20.
- Seniors Collecting OAS Through Service Canada: No need to reapply or update account information. The increase will take effect automatically in 2024 for existing recipients.
- Seniors Who Deferred OAS: You’ll still benefit from the increase. When your payments begin, you’ll receive the new higher amount.
- Non-Resident Seniors: OAS rates depend on your years of Canadian residency. The maximum OAS for non-residents will rise from $613 to $860 monthly.
Conclusion
This increase in OAS payments is a significant step forward in supporting Canadian seniors. We’ll continue to provide updates and information to help improve seniors’ lives. Don’t forget to like, share, and subscribe to our channel for more important updates!