Seniors Get a Raise

Service Canada has just announced the fourth quarter rates for Old Age Security.

Seniors’ OAS cheques will increase by $5.08 per month to $569.95 starting with their October cheques. This represents a 0.9% increase, the largest since the second quarter of 2014. OAS rate increases are based on changes to the Consumer Price Index.

Seniors qualify for a reduced OAS pension after 10 years and after 20 years seniors will recieve 100% of their pension.

OAS recipients who receive the maximum (because they have lived in Canada for at least 20 years) and began receiving their OAS at age 65 before February 2015 will receive a total of $6,786.90 for the year, an increase of $100.31 or 1.65% over the 2014 total.  Seniors who receive a reduced pension because they don't meet the full residency requirements will receive a 0.9% increase in that pension.

High-income seniors will have to repay a portion of their OAS if their net income for the year exceeds $72,809. If their net income for 2015 exceeds $118,055, they will have to repay 100% of their OAS.