If you’re a senior in Canada, you’re likely familiar with the Old Age Security (OAS) pension plan. This government program offers essential financial support to citizens 65 and older, helping to cover living expenses during retirement.
In September 2024, there’s been buzz around a significant one-time payment increase of $2,145. This article dives into the details of this rumored payment, eligibility criteria, and important dates to keep in mind.
OAS
The Old Age Security pension is a taxable monthly benefit available to most Canadians over 65. Whether you receive a full or partial pension depends on factors like your age, income, and how long you’ve lived in Canada after turning 18.
The OAS payments are reviewed every January, April, July, and October to ensure they align with the cost of living, as reflected by the Consumer Price Index (CPI).
While the payments can increase based on the cost of living, they never decrease, providing a consistent source of income for seniors.
September 2024 Payment Increase
There’s been a lot of talk about a $2,145 OAS payment increase for seniors in September 2024. The context for this increase ties back to the regular adjustments made to OAS payments in response to rising living costs.
For instance, from July 2023 to July 2024, the payment amount increased by 2.8%. For the July-September 2024 quarter, the payments saw a modest 0.7% rise.
However, it’s important to note that this $2,145 boost is not yet confirmed by the Canada Revenue Agency (CRA). If it is approved, it would be a one-time payment intended to provide additional financial support amid rising living costs.
Eligibility Criteria
The eligibility for this potential $2,145 payment aligns with the standard OAS requirements. Here’s a breakdown of what you need to qualify:
- Age: You must be at least 65 years old to be eligible.
- Residency: Canadian citizenship or legal residency is required.
- Stay in Canada: You need to have lived in Canada for at least 10 years after turning 18.
- Special Cases: Canadians who have worked abroad for a Canadian employer may still qualify, provided they meet specific criteria, including returning to Canada within six months.
Income Limits
Your annual income plays a crucial role in determining your eligibility. Here’s how it breaks down by age:
| Age Group | Annual Income Limit |
|---|---|
| 65-74 years | $142,609 |
| 75 years and over | $148,179 |
OAS Payment Amounts
The standard OAS payments vary depending on your age and income. Here’s a look at the monthly amounts alongside the potential one-time boost:
| Age Group | Regular Monthly OAS Payment | One-Time Payment |
|---|---|---|
| 65-74 years | $718.33 | $2,145 |
| 75 years and over | $790.16 | $2,145 |
These amounts are based on current figures and could be adjusted based on future CPI changes.
Payment Dates for 2024
While the $2,145 payment has not been confirmed, it’s expected that if approved, it would be distributed on the same dates as regular OAS payments. Here’s the schedule for 2024:
| Month | Payment Date |
|---|---|
| January | 29th |
| February | 27th |
| March | 26th |
| April | 26th |
| May | 29th |
| June | 26th |
| July | 29th |
| August | 28th |
| September | 25th |
| October | 29th |
| November | 27th |
| December | 20th |
If you’re counting on this extra payment, mark your calendar and stay updated with official announcements from the CRA.
While this potential increase in OAS payments is exciting, it’s crucial to remember that it remains unconfirmed. Seniors should monitor official CRA communications to stay informed about any updates or changes to their benefits.
If approved, this one-time payment could provide a significant financial cushion to help manage the rising cost of living.
FAQs
Who qualifies for the $2,145 OAS payment?
Seniors 65+ with legal residency in Canada qualify.
Is the $2,145 OAS increase confirmed?
No, it’s not yet confirmed by the CRA.
When will the payment be made if approved?
Likely on the same dates as regular OAS payments.
What’s the income limit for OAS eligibility?
$142,609 for those 65-74, $148,179 for 75+.
How often are OAS payments adjusted?
Every January, April, July, and October based on CPI.
