Old Age Security (OAS) is Canada’s largest public pension program, and payment amounts are adjusted four times a year to keep pace with the cost of living. The latest adjustment was 1.4% for October to December 2026, which puts the maximum at $762.50 a month for ages 65 to 74 and $838.75 for 75 and older.
If you are approaching 65, already receiving OAS, or helping a parent plan their retirement income, this guide covers the current amounts, how the quarterly adjustment works, and the income level where the clawback starts to reduce your benefit.
What Is Old Age Security (OAS)
Old Age Security is a monthly pension paid by the Government of Canada to eligible seniors aged 65 and older. Unlike the Canada Pension Plan (CPP), OAS is not tied to your work history or how much you contributed during your career. Instead, it is funded entirely out of general federal tax revenue and is based primarily on how many years you have lived in Canada as an adult.
Because OAS is not an insurance-style contributory program, almost every long-term Canadian resident aged 65+ qualifies for at least a partial payment, even if they never worked or paid into CPP.
How Much Is OAS in 2026
For the October to December 2026 quarter, the maximum monthly OAS pension is:
| Age group | Maximum per month (Oct–Dec 2026) | Compared with ages 65–74 |
|---|---|---|
| 65 to 74 | $762.50 | — |
| 75 and older | $838.75 | +10% ($76.25 more a month) |
The higher amount for seniors 75+ reflects a permanent 10% increase that took effect in July 2022 to help older seniors, who tend to have higher health and care costs and fewer years left to draw down savings. It is applied automatically once you turn 75, so you do not need to ask for it.
Keep in mind these are maximum amounts for a full pension. Your actual payment depends on how long you have lived in Canada after age 18 and whether the OAS recovery tax (clawback) applies to you. Canada.ca notes that its payment tables do not cover partial pensions (10 to 39 years of residence), so if that is you, use the OAS Benefits Estimator in My Service Canada Account.
How the Quarterly Increases Work
OAS payment amounts are reviewed every January, April, July, and October using the Consumer Price Index (CPI). The October 2026 increase was 1.4%: Canada.ca compares average CPI of 169.5 for May to July 2026 with 167.1 for February to April 2026. Over the past year (October 2025 to October 2026), amounts are up 3.0% in total.
If you already receive OAS, the higher amount arrives automatically and you do not need to reapply. If CPI stays flat or falls, your payment simply stays the same. Canada.ca states that monthly payment rates will not decrease if the cost of living goes down. The next review comes in January 2027.
This is different from many other benefit programs that adjust only once a year, and it means OAS recipients see their payments keep pace with inflation more closely throughout the year.
Who Is Eligible
To qualify for OAS, you generally need to meet the following requirements:
- Be 65 years of age or older
- Be a Canadian citizen or legal resident at the time your application is approved
- Have lived in Canada for at least 10 years since turning 18 (if you currently live in Canada), or at least 20 years since turning 18 (if you live outside Canada)
To receive the full OAS pension amount, you need 40 years of residence in Canada after age 18. If you have fewer than 40 years of residence but meet the minimum threshold, you receive a partial pension calculated proportionally — for example, 20 years of residence would generally result in roughly half the full pension amount.
The OAS Clawback (Recovery Tax)
Higher-income seniors may have some or all of their OAS “clawed back” through what is officially called the OAS recovery tax. Once your net world income is above a threshold set each year, the government recovers 15 cents of OAS for every dollar of income over that line.
The year to watch is the income year, not the payment year. The recovery tax runs from July to June and is based on your income from the previous calendar year:
| Income year | Payments affected | Recovery starts above | OAS fully repaid at (65–74) | OAS fully repaid at (75+) |
|---|---|---|---|---|
| 2025 | July 2026 – June 2027 | $93,454 | $152,062 | $157,923 |
| 2026 | July 2027 – June 2028 | $95,323 | $155,320 (estimate) | $161,320 (estimate) |
So if you are receiving OAS right now, the figure that matters is $93,454, based on your 2025 income. The $95,323 threshold belongs to your 2026 income and affects payments starting next July. Canada.ca still lists the 2026 maximum-recovery amounts as estimates.
A few details about how the clawback works in practice:
- The recovery tax is based on your net world income reported on your tax return, not just your Canadian income.
- After you file, the repayment amount is estimated from your reported income, divided into monthly amounts, and deducted from your OAS payments. You receive a letter explaining the deductions.
- Once your income reaches the “fully repaid” level in the table, your OAS drops to zero for that payment period. The level is somewhat higher for the 75+ group because of their higher base pension.
Worked example: what the clawback costs at different incomes
Take a senior receiving OAS during July 2026 to June 2027. The repayment is 15% of the net world income above $93,454, so at $110,000 the math is $110,000 − $93,454 = $16,546 over the threshold, and 15% of that is $2,481.90 a year.
| 2025 net world income | Amount over $93,454 | Repayment per year (15%) | About per month |
|---|---|---|---|
| $110,000 | $16,546 | $2,481.90 | $207 |
| $125,000 | $31,546 | $4,731.90 | $394 |
| $140,000 | $46,546 | $6,981.90 | $582 |
This is a simplified illustration. The actual deduction is set by Service Canada from your tax return, and it can never be more than the OAS you receive.
If your income was unusually high in one year but has since dropped, you can ask Service Canada to reduce the deductions based on your estimated current-year income instead of waiting for the following tax year to true things up.
Which Situation Are You In?
- Age 65 to 74, 2025 income under $93,454: you should receive your full OAS (assuming 40 years of residence) with no recovery tax.
- Age 75 or older: you should see the 10% higher amount of $838.75 without doing anything.
- 2025 income over $93,454: expect monthly deductions from July 2026. If your income has fallen since, ask Service Canada to use a current-year estimate.
- Low income (for a single senior, under $23,112): check whether you also qualify for the Guaranteed Income Supplement, worth up to $1,138.90 a month on top of OAS. See the full GIS guide.
- Fewer than 40 years in Canada after 18: you receive a partial pension, so run your numbers through the OAS Benefits Estimator.
How to Apply and Payment Dates
Many people are automatically enrolled in OAS. Service Canada reviews its records around your 64th birthday and sends a notification letter if you qualify for automatic enrollment — in that case, you don’t need to apply at all. If you don’t receive a letter by the month after you turn 64, you should apply manually through your My Service Canada Account (MSCA) or by mailing a paper application.
OAS is paid monthly, generally toward the end of each month. It’s worth applying a few months before you want payments to start, since processing can take time and OAS (unlike CPP) is not retroactive beyond 11 months from the date Service Canada receives your application.
Frequently Asked Questions
Can I defer OAS past 65 for a higher amount?
Yes. You can delay starting OAS for up to 5 years past age 65. For every month you delay, your payment increases by 0.6%, which adds up to a maximum increase of 36% if you wait until age 70. There is no benefit to deferring past age 70.
Does OAS count as taxable income?
Yes, OAS is fully taxable income and must be reported on your tax return. This is also the income that determines whether the recovery tax (clawback) applies to you.
How does OAS interact with GIS (Guaranteed Income Supplement)?
The Guaranteed Income Supplement is a separate, non-taxable monthly benefit available to low-income OAS recipients. You must already be receiving OAS to qualify for GIS, and your GIS amount is calculated based on your income (excluding OAS itself in most calculations). Many low-income seniors receive both benefits together. For October to December 2026, a single senior with an annual income under $23,112 can receive up to $1,138.90 a month in GIS on top of OAS. The GIS guide has the full table of amounts and income limits for couples.
Planning Ahead
Because OAS amounts change every quarter and the clawback threshold is adjusted annually for inflation, it’s worth checking your expected payment amount on Canada.ca each time you do a retirement income review — especially if you’re close to the recovery tax threshold, since small changes in other income (like RRIF withdrawals or part-time work) can push you over the line.
Bottom Line
OAS remains one of the most important sources of guaranteed retirement income for Canadian seniors. The current maximums are $762.50 a month at ages 65 to 74 and $838.75 at 75 and older, and the quarterly CPI adjustments mean payments generally keep pace with inflation over time. Whether you’re just becoming eligible or already receiving payments, check the current maximum amounts, confirm your years of Canadian residence, and keep an eye on the $93,454 clawback threshold if your income is on the higher side.
Related reading: Already getting OAS? The extra monthly payment you might be missing.