If you’re a senior in Canada or nearing retirement, 2025 brings good financial news. Through the Canada Pension Plan (CPP) and Old Age Security (OAS) programs, you could receive up to \$1,700 or more every month. In some cases, the combined benefits can exceed \$2,200 monthly, depending on your age, contribution history, and income level.
Here’s your complete guide to understanding, applying for, and maximizing these essential retirement benefits.
What Are CPP and OAS?
The CPP and OAS form the foundation of Canada’s retirement system. While CPP depends on your work contributions, OAS is a non-contributory benefit based on age and residency.
| Benefit Type | Maximum Monthly (2025) | Details |
|---|---|---|
| CPP (Age 65) | \$1,433.00 | Can be higher if delayed past 65 |
| CPP (Average) | \$899.67 | Based on recent retirees’ actual payouts |
| OAS (65–74) | \$727.67 | Adjusted quarterly |
| OAS (75+) | \$800.44 | Increased support for older seniors |
| Total Max | \$2,233.44 | If fully eligible |
Understanding the Canada Pension Plan (CPP)
What is CPP?
The Canada Pension Plan is a monthly retirement income for those who contributed during their working years. It’s not automatic—you must apply.
CPP Eligibility Criteria
You qualify if:
- You’re at least 60 years old
- You’ve made at least one valid CPP contribution
- Contributions are typically deducted from your salary or paid through self-employment taxes
CPP Payment Amounts and Factors
Your CPP amount depends on:
- Total years and amount contributed
- Your average income
- The age at which you begin collecting
Starting CPP before age 65 reduces your monthly amount by 0.6% per month (or up to 36% if taken at age 60). Delaying past 65 increases it by 8.4% per year, up to age 70.
CPP Payment Dates for 2025
CPP is paid monthly on the following dates in 2025:
- January 29
- February 26
- March 27
- April 28
- May 28
- June 26
- July 29
- August 27
- September 25
- October 29
- November 26
- December 22
Understanding Old Age Security (OAS)
What is OAS?
Unlike CPP, Old Age Security is based on age and residency—not employment. You don’t need to have worked in Canada to qualify.
OAS Eligibility Criteria
You may qualify if you:
- Are 65 years or older
- Are a Canadian citizen or legal resident
- Have lived in Canada for at least 10 years after turning 18
Even if you’ve spent time living or working abroad, international agreements may allow you to receive OAS.
OAS Monthly Payments (2025)
- \$727.67 for those aged 65–74
- \$800.44 for those aged 75 and older
Note: If your income is over \$90,997, part or all of your OAS may be clawed back through a recovery tax.
OAS Payment Dates for 2025
OAS is paid on the same schedule as CPP:
- January 29
- February 26
- March 27
- April 28
- May 28
- June 26
- July 29
- August 27
- September 25
- October 29
- November 26
- December 22
How to Apply for CPP and OAS Benefits
Applying for CPP
CPP does not start automatically. Here’s how to apply:
- Online: Log in to your My Service Canada Account
- By Mail: Fill out the CPP application form and mail it
- When: Apply at least 6 months before your desired start date
Applying for OAS
Some people are automatically enrolled, but if not:
- Check your My Service Canada Account
- Apply online or by paper
- Do it around 6 months before your 65th birthday
Are CPP and OAS Taxable?
Yes—both CPP and OAS are taxable income. You will receive:
- T4A(P) for CPP
- T4A(OAS) for OAS
Include them when filing your annual income tax return.
Additional Benefits for Seniors
You may also qualify for:
Guaranteed Income Supplement (GIS)
- Extra support for low-income seniors
- Non-taxable and paid monthly along with OAS
Allowance and Allowance for the Survivor
- Available to spouses of OAS recipients and surviving spouses aged 60–64
- Based on combined income and marital status
Expert Retirement Tips
Maximize your benefits with these important strategies:
- Review your CPP contributions online before applying
- Delay collecting CPP or OAS if you can—it boosts your monthly income
- Update your banking details to avoid delays in receiving payments
- Be cautious of scams—Service Canada will never ask for your bank info by text or email