What Is the Full Old Age Security Pension Amount?
For the quarter covering July to September 2025, the maximum monthly Old Age Security (OAS) pension for those aged 65 to 74 is up to $734.95, and for those 75 and over, it is up to $808.45 per month. These amounts are updated quarterly to reflect changes in the Consumer Price Index. To receive a full pension, you typically need to meet specific residency requirements. A partial pension may also be available.
Eligibility Requirements for Old Age Security
Eligibility for the OAS pension requires you to be 65 or older and meet specific residency requirements. Unlike the Canada Pension Plan (CPP), OAS is funded by general tax revenues and is not based on your work history. Residency requirements differ if you live in Canada versus outside of Canada.
The Old Age Security Pension Recovery Tax (Clawback)
The OAS clawback, or recovery tax, reduces your pension if your net annual income exceeds a specific threshold. For the 2025 tax year, this threshold is $93,454. For every dollar of income above this amount, your OAS pension is reduced by 15 cents, based on your previous year's net income. A significantly higher income could result in your OAS benefit being eliminated. Strategies to potentially reduce the clawback include deferring OAS payments until age 70 and strategic income management.
OAS vs. Canada Pension Plan (CPP): What’s the Difference?
OAS and CPP are distinct. OAS is funded by general tax revenues and based on residency, while CPP is a contributory plan based on earnings.
Comparison Table: OAS vs. CPP
| Feature | Old Age Security (OAS) Pension | Canada Pension Plan (CPP) Retirement Pension |
|---|---|---|
| Funding | General tax revenues | Employee and employer contributions |
| Eligibility | Residency-based; minimum 10 years in Canada after age 18 | Contribution-based; minimum one valid contribution |
| Income Test | Yes, subject to the OAS recovery tax (clawback) | No, not subject to income-based clawback |
| Age to start | Age 65, can be deferred up to age 70 | Standard age 65, can be started as early as 60 or as late as 70 |
| Benefit Amount | Up to $734.95 (65-74) or $808.45 (75+) per month (July-Sept 2025) | Max monthly $1,433.00 (2025), but average is lower based on contributions |
| Inflation Adjustment | Adjusted quarterly | Adjusted annually |
Other Related Benefits
Low-income seniors may be eligible for additional non-taxable benefits:
- Guaranteed Income Supplement (GIS): An extra monthly payment for low-income OAS recipients.
- Allowance: For low-income individuals aged 60-64 whose spouse receives OAS and GIS.
- Allowance for the Survivor: For low-income individuals aged 60-64 whose spouse has died.
Conclusion
A full OAS pension for July-September 2025 can provide up to $734.95 monthly for those 65-74 and $808.45 for those 75 and over. The amount received depends on age, residency, and income, with potential reduction due to the OAS clawback. Deferring OAS can increase monthly payments, and strategic income management may help mitigate the clawback. For specific eligibility and benefit amounts, consult the official Canada.ca website.
