Starting July 2025, millions of Canadian retirees will see a boost in their monthly income through automatic cost-of-living adjustments to Canada Pension Plan (CPP) and Old Age Security (OAS) payments. The Guaranteed Income Supplement (GIS) is also rising, offering even more support to low-income seniors.
With the maximum CPP retirement pension increasing to $1,433/month, and OAS payments rising by 1.0%, seniors are set to benefit from higher, inflation-responsive incomes in the second half of 2025.
Why Are CPP and OAS Payments Increasing?
The mid-year increases are driven by a combination of planned program enhancements and quarterly inflation adjustments tied to the Consumer Price Index (CPI).
CPP Enhancement Fully Phased In
As of 2025, the CPP enhancement program has been fully phased in, increasing the income replacement rate from 25% to 33.33% for those with a full contribution history.
- The maximum CPP retirement pension now reaches $1,433/month.
- CPP contributions have expanded to cover higher earnings, with a two-tiered structure that increases pensionable earnings limits.
OAS and GIS Linked to CPI
Old Age Security (OAS) benefits are indexed quarterly. For July to September 2025, a 1.0% increase has been confirmed.
- This reflects a 2.3% annual increase in line with CPI data.
- GIS payments, which are tied to OAS, also rise, offering further support to those with limited income.
Updated OAS and GIS Payment Rates (July 2025)
The updated OAS payments for July 2025 depend on your age group:
| Age Group | Monthly OAS Payment |
|---|---|
| 65 to 74 years | $734.95 |
| 75 years and older | $808.45 |
For GIS, which is available to low-income seniors, the new maximum for single recipients is:
- $1,097.75/month
These new rates are applied automatically and do not require any action by recipients.
Who Benefits from the CPP, OAS, and GIS Increases?
Canada Pension Plan (CPP)
To receive the maximum CPP amount, individuals must have:
- Made maximum contributions consistently
- Contributed for at least 39–40 years post-2019 under the enhancement rules
Most Canadians, however, receive an average CPP payment of around $900/month, depending on their personal contribution history.
Old Age Security (OAS)
All Canadians aged 65 or older who have lived in Canada for at least 10 years after age 18 qualify for partial OAS. To receive the full benefit, you must have 40 years of Canadian residency after turning 18.
Guaranteed Income Supplement (GIS)
Seniors with little or no additional income beyond OAS can receive the GIS top-up, now up to $1,097.75/month for single recipients. Couples may receive lower individual amounts but higher combined benefits.
Combined Monthly Benefits: How Much Can You Receive?
Eligible seniors may now receive a total monthly income from federal programs that exceeds $2,400/month, depending on their age, income, and eligibility.
| Benefit Type | Estimated Monthly Amount (Max) |
|---|---|
| CPP Retirement Pension | $1,433 |
| OAS (75+) | $808.45 |
| GIS (Single) | $1,097.75 |
| Total (CPP + OAS + GIS) | $2,241–$2,403 |
These figures represent the maximum available. Most retirees will receive lower amounts based on their contribution history and income status.
Payment Dates for CPP, OAS, and GIS (July to December 2025)
The Government of Canada continues to follow a monthly payment schedule, with deposits typically made near the end of each month.
यह भी पढ़े:
$1238 CRA Payment Hits Bank Accounts, Are You Eligible for the July 2025 Canada Workers Benefit?
| Month | CPP Payment Date | OAS + GIS Payment Date |
|---|---|---|
| July | July 29, 2025 | July 27, 2025 |
| August | August 27, 2025 | August 27, 2025 |
| September | September 25, 2025 | September 25, 2025 |
| October | October 29, 2025 | October 29, 2025 |
| November | November 26, 2025 | November 26, 2025 |
| December | December 22, 2025 | December 22, 2025 |
All benefits are automatically deposited into linked bank accounts for enrolled seniors.
Do You Need to Apply for These Increases?
No. All increases are applied automatically for eligible recipients of CPP, OAS, and GIS. There is no need to reapply or fill out any new forms.
However, it is strongly recommended that seniors:
- Check their direct deposit details in their My Service Canada Account
- Verify updated payment amounts in their bank statements or online portal
- Contact Service Canada at 1‑800‑277‑9914 if there are issues with payment delivery
How to Make Sure You Receive the Correct Amount
To ensure you get the full amount you’re entitled to, do the following:
- Keep your Service Canada account information up to date
- File your annual taxes, even if your income is low
- Ensure your residency status and other eligibility factors are clearly documented
- Apply for GIS if your income is below the annual thresholds
Why These Adjustments Matter
With inflation, housing costs, and healthcare expenses rising, these mid-year federal benefit increases provide timely relief for millions of older Canadians. They help ensure that seniors can:
- Maintain their standard of living
- Cover essential expenses like housing, medication, and food
- Reduce financial anxiety in retirement
This update also highlights Canada’s ongoing commitment to supporting its aging population through predictable, indexed income.
FAQs
Q1. Do I need to apply for the CPP, OAS, or GIS increases?
No. All increases are automatic for current recipients.
Q2. I don’t receive the maximum CPP. How much will I get?
Most retirees receive around $900/month, depending on how much and how long they contributed to the plan.
Q3. Does GIS increase along with OAS?
Yes. The GIS is tied to OAS rates and is adjusted automatically with CPI changes. Single low-income seniors now receive up to $1,097.75/month.
