How Much is OAS in Canada? 2026 Rates, Eligibility & Tips

If you’re mapping out your retirement income in Canada, Old Age Security (OAS) is often the first number you check. The good news: 2026 rates have climbed again, with maximum monthly payments reaching $743.05 for ages 65 to 74 and $817.36 for those 75 and over, according to the Government of Canada’s official payment schedule.

Maximum OAS (age 65 to 74): up to $743.05 per month (April to June 2026) ·
Maximum OAS (age 75 and over): up to $817.36 per month ·
Income threshold for clawback (age 65-74): $148,451 annual net income ·
Income threshold for clawback (age 75+): $154,196 annual net income

Here are the essential OAS figures at a glance:

Three benefit categories, one trade-off: the higher your income, the more OAS you give back through the recovery tax. The clawback rate is 15% of net world income above the minimum threshold, eliminating the benefit completely at the maximum threshold of $152,062 (65-74) for the July 2026-June 2027 period, per the Government of Canada’s recovery tax page.

How much is full CPP at age 65?

The Canada Pension Plan (CPP) is a completely separate benefit. Unlike OAS, which is funded by taxes and based on residency, CPP depends on your lifetime contributions. The maximum monthly CPP at age 65 for 2025 is set by Service Canada and adjusted annually, but the exact amount you receive is personal. The key decision is not the number itself, but when to start collecting.

CPP early vs late

• Taking CPP at 60 reduces the benefit by 0.6% per month (36% total reduction) for each month before age 65 (Spring Financial – Canadian financial advisory).
• Delaying CPP past 65 increases the benefit by 0.7% per month (42% increase at age 70).
• The break-even age is typically around 77 to 79, meaning if you expect to live longer, delaying yields more lifetime income.

What this means: For someone in good health and with other retirement savings, deferring CPP can act as longevity insurance. For someone who needs income sooner, taking CPP early may be the practical choice — but you’ll lock in a lower base for life.

How much OAS will I get at 65?

OAS maximum payment amounts 2026

For the April to June 2026 quarter, the maximum monthly OAS is $743.05 for recipients aged 65 to 74. Seniors aged 75 and over receive a 10% top‑up: $817.36 per month, as confirmed by the Government of Canada’s OAS payments page. Annualized, that’s about $8,916.60 for the younger group and $9,808.32 for the older group.

OAS clawback thresholds

The recovery tax kicks in when your net world income (line 23600 of your tax return) exceeds a certain threshold. For the July 2026-June 2027 payment year (based on 2025 income), the minimum threshold for ages 65-74 is $93,454, and the benefit fully phases out at $152,062. For ages 75+, the minimum is $97,177 and the maximum is $154,196, according to the Government of Canada’s recovery tax guidance.

The implication: A one-dollar increase in income above the threshold costs you 15 cents in OAS. Smart planning — like splitting pension income with a spouse or contributing to an RRSP — can keep you below the threshold and preserve your full OAS.

How much will OAS and CPP be for 2026?

OAS increase for 2026

OAS rose by 2.1% from April 2025 to April 2026, driven by CPI. The April-June 2026 quarter saw a 0.1% increase from the previous quarter, per the Government of Canada’s payment schedule. Future quarterly adjustments will continue to track inflation.

CPP increase for 2026

CPP benefits also increase annually with the Consumer Price Index. While the exact 2026 CPP rate was not available in the official data, the trend mirrors OAS: both programs are indexed to inflation, ensuring benefits keep pace with the cost of living.

What this means: Seniors receiving both OAS and CPP will see their total income rise roughly in line with inflation. However, the OAS clawback can erode increases if your overall income pushes you above the threshold.

Can I receive OAS if I live outside of Canada?

Residency requirements

To qualify for OAS while living abroad, you need at least 20 years of residence in Canada after age 18. If you live in Canada, the requirement is 10 years. For the full pension, you need 40 years of residence; otherwise, the amount is prorated, as explained by Spring Financial.

Countries with OAS agreements

Canada has social security agreements with many countries that allow you to combine residence periods to qualify. However, if you live in a country with a 25% non-resident tax on Canadian pensions, the OAS recovery tax still applies, according to the Government of Canada’s recovery tax page. Non-residents must file a Canadian tax return to report world income.

The catch: Living abroad doesn’t free you from the clawback. Your worldwide income still counts toward the threshold.

Is it better to collect CPP at 60 or 65?

Early CPP vs late CPP

• CPP at 60: 36% permanent reduction from age 65 amount.
• CPP at 65: full amount (if started exactly at 65, no reduction).
• CPP at 70: 42% increase from age 65 amount.

The decision hinges on your health, life expectancy, and need for immediate income. If you have a family history of longevity and can afford to wait, delaying provides a higher inflation-protected income stream.

Financial impact

Consider a scenario: Starting CPP at 60 gives lower monthly payments but more total years of receipts. At the break‑even age (around 78), the cumulative income from starting at 60 catches up to starting at 65. Beyond that, delaying wins. For OAS, deferring past 65 also earns a 0.6% credit per month (7.2% per year) — but OAS deferral is less common than CPP deferral.

The trade-off: There is no single right age. The optimal choice depends on your retirement timeline, other income sources, and tax situation. A financial planner can model your personal break‑even.

OAS vs CPP: how they compare

Two pillars of retirement income, one clear distinction: OAS is a flat, residence‑based pension; CPP is earnings‑based and contribution‑driven.

The pattern: CPP offers higher maximums but requires decades of contributions. OAS provides a base that every qualifying senior receives, making it especially valuable for those with limited work history in Canada.

OAS spec table

Nine key specs, one critical takeaway: the clawback effectively means your OAS is not guaranteed at high incomes.

Why this matters: The quarterly indexing means your OAS amount changes four times a year. If you’re budget‑sensitive, check the rates each quarter to avoid surprises.

OAS timeline

Two key dates to mark on your calendar.

• April 2026 – OAS rates increase to new maximums: $743.05 (65-74) and $817.36 (75+).
• July 2026 – Next quarterly adjustment based on CPI. If inflation moderates, increases may be smaller.

Timeline signal: The OAS rate has risen 2.1% year over year from April 2025. If CPI stays around 2%, seniors can expect a similar increase in 2027.

What’s confirmed vs what’s unclear

Expert perspectives

“Old Age Security pension amounts – April to June 2026: age 65 to 74, maximum monthly $743.05; age 75 and over, maximum monthly $817.36.”

“Deferring OAS up to 5 years past 65 increases future payments and avoids clawback while working.”

Summary: what to do next

OAS is not a flat handout — it’s a flexible benefit you can shape with timing and income management. The 2026 increases are welcome, but the clawback remains a real drag for anyone with moderate to high retirement income. For Canadians approaching 65, the choice is clear: estimate your net income for the next few years, consider deferring OAS if you’ll keep working, and coordinate your CPP start date to maximize total lifetime income. For pre‑retirees, the implication is to prioritize RRSP contributions and pension splitting to stay under the clawback threshold. Planning ahead means more money in your pocket, not the government’s.

Frequently asked questions