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As Canada’s senior population continues to grow, the government is expanding support to ensure financial stability in retirement.
The $3,500 Old Age Security (OAS) payments refer to a combined monthly income from federal benefit programs like OAS, Guaranteed Income Supplement (GIS), Canada Pension Plan (CPP), and Survivor’s Allowance.
This guide explains everything you need to know about these payments, from eligibility criteria and application process to payment schedules and tips for maximizing your benefits.
What Is the $3,500 Old Age Security Payment?
The $3,500 OAS payment isn’t a single benefit but a cumulative figure made up of several income sources available to eligible seniors.
Depending on your age, marital status, income, and residency history, your combined monthly payments can total $3,500 or more.
Breakdown of Total Monthly Benefits (2025 Estimates)
| Benefit | Monthly Amount |
|---|---|
| Old Age Security (OAS) | Up to $800.44 for seniors aged 75+ |
| Guaranteed Income Supplement (GIS) | Varies, up to $1,000+ depending on income & marital status |
| Canada Pension Plan (CPP) | Up to $1,433 based on contributions |
| Allowance | Up to $1,381.90 for low-income spouses (age 60–64) |
| Allowance for the Survivor | Up to $1,647.34 for widowed individuals (age 60–64) |
Note: These benefits are non-taxable (GIS and Allowance) or partially taxable (OAS and CPP), depending on your income level.
Key Benefits Explained
1. Old Age Security (OAS) Pension
The OAS pension provides a monthly payment to Canadian residents 65 years and older. To qualify for the maximum amount, you must have lived in Canada for 40 years after turning 18. A minimum 10-year residency is required to be eligible at all.
- Maximum monthly benefit (75+ years): $800.44
- Adjusted quarterly for inflation
2. Guaranteed Income Supplement (GIS)
This non-taxable benefit is meant for low-income seniors receiving the OAS pension. The amount varies based on income and marital status.
- Adds $500 to over $1,000 to monthly income
- Assessed automatically when applying for OAS
3. Canada Pension Plan (CPP)
The CPP provides a monthly retirement pension based on contributions made during your working years.
- Maximum benefit (2025): $1,433
- Most recipients receive less, based on their contribution history
4. Allowance & Survivor’s Allowance
These programs provide additional support to low-income seniors aged 60–64:
- Allowance: For individuals whose spouse receives OAS and GIS
- Allowance for the Survivor: For widowed seniors
- Monthly payments range from $1,381.90 to $1,647.34
Who Qualifies for the $3,500 Monthly Payment?
To receive the full range of benefits, you must meet specific eligibility requirements:
OAS Eligibility
- Age: 65 or older
- Residency: Minimum 10 years in Canada after age 18 for basic eligibility; 40 years for full pension
GIS Eligibility
- Must be 65+ and receiving OAS
- Annual income must fall below a certain threshold
- Must file taxes yearly to be considered
CPP Eligibility
- Must have worked and contributed to the CPP
- Amount depends on years worked and total contributions
Allowance / Survivor Eligibility
- Age: 60–64
- Must be a low-income spouse or widow(er)
- Must meet residency and income requirements
OAS Payment Schedule – When to Expect Your Money
OAS and related payments are made on the last business day of every month.
Example:
May 2025 payments will be made on May 28, 2025.
To avoid any delays, ensure your contact and banking information with Service Canada is accurate and up to date.
How to Apply for OAS, GIS, CPP, and Allowances
1. OAS Pension
- Automatic enrollment for most seniors at age 65
- Apply online through My Service Canada Account if not automatically enrolled
2. Guaranteed Income Supplement
- Assessed automatically with your OAS application
- Filing taxes annually is necessary to remain eligible
3. Canada Pension Plan
- Apply online or in person through a Service Canada office
4. Allowance & Survivor’s Allowance
- Apply through Service Canada
- Available for those aged 60–64 meeting specific conditions
Tips to Maximize Your $3,500 Monthly Benefit
- Delay OAS until age 70: Increases your monthly payment by 0.6% for each month delayed
- File taxes every year: Even with low income, this ensures continued access to GIS and other benefits
- Supplement with RRSPs or TFSAs: Diversify income sources to boost your overall retirement income
The $3,500 Old Age Security payment isn’t a myth—it’s a real possibility when you combine available government programs. From OAS and GIS to CPP and Allowance, these benefits form the financial foundation for millions of Canadian seniors.
Understanding how to qualify, apply, and maximize your entitlements ensures that you can age with dignity and stability. Plan ahead, stay informed, and take full advantage of every benefit you’re eligible for.
FAQs
Can I receive both OAS and CPP at the same time?
Yes, most Canadian seniors receive both. The OAS is a non-contributory benefit, while CPP depends on your work and contributions.
Is the $3,500 payment taxable?
Portions like OAS and CPP are taxable, while GIS and Allowances are non-taxable.
What if I haven’t lived in Canada for 40 years?
You’ll receive a partial OAS based on the number of years you’ve lived in Canada after age 18 (minimum 10 years required).