OAS, CPP and senior benefits in 2026: what’s changing and who it affects

The headline change

OAS rises with inflation — and the 75+ boost

Who it affects: Everyone aged 65 and over receiving Old Age Security.

Old Age Security (OAS) is reviewed every quarter — January, April, July and October — and increased in line with the Consumer Price Index. Payments never go down even if prices fall. Seniors aged 75 and over also receive a permanent 10% higher OAS.

Because OAS is indexed quarterly, the amount can step up several times a year when inflation is rising. The exact figure depends on your age (65–74 vs 75+) and how long you have lived in Canada after age 18.

The amounts below are illustrative monthly maximums before any recovery tax. Your actual payment depends on your individual circumstances.

Illustrative figures only, shown before any OAS recovery tax. Confirm current amounts on Canada.ca. [1]

Often missed

The Guaranteed Income Supplement (GIS)

Who it affects: Lower-income seniors already receiving Old Age Security.

GIS is a monthly, non-taxable top-up for lower-income seniors who already receive OAS. Many people who qualify never receive it — most often because they did not file a tax return.

GIS is income-tested and recalculated every July based on your previous year’s income, so filing your taxes on time each year is what keeps it flowing. For many single seniors the maximum is worth well over a thousand dollars a month.

Qualifying for GIS can also open the door to other provincial and federal supports. The only way to know is to check your own eligibility with Service Canada.

Illustrative 2026 figures. Eligibility and amount depend on your income and circumstances. Check with Service Canada. [3]

The quiet squeeze

The OAS recovery tax (“clawback”)

Who it affects: Higher-income retirees whose net income is near or above the threshold.

If your net income is above a yearly threshold (around $90,997 for 2024, indexed upward), part or all of your OAS is recovered through the OAS recovery tax — often called the clawback.

The recovery tax is based on your net world income, not on OAS alone. As thresholds and incomes change, some retirees move in or out of the clawback from year to year. There are also tax credits for seniors, such as the age amount and the pension income amount.

This is information only — not tax advice. If you are unsure how the recovery tax or senior credits apply to you, check Canada.ca or speak to the Canada Revenue Agency or a tax professional.

Help with the cost of living

The GST/HST credit and other supports

Who it affects: Seniors and households on a low or modest income.

The GST/HST credit is a tax-free quarterly payment that helps people with low and modest incomes — including many seniors — offset the sales tax they pay. You do not apply; the CRA assesses it from your tax return.

Payments are issued quarterly (typically January, April, July and October) and the amount depends on your income and family situation. Filing a tax return every year is what makes sure you receive it automatically.

Provinces and territories also run their own senior and cost-of-living supports, which vary by where you live. Always check the current rules for your province.

Worth checking

Your CPP: when to start and checking your record

Who it affects: People approaching retirement, or deciding when to start their CPP.

The Canada Pension Plan (CPP) is based on your contributions over your working life. You can start it as early as 60 or as late as 70 — and the age you choose can change your monthly amount substantially.

Starting CPP before 65 reduces the monthly amount; delaying past 65 increases it. The ongoing CPP enhancement and the second earnings ceiling (CPP2) are also gradually raising future benefits for people still working.

You can see your CPP contributions and an estimate in your My Service Canada Account. Whether to take CPP early or late is personal — this page does not tell you what to do; use the official tools or a licensed advisor to weigh it up.