The talk of a $770 OAS pension boost in July 2025 has been making waves online. Many seniors are wondering whether this increase is real or just social media hype. The truth is that no official statement from the Canadian government confirms any one-time $770 increase. The OAS program follows a system of quarterly adjustments based on inflation, not surprise lump-sum raises. Therefore, claims of a flat $770 rise are not supported by any credible government source.

Expected OAS Rates

For July 2025, the expected OAS pension payments are likely to remain close to their current levels. Seniors aged between 65 and 74 receive $727.67 per month, while those aged 75 and above receive $800.44. These amounts may increase slightly depending on the Consumer Price Index (CPI) data from April 2025. However, any increase would be modest and not near the rumored $770 hike.

What OAS Really Is

Old Age Security (OAS) is a monthly government pension available to seniors who are at least 65 years old. Unlike CPP, you do not need to work or make contributions to qualify. Funded by general tax revenue, OAS is available to eligible Canadian citizens and permanent residents. It serves as a base retirement income and is often paired with other federal and provincial benefits.

Eligibility for OAS

To be eligible, applicants must be 65 or older and must have lived in Canada for at least 10 years after the age of 18. Those who have resided in Canada for 40 years or more after turning 18 are entitled to the full pension amount. Canadian citizenship or permanent residency status is also required. Individuals living abroad must have lived in Canada for at least 20 years to continue receiving benefits.

OAS Payment Dates

The Canada Revenue Agency issues OAS payments on the third-last business day of each month. For July 2025, the payment date is July 29. Seniors receiving direct deposit will see the funds reflected in their bank accounts that day. Others who receive cheques may face a slight delay. Future payments for 2025 will follow the same pattern, with dates set for August 27, September 25, and October 29.

Other Support Programs

Seniors with low income may qualify for the Guaranteed Income Supplement (GIS), which adds up to $1,086.88 for single recipients. Additionally, there is the Allowance for spouses aged 60–64 whose partner receives OAS, and the Allowance for the Survivor for low-income widows and widowers. Some provinces also offer rent rebates, energy support, and drug cost reductions for seniors.

Tax and Recovery Rules

OAS benefits are fully taxable, and high-income earners may face a clawback. If your annual income in 2025 exceeds $90,997, a portion of your OAS will be recovered through a special tax. This clawback increases with income and fully phases out the benefit around $148,000. It’s important to manage your taxable income carefully to retain maximum OAS benefits.

Avoiding Clawbacks

One way to reduce your clawback risk is to use a Tax-Free Savings Account (TFSA), as withdrawals do not count as taxable income. Another strategy is to split pension income with your spouse to lower the combined tax burden. You can also defer your OAS for up to five years, increasing your monthly benefit by 0.6% for each month delayed, up to a 36% boost at age 70.

How to Apply

Most people are auto-enrolled at age 65, but if you haven’t received a notice, you can apply online via your My Service Canada Account. Applications can also be submitted by mail or in person at a Service Canada location. It’s best to apply six months before you turn 65 to avoid any payment delays. Ensure your details are accurate and up to date in the system.

Planning Retirement

Besides OAS, planning your retirement requires a combination of tools. CPP, TFSA, and RRSPs all provide avenues for regular income. Use the Canada Retirement Income Calculator to estimate future earnings. Create a realistic monthly budget based on projected expenses. Planning early helps ensure you don’t rely solely on government support in later years.

Disclaimer: This article is for informational purposes only and should not be considered financial or legal advice. All figures and policies are based on public data available as of June 2025 and are subject to change by the Canadian government. For personalized advice, consult a certified financial advisor or visit official CRA and Service Canada resources.