The Employment and Social Development Canada (ESDC) announces new maximum benefit amount for 2025 Canada Pension Plan (CPP), Old Age Security (OAS), and Guaranteed Income Supplement (GIS). All the beneficiaries who want to know the OAS, CPP, GIS payment increases for 2025 they are at right place. Read how much will CPP and OAS Increase in 2025 and check OAS, CPP, GIS Maximum Amount for 2025 year from below.
OAS, CPP, GIS Payment Increases for 2025
Are you a Pension Beneficiary in Canada? or Contributor in Canada Pension Plans (CPP). Then must read information for you is available here. As per media reports, the OAS, CPP, GIS Payment Benefits in 2025 will have certain change. The Canada Pension Plans (CPP) supports Canadians with a variety of pensions schemes. For 2025, there is increase in payment of OAS, CPP, GIS. Check the table below to know how much you could receive or maximum monthly amounts for OAS, CPP, & GIS from January 2025 to March 2025.
| Amount in October 2024 | Maximum Amount (2025) |
| Retirement Pension (Age 65) | |
| $808.14 | $1,433.00 |
| Post-Retirement Benefit (Age 65) | |
| $16.01 | $47.82 |
| Disability Benefit | |
| $1,538.67 | $1,673.24 |
| Post-Retirement Disability Benefit | |
| $583.32 | $598.49 |
| Survivor’s Pension Younger than 65 | |
| $527.91 | $770.88 |
| Survivor’s Pension 65 and older | |
| $325.64 | $859.80 |
| Children of Disabled/Deceased Contributor Under Age 18 | |
| $294.12 | $301.77 |
| Full-Time Student | |
| $294.12 | $301.77 |
| Part-Time Student | |
| $150.89 | |
| Death Benefit (One-Time Payment) | |
| $2,499.54 | $1,449.53 |
| Combined Survivor’s Pension and Disability Benefit | |
| $1,293.81 | $1,683.57 |
Note – The death benefit is a one-time payment, not a monthly allowance, and provides support to the estate of a contributor who passes away before receiving a retirement or disability pension, provided they have no surviving dependents.
CPP Payment Increases for 2025
In 2025, the Canada Pension Plan (CPP) will undergo significant changes, particularly aims at increasing retirement benefits for higher earners. The maximum pensionable earnings will rise to $79,400, up from $69,700, which will see higher earners contributing more to the system. This change aligns with a broader enhancement initiative that will gradually boost CPP benefits by 33.33% of the average lifetime earnings, replacing a greater portion of an individual’s income. This will increase the CPP replacement rate from 25% to 33.33% by 2025.
With an additional component covering earnings above the original maximum pensionable earnings, up to a new limit of $81,200 in 2025. For employees, the contribution rate on earnings within the new range will be 4.0%, with employers matching this contribution. Self-employed individuals will pay both the employee and employer portions, resulting in a total contribution of 11.9% for earnings within the original limit and 8.0% for the new earnings range. These adjustments will ultimately lead to a larger CPP benefit upon retirement, offering more financial security for those who contribute more throughout their careers.
OAS Payment Increases for 2025
The Old Age Security (OAS) program provides a monthly pension to Canadians aged 65 and older, funded entirely by the government, not through personal contributions. Unlike the Canada Pension Plan (CPP), the OAS is based on residency rather than employment history, ensuring a stable income for seniors. For 2025, the OAS payments is adjusted for inflation every quarter to reflect the Consumer Price Index (CPI), with January to March 2025 rates outlined below.
For Ages 65 to 74 – the maximum monthly payment is $727.67 and must have an annual net world income of less than $148,451 in 2024.
For Ages 75 and Over – the maximum monthly payment is $800.44 (includes a 10% increase). To access this income one must have an annual net world income of less than $154,196 in 2024.
Important Note – These payments are taxable and subject to a clawback if your income exceeds the threshold of $86,912 in 2025. The amount of the recovery tax will reduce your OAS benefit if your income surpasses this limit.
GIS Payment Increases for 2025
The Guaranteed Income Supplement (GIS) provides crucial financial support to low-income seniors. For 2025, the GIS payment amounts are based on your income and marital status. Here’s a breakdown of the GIS payment rates for January to March 2025.
For Single, Divorced, or Widowed Individuals – If your annual income is less than $22,056 than maximum GIS Payment is upto $1,086.88 per month.
For Seniors with a Spouse or Common-Law Partner Receiving Full OAS – If your combined annual income is less than $29,136 than maximum GIS Payment is up to $654.23 per month.
For Seniors with a Spouse or Common-Law Partner Receiving the Allowance – If your combined annual income is less than $40,800 than maximum GIS Payment is up to $654.23 per month.
For Seniors with a Spouse or Common-Law Partner Not Receiving OAS or Allowance – If your combined annual income is less than $52,848 than your maximum GIS payment is up to $1,086.88/month.
Important Details
The GIS payment is adjusted quarterly, reflecting the cost of living based on the Consumer Price Index. However, your payment will never decrease if the cost of living goes down. To receive your payment, you can choose between a cheque or direct deposit. If you prefer direct deposit, you must sign up for this option. The Guaranteed Income Supplement (GIS) is reviewed four times a year which are in January, April, July, and October. These reviews ensure that payment amounts stay aligned with the rising cost of living.
For more details related to payment Increases visit to official link of Canada Government website.