TORONTO, June 26, 2026 – The federal government has confirmed that benefits under the Old Age Security program will increase by 1.2 per cent beginning in July, with the new rates applying from July to September 2026. Residents receiving Old Age Security, the Guaranteed Income Supplement, the Allowance or the Allowance for the Survivor should note that July payments will also be recalculated based on age, years of residence in Canada, marital status and 2025 income. As a result, some recipients may see their actual payments increase, decrease or be suspended.
The federal government said the adjustment is based on the Consumer Price Index. Old Age Security benefit amounts are reviewed four times a year, in January, April, July and October. When the cost of living rises, benefit amounts increase accordingly. If the Consumer Price Index falls, however, benefit rates are not reduced.
From April to June 2026, the maximum monthly Old Age Security payment was $743.05 for people aged 65 to 74 and $817.36 for those aged 75 and older. Based on a 1.2 per cent increase, the estimated maximum monthly amounts from July to September will rise to approximately $751.97 and $827.17 respectively. Final amounts will depend on the individual payment notice issued by Service Canada.
Recipients aged 75 and older receive a higher amount because the federal government permanently increased Old Age Security payments for this age group by 10 per cent. Once a recipient turns 75, the increase is generally added automatically without requiring a new application.
People who are already receiving Old Age Security do not need to reapply for the quarterly adjustment. The new amount will be automatically included in eligible payments. Recipients can check their payment history and personal benefit amount through My Service Canada Account.
However, not everyone qualifies for the maximum amount. Old Age Security payments depend partly on how long an applicant has lived in Canada. In general, a person may qualify for a full pension after living in Canada for 40 years after turning 18. Those who have lived in Canada for at least 10 years but fewer than 40 years usually receive a partial pension.
The Guaranteed Income Supplement, the Allowance and the Allowance for the Survivor will also be adjusted in July. However, these income-tested benefits will also be recalculated using the previous year’s income. Employment income, pension income and changes in marital status may all affect eligibility and payment amounts for the new benefit year.
Guaranteed Income Supplement recipients should file their income tax returns on time, even if they had no income during the year. The government mainly uses tax information to verify income and benefit eligibility. If the required information is unavailable, related benefits may be suspended after July.
Recipients whose income has fallen significantly after retirement can contact Service Canada to ask whether the Guaranteed Income Supplement may be reassessed using estimated current-year income instead of relying entirely on the previous year’s income.
Higher-income seniors should also be aware of the Old Age Security recovery tax. The recovery period from July 2026 to June 2027 is based on 2025 income. Individuals with net world income above $93,454 may need to repay part of their Old Age Security benefits.
The recovery amount is generally calculated at 15 per cent of income above the threshold and may be deducted in advance from future monthly Old Age Security payments. At higher income levels, the full annual Old Age Security amount may be recovered.
Government payment dates show that Old Age Security benefits for July through September 2026 will be issued on July 29, August 27 and September 25. Recipients using direct deposit will generally receive the payment on the scheduled date, while mailed cheques may take longer to arrive.
Recipients who find that their July payment differs significantly from what they expected should review the recalculation notice issued by Service Canada and confirm that the income, marital status, years of residence and banking information used by the government are correct.
The 1.2 per cent increase is a quarterly cost-of-living adjustment, not a one-time additional payment. The amount each recipient receives will still depend on age, the existing benefit amount, years of residence in Canada, individual or household income, and whether the Old Age Security recovery tax applies.（LJI by Yuanyuan）
