Human Resources and Social Development Canada

Human Resources and Social Development Canada

March 07, 2008 14:00 ET

Human Resources and Social Development Canada: Old Age Security Benefit Rates Effective April 1, 2008

OTTAWA, ONTARIO--(Marketwire - March 7, 2008) - Human Resources and Social Development Canada today announced the latest benefit rates for Old Age Security (OAS).

As of April 1, 2008, the basic OAS pension, paid to people 65 years of age and over, will remain unchanged at $502.31 per month. There has been no increase over the previous quarter, although over the past four quarters the OAS benefits rates have increased by 2.1%. OAS benefits are adjusted quarterly (in January, April, July and October) to reflect any increases in the cost of living as measured by the Consumer Price Index. If there is no increase in the cost of living, benefit rates stay at the same level.

OAS includes the Guaranteed Income Supplement (GIS) and the Allowance; these payments will also remain unchanged. The GIS and the Allowance provide additional benefits to eligible low-income pensioners and their spouses or common-law partners, as well as to eligible survivors.

Both OAS and the Canada Pension Plan enhance the quality of life of Canadian seniors by providing a modest base upon which to build additional income for retirement.

OAS is funded through general tax revenues and provides a basic minimum income for Canadian seniors. It provided 4.4 million seniors with approximately $30 billion in 2006-2007.

The Canada Pension Plan (or the Quebec Pension Plan, in Quebec) is funded through contributions by Canadian workers, their employers and the self-employed, and through investment earnings on the Plan's funds. In addition to retirement benefits, the Plan provides disability benefits, death benefits, survivor benefits, and benefits for children.



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BACKGROUNDER
Maximum Old Age Security benefit rates as of
April 1, 2008
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Maximum monthly
Type of Old Age benefit rates Previous quarter
Security benefit April - June 2008 January - March 2008
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Basic Old Age Security pension $502.31 $502.31
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Guaranteed Income Supplement

Single $634.02 $634.02

Spouse/Common-law partner of

- a non-pensioner $634.02 $634.02

- a pensioner $418.69 $418.69

- an Allowance recipient $418.69 $418.69

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The Allowance

- regular $921.00 $921.00

- survivor $1,020.91 $1,020.91

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This news release is available in alternative formats upon request.

Contact Information

  • Human Resources and Social Development Canada
    Media Relations Office
    819-994-5559
    or
    Minister's Office
    Director of Communications
    819-994-2482