Beginning in July 2025, eligible Canadian seniors will receive a substantial increase of up to $1,395 in their Guaranteed Income Supplement (GIS) payments. This boost is a direct effort by the federal government to help low-income older adults better manage the rising cost of living, inflation, and essential needs. The GIS is an income-tested benefit provided to seniors who already receive the Old Age Security (OAS) pension and have little to no additional income. The new increase will significantly improve monthly financial support for thousands of seniors across the country.
What Is the GIS and Why Is It Being Increased?
The Guaranteed Income Supplement (GIS) is a monthly, non-taxable payment given to low-income seniors in addition to the OAS pension. It is designed to help retirees who do not have enough income from other sources like CPP (Canada Pension Plan), RRSPs, or personal savings. The increase of up to $1,395 is a response to economic pressures faced by older Canadians and aims to reduce senior poverty by giving more purchasing power to those most in need.
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Who Is Eligible for the $1,395 GIS Increase?
To receive the increased amount, you must meet specific eligibility criteria. You must be:
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Aged 65 or older
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A legal resident of Canada
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Currently receiving the OAS pension
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Earning annual income below the government-set threshold
Income limits vary based on marital status. For example, single seniors typically qualify if their annual income is under approximately $21,624 (exact thresholds may change with inflation). Couples have slightly different combined income limits. Those with the lowest income levels will receive the full $1,395, while others may receive a partial amount.
How and When Will the Payments Be Made?
The increased GIS payment will begin automatically in July 2025. This aligns with the government’s usual schedule for GIS and OAS payments, which are issued monthly. Seniors who are already enrolled and qualify based on their latest income tax return do not need to apply separately. Service Canada will automatically assess eligibility and deposit the adjusted payment into recipients’ bank accounts or issue a cheque.
What Should You Do If You’re Not Receiving GIS Yet?
If you believe you may be eligible for GIS but have not yet applied, now is the time to check. You can apply online through the Service Canada website, by mail, or in person at a Service Canada Centre. Make sure your income information is up to date, as eligibility is based primarily on your reported income from the previous year. You may also call Service Canada to confirm if you qualify and get help with the application process.
How Much Will Each Person Receive?
The amount you receive from the GIS increase will depend on your income level and marital status. The maximum increase is $1,395, but not everyone will qualify for the full amount. Single seniors with no additional income will see the largest boost, while couples or those with some retirement income may receive a lower increase or none at all. The government uses a sliding scale based on your income to determine how much GIS you’ll receive.
Frequently Asked Questions (FAQs)
1. Do I need to apply to receive the $1,395 GIS increase?
No. If you are already receiving GIS and meet the income requirements, the increase will be applied automatically starting in July 2025.
2. When will I receive the increased GIS amount?
Payments begin in July 2025 and follow the regular monthly schedule.
3. How do I know if I’m eligible for GIS?
You must be 65 or older, receive the OAS pension, and have an income below a certain threshold. You can use the online eligibility calculator on Service Canada’s website to check.
4. What if my income changes during the year?
GIS amounts can change annually based on your income tax return. If your income drops significantly mid-year, you can apply for a reassessment based on your current situation.
5. Can non-citizens or recent immigrants get GIS?
You must have lived in Canada for at least 10 years after turning 18 to qualify. Permanent residents and citizens with the required residency period can apply.
6. Will the GIS increase affect my taxes?
No, the GIS is a non-taxable benefit, meaning it won’t increase your taxable income or affect your tax return.
If you need help confirming your eligibility or applying, contact Service Canada or visit their official website for step-by-step instructions. This new GIS increase offers much-needed relief for seniors facing financial strain, ensuring a more secure and dignified retirement.
