Hey Hustlers!
If you’re nearing retirement or already enjoying it, there’s big news on the horizon for your monthly CPP and OAS benefits. In 2025, the Government of Canada has rolled out new updates to the Canada Pension Plan (CPP) and Old Age Security (OAS)—and they could mean more money in your pocket.
With inflation still a concern, rising food and housing costs, and growing healthcare expenses, these increases are designed to offer better support to seniors. Let’s break down exactly what’s changing and how you can take full advantage of it.
✨ KEY TAKEAWAY BOX
- CPP benefits up by 2.6% in 2025 to keep up with inflation
- OAS payments increased to $734.95 (ages 65–74) and $808.45 (ages 75+)
- OAS clawback threshold now starts at $93,454
- CPP Enhancement fully rolled out for bigger future payouts
- Delaying CPP & OAS can boost monthly income by up to 42% and 36%
What Are CPP and OAS?
What is CPP?
The Canada Pension Plan (CPP) provides monthly payments to Canadians who worked and contributed during their career. It helps support you when you retire, become disabled, or if your spouse passes away.
What is OAS?
Old Age Security (OAS) is a monthly benefit funded by the government for people aged 65 or older, based mainly on residency in Canada. Unlike CPP, you don’t need to have worked to qualify.
CPP & OAS Monthly Payments for 2025
Here’s a look at the updated monthly amounts you could receive this year:
CPP Monthly Benefits
| Type | 2025 Monthly Maximum |
| Retirement (age 65) | $1,433 |
| Post-retirement | Varies |
| Survivor (under age 65) | $717.15 |
| Survivor (age 65+) | $799.99 |
| Disability | $1,606.78 |
OAS Monthly Benefits
| Age Group | 2025 Monthly Payment |
| 65–74 | $734.95 |
| 75+ | $808.45 |
These rates are indexed to inflation and updated quarterly by the federal government. Always check the official OAS page for current rates.
What Is the OAS Clawback in 2025?
The OAS Recovery Tax (aka “clawback”) reduces your benefit if your income exceeds a set threshold.
New for 2025:
- Starts at $93,454 in net income
- For every dollar above that, $0.15 is clawed back
- OAS is fully clawed back at around $151,668 (ages 65–74) or $157,490 (75+)
Smart Hustler Tips:
- Use income splitting with your spouse
- Withdraw from RRSPs strategically
- Use a TFSA to grow your savings tax-free
CPP Enhancement: Fully Active in 2025
The CPP Enhancement Program, which started in 2019, is fully implemented this year. Workers who contributed more over the years can now receive significantly higher benefits.
Example:
If you earned $60,000/year:
- Before enhancement: ~$15,000 CPP annually
- After enhancement: Up to $20,000/year
This means stronger financial support during retirement.
Should You Delay CPP & OAS?
Yes—if you can afford to wait, delaying these benefits boosts your monthly income.
Delayed Benefit Increases:
| Benefit | Growth per Month | Max Bonus (age 70) |
| CPP | 0.7% | +42% |
| OAS | 0.6% | +36% |
Example:
- CPP: $1,000 at 65 becomes ~$1,420/month at 70
- OAS: $734 at 65 becomes ~$998/month at 70
How You Get Paid
- Direct deposit is the fastest and safest option
- Check and manage payments via CRA MyAccount or My Service Canada Account
For instructions, visit canada.ca.
FAQs
1. What is the maximum CPP payment in 2025?
Up to $1,433/month for new retirees at age 65.
2. What is the maximum OAS payment for those 75 and over?
Up to $808.45/month in 2025.
3. When does the OAS clawback begin in 2025?
Starts at $93,454 in net world income.
4. Is the CPP Enhancement automatic?
Yes, it’s built into your contributions and benefits.
5. How do I delay my CPP or OAS?
Apply through Service Canada and select your desired start date.
6. Is GIS enrollment automatic in 2025?
Yes, eligible seniors are automatically enrolled in GIS.
7. Can I still work while getting CPP or OAS?
Yes, and your benefits may increase if you contribute post-retirement.
For more retirement planning tips, visit HustleHub.ca and check out our guides on TFSA strategies and GIS eligibility.
Want to see exactly how much you’ll get? Use the government’s Old Age Security calculator to estimate your OAS.
Stay smart, stay ready, and keep hustling!
— The HustleHub Team
