Are you wondering what the OAS payment dates are for 2023? This article is intended to clarify any doubts you may have.
The Old Age Security program (OAS) is one of the most important sources of income for retired Canadians. It provides a significant portion of their retirement income, and it is essential to know when you will start receiving it.
OAS was introduced in 1952. It is a monthly payment that people who are 65 years old or older receive from the government, and it can be received as early as age 60 if you qualify.
What is OAS Payment?
The OAS pension system is Canada’s public pension plan. This plan promises financial assistance to Canadians who are aged 65 or over. It also offers benefits to certain individuals who are aged 60-64 with a considerable amount of residency in Canada.
OAS payment is a monthly payment that is made by the government of Canada. The monthly payment varies depending on the individual’s income level and how much they have received from working in Canada. The OAS pension program is funded by Canadian taxpayers and managed by Employment and Social Development Canada (ESDC).
What is an OAS Payment Date, and Why is it Important?
The OAS Payment Date is the day on which one’s old age security payments will start. It is important to know one’s OAS payment date because it can affect one’s retirement income and tax filing. In most cases, both CPP and OAS payment dates fall on the same dates. Let’s see how it goes this time around.
2023 OAS Payment Dates
OAS payments are made on a monthly basis, either by cheque or bank deposit.
OAS payments vary from one month to the next, but they usually arrive three days before the month’s last business day.
To guarantee that OAS recipients have enough money to buy gifts for their loved ones throughout the holidays. The Canada Review Agency is in charge of making OAS payments, which are normally made before the 25th of the month.
Moreover, programs like the Canada Pension Plan (CPP), disability (CPP-Disability), and children’s and survivor benefits are paid on the same day as the Old Age Security (OAS).
The OAS and CPP payment dates for 2023 are compared as follows:
|2023 OAS Payment Dates||2023 CPP Payment Dates|
|27th of January, 2023||27th of January, 2023|
|24th of February, 2023||24th of February, 2023|
| 29th of March, 2023||29th of March, 2023|
|28th of April, 2023||28th of April, 2023|
| 26th of May, 2023||26th of May, 2023|
|28th of June, 2023||28th of June, 2023|
| 28th of July, 2023||28th of July, 2023|
|27th of August, 2023||27th of August, 2023|
| 28th of September, 2023||28th of September, 2023|
|27th of October, 2023||27th of October, 2023|
|26th of November, 2023||26th of November, 2023|
|22nd of December, 2023||22nd of December, 2023|
The OAS pension system has two components, the Old Age Security (OAS) Pension and the Guaranteed Income Supplement (GIS), which together make up the basic benefit. The Old Age Security (OAS) Pension is an income-tested, contributory pension for Canadian residents aged 65 years or over; the Guaranteed Income Supplement (GIS) is an income-tested supplement for low-income seniors living in Canada who have little.
How Does the OAS Pension System Work?
OAS pension plan is available to all Canadians above the age of 65. The OAS pension plan is financed by the Canadian government and does not require contributions from individuals.
The OAS pension provides a basic level of income for retirement, but it may not be enough to provide for your basic needs.
The OAS pension system has some disadvantages, including the following:
- It does not include any provision for disability or survivor benefits;
- It does not provide any income in the event of premature death;
- It may be difficult to know how much you will receive when you retire because your benefits are based on your average earnings, but they can change year after year depending on your wage levels.
Conclusion: What to Expect When the New OAS Payment Dates Come Into Effect
It is expected that the new OAS payment dates will come into effect by January 1, 2023.
As Canada’s population continues to grow, so does its aging population. This is contributing to an increasing strain on taxpayers as more people retire, and have a higher tax burden.
The federal government is proposing a two-year phase-in period for these changes with a gradual increase in eligibility for individuals born between April 1957 and January 1958.
The OAS date is the date on which Canadians can start collecting their old-age security payments. The new OAS date will be gradually phased in and come into effect on January 1, 2023.
Starting from January 1, 2022, the new OAS date applies to
– all Canadians born on or after January 1, 1952; and
– all immigrants who arrived in Canada at age 18 or over and had been living in Canada for at least 10 years (continuous residence) by July 1, 2012.
Previously, the OAS begins to be paid out at the age of 65 for those who were born before December 31st, 1956 and had resided in Canada for a minimum of 40 years since turning 18 (10 years of residency combined with 30 years of Canadian residence).