This week, the federal government is issuing a one-time, tax-free payment to seniors that are eligible for the Old Age Security (OAS) pension, the Guaranteed Income Supplement (GIS) or allowances.
Eligible seniors will receive the payment automatically without needing to apply, benefitting 6.7 million seniors that qualify for the OAS pension along with 2.2 million that are also eligible for the GIS. Seniors residing in Canada can expect the payment, which was first announced by Prime Minister Justin Trudeau back in May, by direct deposit or cheque some time this week. For seniors living outside of Canada, those on direct deposit should receive the payment in July, but seniors receiving the payment by cheque are likely to experience delays due to “international postal disruptions,” according to a statement from the government.
Those that qualify for the OAS pension will receive $300, while GIS-eligible seniors will receive an additional $200 for a total of $500. Allowance recipients will also receive $500 as part of the government’s $2.5 billion investment, which aims to help seniors cover increased costs caused by COVID-19.