There’s good news on the horizon for Canada’s low-income seniors. With inflation and the rising cost of living continuing to squeeze retirement budgets, the government is stepping in with a helpful boost.
Starting in July 2025, qualified seniors receiving the Guaranteed Income Supplement (GIS) may see an increase of up to $1,395 per year. This is one of several initiatives aimed at supporting elderly Canadians who are financially vulnerable.
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Overview
Let’s break it down. The GIS is a non-taxable monthly payment for seniors who already receive Old Age Security (OAS) and have little or no other income. It acts like a financial safety net, ensuring that those who need help the most don’t fall through the cracks.
With the new update, eligible recipients could receive an extra $116.25 per month, starting in July 2025. This change is expected to significantly improve the financial stability of those living on fixed or limited retirement incomes.
Definition
So, what exactly is the GIS?
The Guaranteed Income Supplement is designed for seniors who rely heavily—or solely—on their Old Age Security pension. Unlike CPP, which is based on how much you worked and contributed, GIS is purely needs-based.
It’s there for people who didn’t earn much during their working years or who lack other retirement income sources.
And the best part? It’s non-taxable, meaning you get to keep every dollar of it.
Eligibility
Not every senior is going to qualify for the increased GIS. The program has strict income thresholds and eligibility rules that determine who gets the top-up.
Here’s who qualifies:
- Must be 65 years or older
- Must be receiving the Old Age Security (OAS) pension
- Must have low income below the government-set limits
Here are the income cutoffs for 2025:
| Household Type | Maximum Annual Income |
|---|---|
| Single Senior | Less than $21,648.00 |
| Married/Common-Law (both receive OAS) | Less than $28,560.00 (combined) |
| One receives OAS, the other doesn’t | Less than $51,408.00 (combined) |
If your income is above these thresholds, you won’t qualify for the GIS raise—but if you’re close, it’s worth reviewing with Service Canada.
Payments
The new payment amounts will kick in starting July 2025.
For current GIS recipients, the increase will be automatic—no need to reapply or do anything, as long as your personal and income details are up to date. Make sure your 2024 tax return has been filed correctly since GIS is based on your latest income records.
If you’re new to GIS, you can apply in a few ways: online, by mail, or by visiting a Service Canada office. Just be sure to provide all required income details. Without it, your application could be delayed or denied.
Impact
This GIS top-up might not sound massive, but for a low-income senior, that extra $116.25 a month could mean the difference between struggling and staying afloat. It can help cover basic needs like groceries, medication, transportation, and even rent.
It’s also a reminder for seniors to stay informed about what benefits are available to them. If you or a loved one might qualify, take the time to look into it. The support is there—you just need to claim it.
FAQs
What is the new GIS increase for 2025?
Up to $1,395 annually or $116.25 monthly for low-income seniors.
When do the GIS increases start?
Payments start automatically in July 2025.
Do I need to reapply for GIS top-up?
No, if you already receive GIS and your info is current.
Who qualifies for the GIS increase?
Seniors 65+ on OAS with low annual income under set limits.
How do I apply for GIS if new?
Apply online, by mail, or at Service Canada with income info.
