OAS Just Got Its Biggest Raise of 2026: What 1.4% Actually Pays

 

Canadian Money Brief • Published October 2, 2026

Old Age Security is going up 1.4% for the October-to-December quarter, the biggest of the four quarterly adjustments in 2026. For a senior on the maximum pension, that works out to $10.53 more a month. Whether that feels like a raise or just a catch-up depends on a number most headlines skip: how much prices have risen over the past year.

+$10.53 a month

Maximum OAS for ages 65 to 74 goes from $751.97 to $762.50. That is about $126 more over a year, and it starts with the Oct. 28 deposit.

What actually changes on October 28

The new rate applies to the Oct. 28 payment and the two after it (Nov. 26 and Dec. 22). Nothing needs to be filed. It applies to OAS, the Guaranteed Income Supplement (GIS) and the Allowances automatically.

Maximum monthly amount	Jul–Sep 2026	Oct–Dec 2026	Change
OAS, ages 65 to 74	$751.97	$762.50	+$10.53
OAS, age 75 and over	$827.17	$838.75	+$11.58
GIS, single senior (approx.)	$1,123.17	about $1,138.89	about +$15.72
OAS (65–74) plus max GIS (approx.)	$1,875.14	about $1,901.39	about +$26.25

OAS figures are the official Canada.ca maximums for a full pension. The GIS rows are calculated by applying 1.4% to the current maximum, so Service Canada's published table may round slightly differently. Your own amount depends on how long you lived in Canada after 18 and on your income.

Is 1.4% a raise, or just catching up?

Catching up, mostly. OAS is indexed to the Consumer Price Index every quarter, so it is built to follow prices rather than get ahead of them. Canada.ca says the pension is up 3.0% over the past year (October 2025 to October 2026), after the 1.2% bump in July. Statistics Canada reported that the CPI rose 3.0% year over year in August. The two are roughly in step.

That is why a 1.4% increase does not mean seniors are suddenly ahead. A single quarterly adjustment is not comparable to an annual inflation rate. The better comparison is the full 12 months, and over that stretch OAS is keeping pace with prices, not beating them.

The catch: OAS always runs a few months behind

The October amounts are based on the change in CPI between May–July 2026 and February–April 2026. Canada.ca describes May–July as the most recent period with CPI available when the calculation was done. In other words, this raise reflects price moves from late spring and early summer.

Anything that has happened to prices since then lands in a future review. OAS is reviewed in January, April, July and October, and the January 2027 increase has not been announced. One more thing worth knowing: OAS rates go up when the cost of living rises, but they do not go down when it falls.

Don't mix this up with the Oct. 5 groceries benefit. The Canada Groceries and Essentials Benefit pays out on Monday, Oct. 5, but that payment is the same amount as July's. CGEB amounts are set by your 2025 tax return for the whole July 2026 to June 2027 period, and the 25% boost that replaced the GST/HST credit began in July. The 1.4% increase is an OAS and GIS change, not a CGEB change. If your Oct. 5 deposit does not show up, the CRA asks you to wait 10 business days before calling.

What it means for you

If your parents are on OAS: the Oct. 28 deposit will be slightly larger without any action on their part. If they are on the maximum pension, expect roughly $10 to $12 more a month, depending on age. Their actual amount may be lower if they have a partial pension or if OAS is being clawed back.

If you are close to 65: every OAS increase also raises the base you would defer. Waiting until 70 to start OAS lifts the pension by up to 36%. Using the new maximum of $762.50, that is about $1,037 a month. Deferral only makes sense if you can comfortably fund the gap years, so run the numbers against your other income first.

If you have strong investment or rental income: OAS is clawed back at 15 cents on the dollar once net income passes roughly $95,000. A higher OAS maximum does not change where that clawback starts, so check your projected net income before assuming you will keep the full increase.

What to watch next

Statistics Canada releases September's CPI on Monday, Oct. 19, which is the next read on whether the 3.0% pace is holding. The Oct. 28 deposit is the first at the new OAS rate. The next quarterly adjustment is due with the January review, and it will depend on the CPI readings that come in over the fall.

Sources: Government of Canada, Old Age Security payment amounts (Oct–Dec 2026 adjustment and calculation); Statistics Canada, The Daily, Consumer Price Index, August 2026 (Sept. 14, 2026); Government of Canada benefits payment calendar; CRA payment dates guidance. This article is general information, not personal financial or tax advice.