The OAS pension is available to most Canadians starting at the age of 65. Additional benefits are provided to eligible low-income seniors:

Guaranteed Income Supplement (GIS) - for OAS pensioners

Allowance - for 60 to 64 year-old spouses or common-law partners of pensioners who receive GIS

Allowance for the survivor - for 60 to 64 year-old widowed spouses or common-law partners

Overview

The Allowance, which also includes an allowance for persons whose spouse or common-law partner has died, is paid monthly. It is designed to recognize the difficult circumstances faced by many surviving persons and by couples living on the pension of only one spouse or common-law partner.

Recipients must re-apply annually. These benefits are not considered as income for income tax purposes. The Allowance is not payable outside Canada beyond a period of six months, regardless of how long the person lived in Canada.

Eligibility Conditions

The Allowance may be paid to the spouse or common-law partner of an Old Age Security pensioner, or to a survivor. To qualify, an applicant must be between the ages of 60 and 64 and must have lived in Canada for at least 10 years after turning 18. An applicant must also have been a Canadian citizen or a legal resident of Canada on the day preceding the application's approval. To qualify, the combined yearly income of the couple, or the annual income of the survivor, cannot exceed certain limits which are established quarterly. The Old Age Security and Guaranteed Income Supplement benefits are not included in their combined yearly income.

The Allowance stops when the recipient becomes eligible for an Old Age Security pension at age 65, if the beneficiary leaves Canada for more than six months, or dies. For a couple, the Allowance stops if the pensioner spouse or common-law partner ceases to be eligible for Guaranteed Income Supplement or if the spouses or common-law partners separate or divorce. In addition, the Allowance stops if a survivor remarries or lives in a common-law partnership for more than 12 months.

Exception

A sponsored spouse or common-law partner of an Old Age Security pensioner or a survivor between the ages of 60 and 64 with less than 10 years of residence in Canada after reaching age 18 is not eligible for the Allowance benefit for the period of his or her sponsorship, up to a maximum of 10 years, unless he or she:

(1) was receiving a pension in March 1996 or before; or

(2) was residing in Canada or had resided in Canada as a Canadian citizen or permanent resident before March 7, 1996 and will receive a pension in January 2001 or before.

Amount of Benefits

The Allowance is an income-tested benefit. The maximum amount payable to the spouse or common-law partner of a pensioner is equal to the combined full Old Age Security pension and the maximum Guaranteed Income Supplement at the married rate. The maximum amount for a person whose spouse or common-law partner has died is somewhat higher. The maximum monthly Allowance is reduced by $3 for every $4 of the beneficiary's monthly income for a widowed spouse or common-law partner or the couple's combined monthly income. This happens until the Old Age Security-equivalent is reduced to zero. Then, for a couple, both the Guaranteed Income Supplement-equivalent portion of the Allowance and the pensioner's Guaranteed Income Supplement are reduced by $1 for every additional $4 of the couple's combined monthly income. For a survivor, the Guaranteed Income Supplement-equivalent portion is reduced by $1 for every additional $2 of monthly income.

Non-sponsored Immigrants

The Allowance benefit is prorated in the case of a person who has not resided in Canada for 10 years after reaching age 18 and:

(1) was not residing or had not resided in Canada before March 7, 1996 as a Canadian citizen or permanent resident; or

(2) was residing in Canada on that date or had resided in Canada prior to that date as a Canadian citizen or permanent resident but will not receive a pension in January 2001 or before.

Entitlement will be established at the rate of 1/10th of the benefit for each year of residence in Canada after reaching age 18 and will be increased by an additional 1/10th for each additional year of residence in Canada.

Other Public Retirement Benefits

If you made at least one valid contribution to either the Canada Pension Plan or the Quebec Pension Plan, you will be eligible for a retirement pension at age 65. If you have retired or substantially reduced your hours of work, you could qualify for a reduced retirement pension as early as age 60.

Disability benefits and survivor benefits are also available under the Canada Pension Plan and the Quebec Pension Plan if sufficient contributions have been made. You must apply to receive any of these benefits.

For more information on the Quebec Pension Plan , visit the Web site of the Régie des rentes du Québec .

You may be entitled to benefits under the Employment Insurance Program or from other federal programs such as War Veterans Allowances from Veterans Affairs Canada.

Your provincial or territorial, and municipal governments may offer income assistance and services to seniors such as housing or health coverage (see Provincial and territorial governments). Please contact these governments directly for more information.

For more information on federal, provincial and territorial programs for seniors, visit the Canadian Seniors Policies and Programs Database Web site.