The maximum OAS pension for 2021 is $615.37 per month. The Consumer Price Index is used to determine how much to alter every three months. Not everyone is qualified to earn the highest OAS pension amount, though. Depending on a person’s income, place of residence, and length of stay in Canada, they may be eligible for a certain amount of OAS pension.
The maximum OAS pension amount is available to people who have lived in Canada for at least 40 years after reaching 18 years old. In addition, people who turned 18 and have lived in Canada for less than 40 years may still be qualified for a portion of the OAS pension. However, OAS pension is not available to those who have lived in Canada for fewer than ten years after reaching 18 years old.
Additionally, those whose net income in 2021 exceeds $129,075 may see a decrease in their OAS pension payment. As an individual’s income rises, the OAS pension amount gradually decreases until it is entirely eliminated for those with a net income of over $159,129.
Additionally, those between the ages of 60 and 64 may qualify for the OAS pension, but they must apply. On the other hand, if a person decides to take their OAS pension before turning 65, their pension will be lowered by 0.6% for each month that they do so. This indicates that a person who begins receiving their OAS pension at age 60 will do so at a reduced rate of 36% of the maximum pension amount.
In conclusion, a person’s ability to receive an OAS pension depends on a number of variables, including age, domicile, and income. In 2021, the maximum monthly OAS pension will be $615.37. People between the ages of 60 and 64 may be eligible for the OAS pension, but if they decide to take it before turning 65, their pension amount will be decreased.