Wow, since posting the article on Old Age Security (OAS) and Canadian Pension Plan 9CPP) Myths and Facts a few weeks ago, we have gotten a few phone calls questioning the accuracy of the article. In each case where someone thought the government had clawed back their OAS, it turns out they had actually clawed back the Guaranteed Income Supplement (GIS) or Allowance. The information in the article stands true, but I am writing this one about GIS and Allowance to add information about the GIS and Allowance program.
Guaranteed Income Supplement Facts
- The Guaranteed Income Supplement(GIS) is provided to OAS pensioners with little or no other income.
- You must be 65 years old or older to receive OAS & GIS.
- GIS must be applied for.
- GIS is not taxable income.
- Once income is over the maximum amount to receive the maximum benefit, GIS is clawed back at the rate of $0.50 for every $1 over the threshold until the maximum is met, as indicated below.
