As the cost of living continues to rise across the country, the Canadian government has announced a significant increase to one of its most critical support programs for older adults—the Guaranteed Income Supplement (GIS). Starting in July 2025, low-income seniors will receive an annual boost of up to \$1395, offering much-needed financial relief during economically challenging times.
This permanent raise comes as part of Ottawa’s broader efforts to help vulnerable seniors navigate growing inflation, housing costs, and everyday expenses. Here’s a detailed look into how this new GIS increase will impact retirees, who qualifies, and how to ensure you don’t miss out on these payments.
What is GIS and Why It Matters
The Guaranteed Income Supplement is a monthly, non-taxable payment designed to support seniors who already receive Old Age Security (OAS) but earn little to no additional income. It ensures that retirees who lack private pensions or investments still receive enough support to manage essentials like housing, groceries, and healthcare.
Unlike many other income programs, GIS does not require repayment and is strictly targeted at low-income elderly Canadians. It is adjusted annually based on your income and is tied closely to the data you provide when you file your income taxes
July 2025: Monthly GIS Increases Begin
The GIS increase of \$1,395 per year translates to \$116.25 more per month starting in July 2025. This is not a one-time payment but a permanent enhancement to the monthly benefit.
If you are already receiving GIS and continue to meet the eligibility criteria, you do not need to apply or take any extra steps. The top-up will be automatically deposited into your bank account or mailed as part of your regular GIS payment schedule.
Who Qualifies for the GIS Increase?
To be eligible for the new GIS amount, applicants must meet the existing GIS requirements in 2025:
- Be 65 years or older
- Already be receiving Old Age Security (OAS)
- Have income below specific government-set thresholds
Here are the 2025 GIS income limits by household type:
| Recipient Type | 2025 Income Limit (Net Income) |
|---|---|
| Single senior | Less than \$21648 |
| Married/common-law (both receive OAS) | Combined under \$28560 |
| Married/common-law (one on OAS) | Combined under \$51408 |
These limits are based on net income from your 2024 tax return. Your eligibility for the July payment will be determined from that data.
How and When Will Payments Be Made?
The new GIS amounts will be automatically added to your monthly deposits starting from July 2025. There is no need to apply again if you are already a GIS recipient with current tax filings.
For those newly eligible or just turning 65:
- Apply online via your My Service Canada Account
- Submit a paper application by mail
- Visit a local Service Canada office for in-person help
Make sure your 2024 income tax return has been filed and processed. GIS eligibility is calculated using your most recent tax data, and delayed filings can lead to delayed payments or disqualification.
Keeping Your Payments Intact: Income & Reporting
GIS is income-tested, which means even small changes to your financial situation can impact how much you receive. This includes:
- Pension income
- Investment withdrawals
- Part-time work
- CPP or RRSP payouts
If your income exceeds the threshold, your GIS payments may be reduced or discontinued. To avoid complications:
- Always file your tax return on time
- Report major income changes to Service Canada
- Keep your personal information (like marital status and address) updated
Why the Increase Matters Now
This raise to GIS comes at a time when many retirees are feeling squeezed. Seniors on fixed incomes are disproportionately affected by:
- Rising rent and utilities
- Climbing grocery and transportation costs
- Limited access to affordable healthcare and home support
An extra \$116 per month might not sound like a lot—but for many seniors, it means being able to afford fresh food, prescriptions, or even staying warm in the winter.
Government’s Long-Term Pension Strategy
The GIS boost is part of a broader federal approach to pension modernization. In recent years, the government has also:
- Increased the OAS for seniors aged 75+
- Enhanced CPP contributions and payouts
- Expanded programs for low-income housing and dental care for seniors
The goal is clear: help Canada’s aging population age with dignity, without being pushed into poverty.
What Seniors Should Do Now
If you are receiving GIS or approaching retirement age:
- Check your My Service Canada Account in July to confirm the updated payment amount.
- Ensure your 2024 tax return was filed and reflects your current income accurately.
- Reach out to Service Canada for help if you did not receive your top-up by mid-July.
- Review your finances annually, especially if your income situation changes.
5 SEO-Optimized FAQs
Q1: How much is the GIS increase in July 2025?
A: The GIS will increase by \$1395 annually, or \$116.25 per month, starting July 2025.
Q2: Who qualifies for the GIS top-up?
A: Seniors aged 65+ who receive OAS and have income below set limits will qualify. You must have filed your 2024 taxes.
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Q3: Do I need to apply to receive the new GIS payment?
A: No. If you’re already receiving GIS and meet the income criteria, the increase will be automatically applied.
Q4: What if my income changes after I start receiving GIS?
A: Your GIS could be reduced or stopped if your income rises above eligibility thresholds. Always update Service Canada about income changes.
Q5: How will I know if I received the increased payment?
A: Log into your My Service Canada Account in July to check your payment breakdown or call Service Canada directly.
