Planning for your retirement - Servus Credit Union

Old Age Security (OAS)People 65 and over who are eligible under residencerequirements also receive a monthly pension from thefederal government. The amount is adjusted quarterly, inJanuary, April, July and October, based on the federal costof living index. You should apply for benefits several monthsbefore you turn 65 to ensure your payments begin on time.The 2014 annual amount is approximately $6,618.48 (April2014 maximum monthly payment $551.54). An individualwith net income above $71,592 must repay part or all ofthe maximum OAS amount. The repayment amounts arenormally deducted from the monthly payments before itis issued. The full OAS is eliminated when an individual’snet income is $115,716 or above.Guaranteed Income Supplement (GIS)If you are 65 or over, have little income other than the OldAge Security, and live in Canada, you are eligible for GIS.This supplement is adjusted quarterly based on the federalcost of living index, but benefits do not decrease if the indexdrops. When your OAS application is approved, you will besent an application for GIS.OAS Spouse’s AllowanceAn OAS pensioner’s spouse may be eligible for a Spouse’sAllowance if the spouse is between the ages of 60 and65 years of age and meets OAS residence requirements.The amount is based on the combined monthly income ofthe couple. If your spouse is between the ages of 59 1/2and 65, an application for Spouse’s Allowance willautomatically be mailed to you with your GuaranteedIncome Supplement application.Provincial Government ProgramsAdditional retirement supplements are available fromprovincial governments. These vary from province toprovince – ask your provincial government informationcentre for more information.PLANNING FOR YOUR RETIREMENT 13