Old Age Security Act (R.S.C., 1985, c. O-9)

Payment of Pension

Marginal note:Commencement of pension

• 8 (1) Payment of pension to any person shall commence in the first month after the application therefor has been approved, but where an application is approved after the last day of the month in which it was received, the approval may be effective as of such earlier date, not prior to the day on which the application was received, as may be prescribed by regulation.

• Marginal note:Exception

  (2) Notwithstanding subsection (1), where a person who has applied to receive a pension attained the age of sixty-five years before the day on which the application was received, the approval of the application may be effective as of such earlier day, not before the later of

  • (a) a day one year before the day on which the application was received, and

  • (b) the day on which the applicant attained the age of sixty-five years,

  as may be prescribed by regulation.

• Marginal note:Incarcerated persons

  (2.1) Despite subsection (1), if the application by a person described in subsection 5(3) is approved while that person is incarcerated, payment of their pension shall commence in respect of the month in which they are released but only after they notify the Minister in writing before or after their release.

• Marginal note:Duration

  (3) Subject to this Act, the pension shall continue to be paid during the lifetime of the pensioner and shall cease with the payment for the month in which the pensioner dies.

Marginal note:Suspension of pension where pensioner leaves Canada

• 9 (1) Where a pensioner, having left Canada either before or after becoming a pensioner, has remained outside Canada after becoming a pensioner for six consecutive months, exclusive of the month in which the pensioner left Canada, payment of the pension for any period the pensioner continues to be absent from Canada after those six months shall be suspended, but payment may be resumed with the month in which the pensioner returns to Canada.

• Marginal note:No suspension after 20 years residence

  (2) In the circumstances described in subsection (1), payment of the pension may be continued without suspension for any period the pensioner remains outside Canada if the pensioner establishes that at the time the pensioner left Canada the pensioner had resided in Canada for at least twenty years after attaining the age of eighteen years.

• Marginal note:Suspension of pension where pensioner ceases to reside in Canada

  (3) Where a pensioner ceases to reside in Canada, whether before or after becoming a pensioner, payment of the pension shall be suspended six months after the end of the month in which the pensioner ceased to reside in Canada, but payment may be resumed with the month in which the pensioner resumes residence in Canada.

• Marginal note:No suspension where pensioner had 20 years residence in Canada

  (4) In the circumstances described in subsection (3), payment of the pension may be continued without suspension if the pensioner establishes that at the time the pensioner ceased to reside in Canada the pensioner had resided in Canada for at least twenty years after attaining the age of eighteen years.

• Marginal note:Failure to comply with Act

  (5) Where a pensioner fails to comply with any of the provisions of this Act or the regulations, payment of the pension may be suspended, and where a pension is so suspended, payment may be resumed when the pensioner has complied with those provisions.

Marginal note:Request that pension cease to be payable

• 9.1 (1) Any pensioner may make a request to the Minister in writing that their pension cease to be payable.

• Marginal note:When pension ceases to be payable

  (2) A pension shall cease to be payable on the last day of the month in which the Minister approves a request under subsection (1).

• Marginal note:Request for reinstatement

  (3) A pensioner whose pension has ceased to be payable under subsection (2) may make a request in writing to the Minister that their pension be reinstated.

• Marginal note:When reinstatement effective

  (4) A pension shall be reinstated and payment shall commence in the month following the month in which the Minister receives a request under subsection (3) or in the month chosen by the pensioner in the request, whichever is later.

Marginal note:Resumption of pension

9.2 Payment of a pension that is suspended by virtue of subsection 5(3) shall resume in respect of the month in which a pensioner is released but only after they notify the Minister in writing before or after their release.

Marginal note:Request to cancel pension

• 9.3 (1) A pensioner may, in the prescribed manner and within the prescribed time after payment of a pension has commenced, request cancellation of that pension.

• Marginal note:Effect of cancellation

  (2) If the request is granted and the amount of any pension and related supplement and allowance is repaid within the prescribed time,

  • (a) the application for that pension is deemed never to have been made; and

  • (b) the pension is deemed for the purposes of this Act not to have been payable during the period in question.

PART IIMonthly Guaranteed Income Supplement

Interpretation

Marginal note:Definitions

10 The definitions in this section apply in this Part.

base calendar year

base calendar year means the last calendar year ending before the current payment period. (année de référence)

current payment period

current payment period means the payment period in respect of which an application for a supplement is made by an applicant. (période de paiement en cours)

previous payment period

previous payment period means the payment period immediately before the current payment period. (période de paiement précédente)

Supplement Payable

Marginal note:Supplement payable

• 11 (1) Subject to this Part and the regulations, for each month in any payment period, a monthly guaranteed income supplement may be paid to a pensioner.

• Marginal note:Requirement for application

  (2) Subject to subsections (3.1) and (4), no supplement may be paid to a pensioner for a month in any payment period unless an application for payment of a supplement has been made by the pensioner and payment of the supplement for months in that year has been approved under this Part.

• Marginal note:Application deemed to be made and approved

  (3) Where an allowance ceases to be payable to a person by reason of that person having reached sixty-five years of age, the Minister may deem an application under subsection (2) to have been made by that person and approved, on the day on which the person reached that age.

• Marginal note:Waiver of application

  (3.1) The Minister may, in respect of a person, waive the requirement referred to in subsection (2) for an application for payment of a supplement for any month or months in a payment period if, on the day on which the person attains 65 years of age, the Minister is satisfied, based on information available to him or her under this Act, that the person is qualified under this section for the payment of a supplement.

• Marginal note:Notice of intent

  (3.2) If the Minister intends to waive the requirement for an application in respect of a person under subsection (3.1), the Minister shall notify the person in writing of that intention and provide them with the information on which the Minister intends to rely to approve the payment of a supplement.

• Marginal note:Inaccuracies

  (3.3) The person shall, before the day on which they attain 65 years of age, file with the Minister a statement in which the person corrects any inaccuracies in the information provided by the Minister under subsection (3.2).

• Marginal note:Declining waiver

  (3.4) The person may, before the day on which they attain 65 years of age, decline a waiver of the requirement for an application by notifying the Minister in writing of their decision to do so.

• Marginal note:Cancellation of waiver

  (3.5) Even if the requirement for an application is intended to be waived in respect of a person under subsection (3.1), the Minister may, before the day on which the person attains 65 years of age, require that the person make an application for payment of a supplement and, in that case, the Minister shall notify the person in writing of that requirement.

• Marginal note:Waiver of application

  (4) The Minister may waive the requirement referred to in subsection (2) for an application for payment of a supplement for any month or months in a payment period if an application for payment of a supplement has been made in respect of any payment period before that payment period.

• Marginal note:Notice where subsequent application required

  (5) Where the requirement for an application for payment of a supplement for any month or months in a payment period has been waived under subsection (4) and an application is required for payment of a supplement for any subsequent month or months in that payment period, the Minister shall, not later than fifteen days before that subsequent month or the first of those subsequent months, notify the pensioner in writing that an application is required.

• Marginal note:Cancellation of waiver

  (6) Notwithstanding that the requirement for an application for payment of a supplement for any month or months has been waived under subsection (4), the Minister may require that the pensioner make an application for payment of a supplement for that month or for any of those months, and in such a case, the Minister shall, not later than fifteen days before that month or the first of those months, notify the pensioner in writing that an application is required.

• Marginal note:Limitations on payment of supplement

  (7) No supplement may be paid to a pensioner for

  • (a) any month that is more than eleven months before the month in which the application is received or is deemed to have been made or in which the requirement for an application has been waived, as the case may be;

  • (b) any month for which no pension may be paid to the pensioner;

  • (c) any month throughout which the pensioner is absent from Canada having commenced to be absent from Canada either before or after becoming a pensioner and having remained outside Canada before that month for six consecutive months, exclusive of the month in which the pensioner left Canada;

  • (d) any month throughout which the pensioner is not resident in Canada, having ceased to reside in Canada, either before or after becoming a pensioner, six months before the beginning of that month; or

  • (e) any month during which the pensioner is

    • (i) a specially qualified individual, and

    • (ii) a person in respect of whom an undertaking by a sponsor is in effect as provided under the Immigration and Refugee Protection Act.

• Marginal note:Application of para. (7)(e)

  (8) Paragraph (7)(e) does not apply to a pensioner where an event as provided by the regulations has occurred.

Amount of Supplement

Marginal note:Amounts on April 1, 2005

• 12 (1) The amount of the supplement that may be paid to a pensioner for any month in the payment quarter commencing on April 1, 2005 is,

  • (a) in the case of a person other than a person described in paragraph (b), five hundred and sixty-two dollars and ninety-three cents, and

  • (b) in the case of a person who, on the day immediately before that payment quarter, had a spouse or common-law partner to whom a pension may be paid for any month in that payment quarter,

    • (i) in respect of any month in that payment quarter before the first month for which a pension may be paid to the spouse or common-law partner, five hundred and sixty-two dollars and ninety-three cents, and

    • (ii) in respect of any month in that payment quarter commencing with the first month for which a pension may be paid to the spouse or common-law partner, three hundred and sixty-six dollars and sixty-seven cents,

  minus one dollar for each full two dollars of the pensioner’s monthly base income.

• Marginal note:Increase on January 1, 2006

  (1.1) The amount of the supplement that may be paid to a pensioner for any month in the payment quarter commencing on January 1, 2006 is the amount of the supplement that would otherwise be payable plus

  • (a) eighteen dollars, in the case of a person described in paragraph (1)(a) or subparagraph (1)(b)(i); and

  • (b) fourteen dollars and fifty cents, in the case of a person described in subparagraph (1)(b)(ii).

• Marginal note:Increase on January 1, 2007

  (1.2) The amount of the supplement that may be paid to a pensioner for any month in the payment quarter commencing on January 1, 2007 is the amount of the supplement that would otherwise be payable plus

  • (a) eighteen dollars, in the case of a person described in paragraph (1)(a) or subparagraph (1)(b)(i); and

  • (b) fourteen dollars and fifty cents, in the case of a person described subparagraph (1)(b)(ii).

• Marginal note:Indexation

  (2) Subject to subsections (1.1) and (1.2), the amount of the supplement that may be paid to a pensioner for any month in any payment quarter commencing after June 30, 2005 is the amount obtained by multiplying

  • (a) the maximum amount of the supplement that might have been paid to the pensioner for any month in the three-month period immediately before that payment quarter

  by

  • (b) the ratio that the Consumer Price Index for the first adjustment quarter that relates to that payment quarter bears to the Consumer Price Index for the second adjustment quarter that relates to that payment quarter,

  minus one dollar for each full two dollars of the pensioner’s monthly base income.

• Marginal note:No decrease in maximum amount of supplement

  (3) Notwithstanding subsection (2), the maximum amount of the supplement that may be paid to a pensioner for any month in a payment quarter shall be not less than the maximum amount of the supplement that was or may be paid to a pensioner for any month in the three month period immediately before that payment quarter.

• Marginal note:Effect of reduction in Consumer Price Index

  (4) Where, in relation to any payment quarter, the Consumer Price Index for the first adjustment quarter is lower than the Consumer Price Index for the second adjustment quarter,

  • (a) no supplement adjustment shall be made pursuant to subsection (2) in respect of that payment quarter; and

  • (b) no supplement adjustment shall be made pursuant to that subsection in respect of any subsequent payment quarter until, in relation to a subsequent payment quarter, the Consumer Price Index for the first adjustment quarter that relates to that subsequent payment quarter is higher than the Consumer Price Index for the second adjustment quarter that relates to the payment quarter referred to in paragraph (a), in which case the second adjustment quarter that relates to the payment quarter referred to in that paragraph shall be deemed to be the second adjustment quarter that relates to that subsequent payment quarter.

• Marginal note:Guaranteed minimum income for pensioners

  (5) Despite subsection (2), the amount of the supplement that may be paid to a pensioner for any month after December 1997 is the amount determined by the formula

  [(A - B) × C] - D/2

  where

  A

  is the aggregate of

  • (a) the maximum amount of the supplement that, but for this subsection, might have been paid to the pensioner for that month, and

  • (b) the amount of the full monthly pension;

  B

  is the pensioner’s monthly pension;

  C

  is the pensioner’s special qualifying factor for the month; and

  D

  is the pensioner’s monthly base income rounded, where it is not a multiple of two dollars, to the next lower multiple of two dollars.

• Marginal note:Enhancement of supplement for certain married pensioners

  (5.1) Where the aggregate of the pensions and supplements payable for a month to two pensioners each of whom is the other’s spouse or common-law partner is less than the aggregate of the pension and supplement that would be payable for that month to one of them if the other were not a pensioner, the Minister may, notwithstanding subsection (2), pay to one of them for that month

  • (a) the amount of supplement that would be payable for that month to that pensioner, if the other were not a pensioner,

  minus

  • (b) the aggregate of the pension and supplement payable for that month to the other.

• Definition of monthly base income

  (6) In this section, monthly base income means, in relation to the calculation of the supplement for a month in any given payment quarter,

  • (a) in the case of a person other than an applicant described in paragraph (b) or (c), one-twelfth of the income of that person for the base calendar year;

  • (b) in the case of an applicant who, on the day immediately before the current payment period, was the spouse or common-law partner of a person to whom no pension may be paid for any month in the current payment period, the amount determined by the formula

    A/24 - B/2

    where

    A

    is the aggregate of the incomes of the applicant and the spouse or common-law partner for the base calendar year, and

    B

    is the product

    • (i) obtained by multiplying the amount of the full monthly pension, calculated without regard to subsection 7(5), that might have been paid to a pensioner for any month by the applicant’s special qualifying factor for the month, and

    • (ii) rounded, if that product is not a multiple of four dollars, to the next higher multiple of four dollars; and

  • (c) in the case of an applicant who, on the day immediately before the current payment period, was the spouse or common-law partner of a person to whom a pension may be paid for any month in the payment period,

    • (i) in respect of any month in the current payment period before the first month for which a pension may be paid to the spouse or common-law partner, the amount determined for the applicant for the month under paragraph (b), and

    • (ii) in respect of any month in that payment period commencing with the first month for which a pension may be paid to the spouse or common-law partner, one twenty-fourth of the aggregate of the incomes of the applicant and the spouse or common-law partner for the base calendar year.