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How to avoid OAS clawback?

Some other ways to avoid OAS clawbacks include: Delay OAS payments. You can choose to delay OAS payments until youre 70 years old. Use TFSAs as income. Income withdrawn from a Tax-Free Savings Account (TFSA) is tax-free. Pension income splitting. Contribute to RRSPs.

How to avoid clawbacks?

One solution to significantly reduce the risk of clawbacks is to implement a payment structure that allows your company to collect revenue upfront while still offering customers flexible payment options.

What is the maximum OAS payment in 2025?

As you can see from the chart below, the 2025 maximum monthly amount paid by OAS is $727.67 for people between the age of 65 and 74, which comes out to $8,732.04 a year. If you are age 75 or over, the maximum payment is $800.44 in 2025. The amount youre eligible for also depends on the income you receive.

How long do you have to live in Canada to get an old age pension?

To be eligible for an OAS pension, you must: ☑ be 65 years of age or older; ☑ be a Canadian citizen or legal / permanent resident of Canada (or landed immigrant) when your pension application is approved; and ☑ have lived in Canada for at least 10 years since the age of 18.

What is OAS recovery tax in Canada?

Recovery tax is an additional tax applied in the tax year to OAS recipients who report a net world income that is more than the income threshold determined for that year on the OASRI .