Why Your OAS Clawback Changes & When to Take It: 65 or Later?

Should You Take OAS at 65 or Wait Until 70?

If you're approaching retirement, you might have noticed that your Old Age Security (OAS) payments can fluctuate—or even get clawed back. Why does this happen, and how can you avoid it?

The OAS clawback (Recovery Tax) starts if your income exceeds $90,997 (2024 threshold), reducing your payments by 15 cents per dollar over that limit. Since the CRA recalculates this every June based on last year’s income, large RRSP withdrawals or investment gains can impact your OAS unexpectedly.

Are you nearing retirement? Drop a comment if you're wondering when you should start your OAS.

#oas #oldagesecurity #money #finance #retirement #retirementsavings #financialadvisor #financialeducation #financialmanagement #investments #investing #investingadvice #investmenttips #investmentplanning #market #marketvolatility #mississauga #personalfinance #toronto #vlog

[garth]

OAS clawback is a tax on success. If you did well and paid high taxes as a result, you get hit again in retirement.