The Guaranteed Income Supplement, or GIS for short, is an important program that helps many older Canadians with low incomes. If you’re approaching retirement age or know someone who is, you’ll want to know about it.
I’ve compiled a list of 18 key facts about GIS that I think everyone should know. Whether you’re wondering if you qualify, how much money you might get, or how it works with other benefits, I’ve got you covered.
It’s for low-income seniors
GIS is extra money for older people who don’t have much income. You need to be 65 or older to get it, and it’s meant to help seniors who struggle to pay for necessities like food and housing. If you are a higher-income earner, you may qualify for OAS but not GIS.
You need to get OAS first
To get GIS, you must already be getting Old Age Security (OAS). OAS is another payment for seniors, but it’s based on how long you’ve lived in Canada. If you qualify for OAS, then you might also be able to get GIS. It’s like an extra boost on top of your OAS payment.
It’s not taxable
Unlike some other types of income, you don’t have to pay taxes on GIS. This means you get to keep all the money you receive from GIS. When you do your taxes, you don’t include GIS as part of your income. This helps the money go further for seniors who really need it.
You have to apply for it
GIS doesn’t start automatically. You need to fill out an application to get it. You can apply online, by mail, or in person at a Service Canada office. It’s a good idea to apply as soon as you think you might qualify. The sooner you apply, the sooner you can start getting the extra money if you’re eligible.
The amount changes based on your income
How much GIS you get depends on how much other money you have coming in. The less other income you have, the more GIS you can get. If your income goes up or down, your GIS amount might change too. The government looks at your income every year to decide how much GIS you should get.
You need to file your taxes every year
To keep getting GIS, you must file your taxes yearly, even if you don’t owe any money. This is how the government knows how much income you have and if you still qualify for GIS. If you don’t file your taxes, your GIS payments might stop. So it’s really important to do your taxes on time.
It’s paid monthly
GIS comes as a monthly payment. You’ll get it at the same time as your OAS and Canada Pension Plan payments. The money goes straight into your bank account if you have direct deposit set up. If not, you’ll get a cheque in the mail.
There’s a maximum amount
There’s a limit to how much GIS you can get. In the second quarter of 2024, the most a single person can get was $1,354.69 per month. For couples, it’s different depending on whether both people get OAS. The government updates these amounts quarterly to keep up with the cost of living.
You can get it if you live outside Canada
If you’ve lived in Canada for at least 20 years after turning 18, you can still get GIS even if you move to another country. But you can only get it for six months after you leave Canada. After that, your payments will stop until you come back to live in Canada again.
It’s adjusted for inflation
As previously mentioned, the amount of GIS you can get goes up a little bit over time. This is to help keep up with rising prices for things like food and housing. The government looks at the cost of living every three months in April, July, October, and January, and might increase GIS payments.
There’s an allowance for younger spouses
If you’re getting GIS and your spouse or common-law partner is between 60 and 64, they might be able to get something called the Allowance. This is extra money to help couples where one person is getting GIS but the other is too young for OAS. It stops when the younger person turns 65 and can get their own OAS and GIS.
There’s a GIS earnings exemption
If you’re getting GIS and working, there’s some good news. The first $5,000 you earn from a job or self-employment doesn’t affect your GIS at all. After that, only half of what you earn between $5,000 and $15,000 is counted when they calculate your GIS. This is called the earnings exemption. It’s meant to encourage seniors to work if they want to, without losing all their GIS. This rule can help you keep more of your GIS even if you have a part-time job or do some self-employed work.
It affects other benefits
Getting GIS might help you qualify for other benefits too. Some provinces and territories have programs that give extra help to seniors who get GIS. This could be things like help with housing costs or prescription drugs. It’s a good idea to check what other benefits you might be able to get if you’re receiving GIS.
You can appeal decisions
If you think you should be getting GIS but your application was turned down, you can ask for the decision to be looked at again. This is called an appeal.
It’s different from provincial programs
GIS is a federal program, which means it comes from the Canadian government. Some provinces also have their own programs to help low-income seniors, such as Ontario GAINS. These are separate from GIS. You might be able to get both GIS and help from your province. It’s worth checking what’s available where you live.
It can be retroactive
If you qualify for GIS but didn’t apply right away, you might be able to get money for up to 11 months back. This is called retroactive payment. It means you could get a lump sum of money for the months you were eligible but weren’t receiving GIS. This can be really helpful if you didn’t know about GIS when you first qualified.
It’s reviewed every year
The government looks at your GIS eligibility every year. They use the information from your tax return to do this. If your situation changes – like if your income goes up or down – your GIS might change too.
GIS has special rules for sponsored immigrants
If you came to Canada as a sponsored immigrant, there are some special rules about GIS. Usually, you can’t get GIS during your sponsorship period, which is often 10 years. This is because your sponsor agreed to support you financially. But there are exceptions. If your sponsor passes away, goes bankrupt, is sent to prison for more than 6 months, or is convicted of abusing you, you might be able to get GIS even if your sponsorship period isn’t over.
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