With inflation steadily rising, Canada’s federal government has responded by increasing the Guaranteed Income Supplement (GIS) Allowance for low-income seniors and their spouses.
Effective 1st July 2025, this quarterly adjustment raises the monthly GIS Allowance to $1,395, up from $1,381.
This $1,395 GIS Benefit for July 2025 will be deposited into eligible accounts on Tuesday, 29th July 2025.
This timely boost is part of the government’s broader commitment to supporting vulnerable older Canadians through the Old Age Security (OAS) program and its supplements.
What Is the GIS Allowance and Who Gets It?
The Guaranteed Income Supplement (GIS) is a non-taxable monthly benefit for low-income seniors aged 65 and older who already receive the Old Age Security (OAS) pension. However, a lesser-known but equally important part of this program is the GIS Allowance. It is designed specifically for:
- Low-income individuals aged 60 to 64
- Spouses or common-law partners of someone receiving GIS
- Widowed individuals aged 60 to 64
GIS Allowance Update: Key Highlights
| Feature | Details |
|---|---|
| New GIS Allowance | $1,395/month |
| Previous Allowance | $1,381/month |
| Effective From | 1st July 2025 |
| Valid Until | 30th September 2025 |
| Adjustment Reason | CPI (Consumer Price Index) review |
| Next Review Date | October 2025 |
| Payment Date | 29th July 2025 (Tuesday) |
| Payment Frequency | Monthly |
| Issuing Agency | Service Canada / CRA |
| Target Group | Low-income Canadians aged 60–64 (spouses of GIS recipients) |
This increase reflects a 1% cost-of-living adjustment, aligned with Canada’s inflation index, ensuring that older adults maintain their purchasing power despite rising living costs.
Eligibility Criteria for the $1,395 GIS Benefit
To qualify for the GIS Allowance, applicants must meet specific age, relationship, and income criteria, divided into two main categories:
For GIS (Aged 65 and Older):
- Must be 65 years or older
- Must be receiving OAS
- Must have an annual income below the government-set threshold
For GIS Allowance (Aged 60 to 64):
- Must be aged between 60 and 64
- Must be married to or the common-law partner of a GIS recipient
OR
Be a widowed spouse of a GIS recipient
Income Thresholds for July 2025:
| Household Status | Maximum Annual Income |
|---|---|
| Single/Widowed/Divorced | Below $22,272 |
| Couple with one OAS recipient | Below $29,424 |
| Couple both on GIS Allowance | Below $41,184 |
| Couple with no OAS/Allowance | Below $53,376 |
These income thresholds are evaluated annually and adjusted based on tax filings and reported earnings.
When Will You Receive the $1,395 GIS Allowance Payment?
The payment will be deposited on Tuesday, 29th July 2025. This date aligns with the regular OAS and GIS payment schedule set by the government for 2025.
| Benefit | July 2025 Payment Date |
|---|---|
| OAS Pension | 29th July 2025 |
| GIS Supplement | 29th July 2025 |
| GIS Allowance | 29th July 2025 |
The updated rate of $1,395 will apply from July to September 2025, after which the government will conduct another CPI-based review in October 2025.
Fact Check: Is the $1,395 GIS Benefit Real?
Yes, the $1,395 GIS Allowance has been officially confirmed and is part of the federal government’s quarterly CPI review. The increase from $1,381 to $1,395 reflects a 1% rise due to inflation. Service Canada adjusts the GIS Allowance every three months to keep pace with living costs.
This updated amount is temporary and will likely change again in October 2025 following another inflation review.
Why the GIS Allowance Matters
The GIS Allowance plays a crucial role in reducing senior poverty by providing targeted financial assistance to those most in need. With inflation affecting everything from food to housing, the additional support helps seniors and their spouses:
- Cover essential expenses
- Avoid debt accumulation
- Maintain independence and dignity
This structured approach ensures benefits are responsive to real-world economic conditions while also being predictable and transparent for beneficiaries.
The $1,395 GIS Benefit hitting Canadian accounts on 29th July 2025 is a much-needed financial boost for low-income seniors and their spouses. As part of the quarterly inflation-linked adjustment, this increase ensures vulnerable populations are not left behind amid rising costs.
If you or your spouse fall within the eligibility guidelines, it’s essential to ensure your personal and income details are up to date with Service Canada. This simple step can help secure your rightful benefits and contribute to financial stability during retirement.
Stay informed, stay eligible, and mark your calendar—July 29th, 2025 is payout day for the $1,395 GIS Allowance.
FAQs
Who is eligible for the $1,395 GIS Allowance in July 2025?
Low-income individuals aged 60 to 64, who are spouses or common-law partners of GIS recipients or widowed spouses, are eligible if their income falls below the required thresholds.
Is the $1,395 GIS Allowance taxable?
No, the GIS Allowance is a non-taxable benefit, meaning it does not need to be reported as income on your tax return.
What if my income has changed recently—can I still qualify?
Yes, income is evaluated based on the most recent tax return. If your income has significantly decreased, you can request a reassessment from Service Canada.