What Is GIS? Understanding the Guaranteed Income Supplement

Canada's Guaranteed Income Supplement (GIS) provides additional financial support to low-income seniors who receive Old Age Security (OAS). For eligible retirees, GIS can make a significant difference in monthly retirement income.

GIS is part of Canada's Old Age Security program and is specifically designed to provide additional income to seniors with relatively low incomes. Unlike OAS, GIS is not taxable.

Understanding how GIS works is especially important when planning retirement withdrawals. Income from CPP, pensions, RRSPs, RRIFs, employment, and other sources can affect how much GIS you receive.

If you want to see how government benefits can interact with your other retirement income, the Retirementize retirement calculator can help you model different scenarios.

What Is the Guaranteed Income Supplement (GIS)?

The Guaranteed Income Supplement is a monthly benefit available to eligible low-income seniors who receive the OAS pension and meet the applicable residence and income requirements.

GIS was introduced in 1967 as an additional income-support program for seniors with little income beyond OAS. It remains an important component of Canada's retirement-income system.

Unlike CPP, GIS is not based on how much you contributed during your working years. It is an income-tested benefit, meaning the amount you receive depends on your income and, where applicable, your marital status and your spouse or common-law partner's income.

GIS is also different from OAS. OAS is a taxable pension, while GIS is a non-taxable benefit.

Who Is Eligible for GIS?

To receive GIS, you generally must:

• Be 65 years of age or older.
• Receive the OAS pension.
• Live in Canada.
• Have income below the applicable GIS threshold.

If you have a spouse or common-law partner, the income test generally considers your combined income. The applicable threshold and maximum GIS payment depend on your household situation.

What Are the Current GIS Income Limits?

GIS thresholds are updated periodically and depend on marital status. For the July to September 2026 quarter, the applicable annual income thresholds are:

• Single, widowed, or divorced: less than $22,800.
• Spouse/common-law partner receives the full OAS pension: combined income of less than $30,096.
• Spouse/common-law partner receives the Allowance: combined income of less than $42,144.
• Spouse/common-law partner does not receive OAS or the Allowance: combined income of less than $54,624.

These are the income thresholds for determining eligibility for the current quarter. The actual GIS amount you receive depends on your income and circumstances and may be lower than the maximum.

GIS is recalculated regularly, so these figures will change over time.

GIS Is a Non-Taxable Benefit

One of the important differences between GIS and OAS is taxation.

GIS is not taxable income. You do not pay income tax on the GIS payments you receive.

OAS, CPP, employer pensions, RRSP withdrawals, and RRIF withdrawals, on the other hand, are generally included in taxable income.

This distinction is important when comparing different retirement-income strategies. A dollar of GIS is not necessarily equivalent to a dollar of taxable retirement income because the tax treatment is different.

How Much Can You Receive Through GIS?

GIS payment amounts are adjusted quarterly to reflect changes in the cost of living.

For the July to September 2026 quarter, the maximum monthly GIS payments are:

• Single, divorced, or widowed: up to $1,123.17 per month.
• Spouse/common-law partner receives the full OAS pension: up to $676.09 per month.
• Spouse/common-law partner receives the Allowance: up to $676.09 per month.
• Spouse/common-law partner does not receive OAS or the Allowance: up to $1,123.17 per month.

These are maximum amounts. Your actual GIS payment depends on your income and household circumstances.

GIS amounts are adjusted in January, April, July, and October based on changes in the cost of living. Benefit amounts do not decrease when the applicable cost-of-living calculation would otherwise produce a reduction.

How Does Other Income Affect GIS?

GIS is income-tested, so additional income can reduce the amount of GIS you receive.

Depending on your circumstances, income considered in the GIS calculation can include sources such as:

• CPP retirement benefits.
• Employer pensions.
• RRSP and RRIF withdrawals.
• Employment income.
• Self-employment income.
• Investment income.
• Other taxable sources of income.

Your OAS pension itself is not included as income when determining the GIS amount.

Employment Income Gets Special Treatment

GIS has a special exemption for employment and self-employment income.

The first $5,000 of employment or self-employment income does not reduce GIS.

For employment or self-employment income between $5,000 and $15,000, only 50% of that income reduces the GIS benefit.

This means that someone receiving GIS may be able to work part-time without losing GIS dollar-for-dollar.

This treatment is different from other sources of income, such as CPP, pensions, and RRSP/RRIF income, which can affect GIS differently.

What Is the Allowance?

The Allowance is a related benefit for lower-income people aged 60 to 64 whose spouse or common-law partner receives GIS and the full OAS pension.

It can help bridge the income gap for a younger spouse or common-law partner who has not yet reached age 65.

Generally, the applicant must:

• Be between 60 and 64 years old.
• Have a spouse or common-law partner who receives GIS and the full OAS pension.
• Be a Canadian citizen or legal resident.
• Have lived in Canada for at least 10 years after age 18, subject to applicable rules and exceptions.
• Have combined income below the applicable threshold.

For July to September 2026, the maximum Allowance is $1,428.06 per month, with a combined annual income threshold of $42,144 for the relevant situation.

The Allowance is also a non-taxable benefit.

What Is the Allowance for the Survivor?

There is also a benefit called the Allowance for the Survivor.

It is available in certain circumstances to a low-income surviving spouse or common-law partner between ages 60 and 64 who has lost their spouse or partner and is not yet eligible for OAS.

For July to September 2026, the maximum Allowance for the Survivor is $1,702.34 per month, with an annual income threshold of $30,696 for a surviving spouse or common-law partner.

The Allowance and Allowance for the Survivor are separate benefits with their own eligibility requirements.

GIS Examples

GIS calculations can become complicated because the benefit depends on income, marital status, and the applicable quarterly thresholds. The following simplified examples illustrate how the rules work; actual payments should be confirmed using the government's current benefit information.

Example 1: Single Senior With Little Other Income

Anna is 65, single, and receives the maximum OAS pension. She has very little income from other sources.

Because her income is below the applicable GIS threshold, she may qualify for the maximum GIS of $1,123.17 per month for the July to September 2026 quarter.

Her combined OAS and GIS income could therefore provide more than $22,000 per year before considering any other income.

Example 2: Single Senior With CPP Income

Roger is 65, single, and receives CPP in addition to his OAS pension. His CPP income reduces the amount of GIS he can receive, but he may still qualify for a partial GIS benefit if his income remains below the applicable threshold.

The exact GIS amount depends on his annual income and the applicable GIS calculation. It is therefore important not to assume that every dollar of CPP simply reduces GIS by a fixed amount without considering the full calculation.

Example 3: Couple With Different Ages

Todd is 65 and receives OAS and CPP, while his spouse Maude is 62 and has limited income.

Todd may qualify for GIS based on the couple's circumstances, while Maude may potentially qualify for the Allowance if they satisfy the applicable age, residence, marital-status, and income requirements.

This illustrates why retirement-income planning should consider both spouses together rather than looking at each person's income in isolation.

For a more detailed retirement-income analysis, see our Retirement Income vs. Savings Calculator.

How to Apply for GIS

If you are already receiving OAS, you may be automatically considered for GIS based on the information available to the government.

If you are turning 65 and believe you may qualify, you should make sure your OAS application is completed and that your income information is up to date.

GIS eligibility is reviewed annually. Filing your income tax return is particularly important because the government generally uses your tax information to determine whether you qualify and how much you should receive.

If you believe you qualify but have not been enrolled, you may need to apply directly through Service Canada.

You can find the current application information through the official Guaranteed Income Supplement page.

Benefits and Limitations of GIS

GIS provides an important income supplement for eligible low-income seniors, but it also has characteristics that need to be considered when planning retirement.

Benefits

• Non-taxable income: GIS payments are not included in taxable income.
• Inflation adjustments: GIS amounts are adjusted quarterly based on changes in the cost of living.
• Income support: GIS can provide substantial additional income for seniors with limited other resources.
• Employment exemption: Some employment and self-employment income can be earned without reducing GIS.

Limitations

• Income-tested: Additional income can reduce your GIS payment.
• Residence requirements: GIS generally requires you to live in Canada.
• Annual reassessment: Your eligibility and payment amount can change as your income changes.
• Planning complexity: RRSP and RRIF withdrawals, pensions, CPP, employment income, and investment income can all affect your overall retirement-income picture.

How GIS Impacts Other Retirement Income Sources

GIS can make retirement-income planning more complicated because increasing one source of income can reduce another benefit.

For example, someone who receives GIS may need to think carefully about the timing and size of RRSP or RRIF withdrawals. Taking a large taxable withdrawal in one year can increase income and potentially reduce GIS in a subsequent benefit period.

This does not mean that RRSP or RRIF withdrawals are necessarily a bad idea. Registered retirement accounts are designed to provide retirement income, and withdrawals may be necessary to fund your lifestyle or meet minimum RRIF withdrawals.

The important point is that GIS should be considered as part of the overall retirement-income plan rather than in isolation.

Can You Work While Receiving GIS?

Yes. Receiving GIS does not automatically prevent you from working.

In fact, GIS has specific employment-income provisions that can make part-time work more attractive for some recipients.

The first $5,000 of employment or self-employment income is exempt from the GIS reduction. For earnings between $5,000 and $15,000, only half of that income is used to reduce GIS.

This means a GIS recipient may be able to earn employment income while retaining some of their GIS benefit.

The rules can change, so anyone considering employment while receiving GIS should review the current government calculations.

Conclusion

The Guaranteed Income Supplement can be a significant source of retirement income for Canadians with limited income. Because GIS is non-taxable and income-tested, understanding how your other retirement income affects the benefit is essential.

The key things to understand are your eligibility, your household's income, the current GIS thresholds, the treatment of employment income, and how withdrawals from RRSPs and RRIFs can affect future GIS payments.

GIS should also be considered alongside OAS, CPP, employer pensions, government benefits, and personal savings. A decision that increases one source of retirement income can sometimes reduce another, so looking at the entire retirement-income picture is important.

Retirementize can help you model different retirement-income strategies and see how government benefits interact with your savings, pensions, withdrawals, taxes, and spending.

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