COLUMN: Ask the Money Lady – Seniors live in poverty

Dear Money Lady,

I’m a senior and I live on less than $20,000 a year. It’s really hard to buy groceries and stick to a budget. I get a widow’s pension, OAS and CPP. Is there anything else I could get from the government for help. Barb.

Hello Barb, I know it’s really tough these days. Here are some monetary options for you. If you’re single with an annual income of less than $22,000 you can apply for the Guaranteed Income Supplement (GIS) which you can receive in conjunction with your OAS and CPP. Income thresholds are changed annually by the CRA and will be based on your previous year taxable income. For a single person the benefit is approximately $1,100 per month in 2025. It would be a good idea to spend some time reviewing the www.canada.ca government website and check the initiatives offered to seniors for each province. This includes the 2025 Manitoba Aging in Place Senior’s Initiative Savings Program.

Most working Canadians don’t realize the growing population of seniors now living below the poverty line and it is often not discussed in your local media. The federal government measures poverty based on the Market Basket Measure (MBM) which is the average cost of specific “every-day” goods and services that the government feels each Canadian needs to maintain a modest standard of living. These items are regionally tallied and if a Canadian family cannot purchase these items with their disposable income they are considered to be living below the poverty line. Personally, I find the MBM a false indicator of poverty and even though some may disagree, I would say the LIM (low-income measure) is much more grounded in day-to-day reality.

If we only used the LIM as the official poverty line in Canada, todays seniors would be considered to be one of the worst-off poverty-stricken groups across the country. While we all believe that seniors should have less expenses than those dual income earners with young children, seniors no longer have the runway to earn an income. They will face rising living costs as they age which will be exacerbated with worsening health. Paying for support and services while living on a fixed monthly income quickly reduces cash assets for aging Canadians. Currently, Stats Canada is reviewing the current MBM model to redefine the official poverty line and the Federal government is now looking into new poverty measures and policies to include seniors. Food Bank Canada is also now looking into developing a material deprivation index for the government that will measure and assess the ability of seniors to afford basic necessities.

By adopting senior specific poverty measures, we all could better understand and support this segment of our population……and it starts with each of us taking a stand. To support this, I will be offering free presentations for adults in a new speaker program called The Vibrant Living Series. This new monthly keynote series begins in September 2025 and is designed to address all the topics seniors want, helping older adults live longer, healthier, — and yes, making their money last even longer while doing it, no matter what monetary situation they’re in at the time. Essentially, I want to help seniors consider thinking differently, help them to try new strategies, and ultimately find ways to age with security, dignity, and happiness. I invite all my readers to these free events. Checkout my website (www.askthemoneylady.ca) to find out when I will be in your area, and how you can register to attend.

Christine Ibbotson is a Canadian finance writer, radio host & YouTuber. For more advice check out her YouTube channel: ASK THE MONEY LADY – Your Canadian Finance Coach.