Three and a half million Canadian workers are being left out in the cold when it comes to retirement income, according to pension expert Keith Ambachtsheer, and he thinks he’s found a solution. In a recent report published by the C.D. Howe Institute, Ambachtsheer suggests that adequate savings could be attainable for most Canadians […]
The common assumption that plan sponsors are the only ones who bear the investment risk in defined benefit (DB) pension plans isn’t true as employees also bear some risk, according to a study. The C.D. Howe Institute study, Risky Assumptions: A Closer Look at the Bearing of Investment Risk in Defined-Benefit Pension Plans, notes that […]
Canadians could have adequate savings during retirement if a government-backed supplementary pension plan were created, according to a study by the C.D. Howe Institute. In the study, The Canada Supplementary Pension Plan (CSPP): Towards an Adequate, Affordable Pension for All Canadians, author Keith Ambachtsheer argues that the new pension model addresses two major shortcomings in […]
The decline of defined benefit plans is being exacerbated by federal laws and regulations that foster employer underfunding, says a C.D. Howe Institute study. The study—Lifting the Lid on Pension Funding: Why Income-Tax-Act Limits on Contributions Should Rise—says the prohibition by the federal Income Tax Act of sponsor contributions to such plans when their assets […]
If the new Tax-Free Savings Account (TFSA) is the highlight of the budget, the question is, What do you do with it? The merits of the account are by now well understood from an individual point of view, as its flexibility allows employees at all income levels to use it in different ways. But […]
Providing protection for Canada’s money purchase pension plans. Many employers would like to enhance their employees’ defined contribution (DC) retirement prospects, but may pull back for fear of lawsuits. “Safe harbours”—legal protection for good-faith actions to foster smart employee choices—could improve the outlook for Canadians. Common Problems 1. Potential participants do not join – Current […]
As some governments consider restricting the ability of sovereign wealth funds to invest in their countries’ assets, the Canada Pension Plan Investment Board is taking steps to protect itself from protectionism. Benefits Canada sat down with the Board’s chair, Gail Cook-Bennett, to talk about why the CPPIB isn’t an SWF and why it’s the envy […]
William Robson recommends a new solution to an age-old problem. Chances are, you’ve never heard of Edna Parker. But her claim to fame is noteworthy. Born on April 20, 1893, she is the oldest living person in the world, at 114 years of age. Now, most pension plan members won’t live past the century mark. […]
As pension-related litigation increases, employers who offer defined contribution (DC) plans and group RRSPs require safe harbours, or legal protection or the availability of these plans could be at risk, according to a study. The C.D. Howe Institute Study, Safe Harbours: Providing Protection for Canada’s Money-Purchase Plan Sponsors, finds that employers who would like to […]
In 1996, the Canada Pension Plan(CPP)took in $11 billion and paid out $17 billion. But today, those numbers aren’t as bleak thanks to the creation of the Canada Pension Plan Investment Board (CPPIB), Gail Cook-Bennett, the board’s chair, said in Toronto on Monday. In a speech at the C.D. Howe Institute’s policy conference, The Canada […]