Most Canadian employers have yet to take action to prepare for the incoming changes to the Canada Pension Plan and Quebec Pension Plan, according to a survey by Aon. The survey found just 17 per cent of the 325 organizations polled have started to make plans to accommodate the changes. More than a third (37 […]
The first phase in implementing the Canada Pension Plan enhancement is looming large. Employee and employer contribution rates will start to increase in 2019 and keep on rising until 2025. While it will take a very long time to phase in, the benefit level under the enhanced CPP will be up to 50 per cent bigger […]
Expand the Canada Pension Plan replacement rate to 50 per cent of earnings. Cap annual contributions to registered retirement savings plans at $22,000. Establish a public agency to administer terminated pension plans. Create a single-payer pharmacare plan for all of Canada. These are just a few of the suggestions put forth by the Canadian Centre for Policy […]
The Canada Pension Plan enhancement will cost 64,000 jobs by the time it’s fully in effect, according to a new analysis from the Canadian Federation of Independent Business. The report, conducted through the policy and economic analysis program at the University of Toronto’s Rotman School of Management, predicted negative job impacts would last until the late […]
Almost all Canadian middle-class families will see more money coming off their paycheques by the time changes to the Canada Pension Plan take full effect, according to a new report by the Fraser Institute. The report, released today, includes both the portion of CPP contributions paid by the employer and the employee in its calculations and accounts for the full […]
With the new year underway, recipients of Canada Pension Plan and old-age security benefits are getting a modest increase from the federal government. Effective Jan. 1, 2018, CPP payments will increase by 1.5 per cent for those already receiving benefits. For 2018, the maximum CPP retirement benefit for new recipients age 65 will be $1,134.17 per […]
With 2017 coming to a close and 2018 on the horizon, professionals in the pension, investment, benefits and human resources industries have a number of dates to add to their calendars for the new year. Jan. 1: Ontario’s new youth pharmacare program takes effect. It will provide universal coverage of all medicines listed in the Ontario Drug Benefit […]
As 2017 draws to a close, we turn our attention to the new year. As usual, there’s a lot happening in the Canadian pension environment. Below are four pension trends to watch for in 2018. 1. Canada Pension Plan/Quebec Pension Plan reform The Canada Pension Plan enhancements will be phased in from Jan. 1, 2019, and the Quebec […]
While total pension wealth rose for an eighth consecutive year in 2016, the wealth of employer-based pension plans increased at a much weaker pace than the previous year, according to Statistics Canada. Total pension wealth rose 3.8 per cent to $3.6 billion by the end of 2016, following a 5.1 per cent gain in 2015. The wealth of employer-based pension plans rose 3.5 per cent to […]
At a meeting in Ottawa on Monday, Canada’s finance ministers agreed in principle to a number of additional features in the Canada Pension Plan enhancement that would help further protect the value of retirement benefits during periods of low or no earnings for parents, persons with disabilities and young widows. The proposed changes are: Further support […]