Under the current Canada Pension Plan (CPP) rules, employees and employers are not required to pay CPP contributions for employees who are working while collecting CPP. However, effective Jan. 1, 2012, if an employee is under age 65 and continues to work while receiving CPP, both the employer and employee will be required to make CPP contributions.
Canada’s pension system rounds out the top 10 of the most stable systems in the world, according to research by Allianz Global Investors.
When it comes to government benefits, chances are many of your employees don’t know what’s available or what they’re entitled to. Is it your job to enlighten them? Maybe not. But if you accept the fact that government benefits can have a significant impact on the economic well-being of retired employees, and if you care […]
Canadian pension plans hold 5% of the globe’s pension fund assets—the fourth largest share in the world—according to a recent study by Towers Watson and Pensions & Investments. The survey of the world’s 300 largest pension funds found the U.S. remains the country with the largest share of assets at 34%, although this has declined […]
Pension funds have been active in mergers and acquisitions (M&A) for the second quarter of 2011, reports the Financial Post Crosbie: Mergers & Acquisitions in Canada database. Financial sponsors had 12 mergers and acquisitions over $100 million in the second quarter of 2011, nine of which involved pension funds. The 12 transactions were valued at […]
The CPP fund ended the first quarter of fiscal 2012 on June 30, 2011, with net assets of $153.2 billion, an increase of $5.0 billion from the previous quarter ended March 31, 2011. The increase in net assets this quarter resulted from $1.3 billion of investment income, generated primarily from private assets in the portfolio, […]
The Canadian Labour Congress has openly criticized the federal government’s plans to push ahead with its Pooled Retirement Pension Plan, calling it a “lemon.” Meanwhile, Hon. Ted Menzies, minister of state (finance), has embarked on a cross-country blitz to promote the plan, despite not being able to offer details about how it will work. “Minister […]
The C.D Howe Institute warns those advocating for expanding the CPP to not be fooled by the fund’s good returns and perceived sustainability. The CPP and the Quebec Pension Plan (QPP) are not guaranteed benefits; they are target benefits and need to be treated as such. “Treat the CPP as a DB plan making firm […]
While the budget delivered positive news for the economic growth of Canada (the federal finances are in better shape now than they were when the previous budget document was tabled in March), there was no additional update to the state of pension reform in Canada—which is concerning to some. Working with the pooled registered pension […]
The Office of the Chief Actuary (OCA) of Canada has released the findings of an external peer review panel commissioned to review the 25th Actuarial Report on the Canada Pension Plan (CPP). The external panel’s findings confirm that the work performed by the OCA on the report meets all professional standards of practice and statutory […]