Maximum CPP Premiums Rise at Double the Rate of Inflation

CRA has just announced the maximum contributory earnings for 2012 under the CPP, and  those figures generate a premium increase which at the maximum level will reach $2306.70 or $192.23 per month. Both employer and employee are required to contribution, which means that proprietors will pay $384.45 a month or $4613.40 when their contributory earnings are $50,100.

This means that the maximum CPP pension for 2012 will be $986.67 per month. (Average of maximum pensionable earnings for last five years x 25% / 12 months)

 

Additional Educational Resources: Distinguished Advisors Workshop, Financial Recovery in a Fragile World book.