In 2024, employees over the age of 18 who earn more than $3,500 per year must pay into the CPP. (As we mentioned above, if you live in Québec, you'll pay into the QPP, which has aslightly higher rate.) CPP contributions are split equally between employer and employee, based on ...
Then in 2019, the government phased in an increase in the employer-employee CPP contributions. From 2019 to 2023, the shared CPP contribution rate went from 9.9% to 11.9% (up to that year’s YMPE). Starting in 2024, the government has raised the amount of income considered for a “full...
One way involves a series of higher contribution rates from 2019 to 2023 and the other will involve a higher ceiling on how much annual income is subject to contributions in 2024 and 2025. By 2023, the employer’s contribution rate will be 5.95 per cent of an employee’s pensiona...
The taxes you pay into the systems differ as well. While employees in the U.S. pay 6.2% to Social Security, their neighbors to the north pay a slightly lower 5.95%. If you are self-employed in either country, you are responsible for paying the employer portion in addition to your own....
An increased contribution rate up to 5.95% was phased in from 2019 to 2023 on earnings up to the Year’s Maximum Pensionable Earnings (YMPE), or thefirstearnings ceiling. The additional 1% contribution rate is for both employee and employer. ...