A survey shows that an expanded Canada/Quebec Pension Plan (C/QPP) is considered to be the best way to improve Canada’s retirement income system.
Benefits Canada - When asked to identify the most cost-effective way to improve Canada’s retirement income system, 32% opted for an expansion of the C/QPP, according to Morneau Shepell’s 60-Second Survey. This would affect future service only and involve an increase in both the benefit rate (to 35%) and the earnings ceiling (to $76,000).
The other possibilities were to require every employer and employee to contribute 2% of annual pay up to $76,000 to a supplementary C/QPP DC arrangement (selected by 23%) and to auto-enroll everyone in a pooled registered pension plan (PRPP) without employers being required to contribute and to allow individuals to opt out (20%).
Read the full article: Some employers support CPP expansion