canada pension plan
We are repeating this December 21 blog post to ensure employers, human resources professionals, payroll specialists, legal advisors, managers and supervisors among others start 2013 on the right foot.
The three most popular HRinfodesk articles this week deal with CPP rates for 2013, psychological health and safety, and investigating workplace violence.
It’s the time of the year again when employers and payroll specialists have to start their T4 year-end process and need to know what’s new in payroll for 2012. In addition, several changes to pension, employment standards and other legal requirements are coming into force January 1, 2012. This blog post provides you with a brief summary of some of the changes employers need to know and prepare for:
An earlier First Reference Talks blog post dealt with CPP contribution changes effective January 2012. This post will deal with changes to the Canada Pension Plan (CPP) benefits and the Post-Retirement Benefit your employees need to know.
On January 1, 2012, changes to the rules for deducting CPP contributions will come into effect. These legislative changes do not affect the salary or wages of an employee who is considered to be disabled under the CPP, nor do they affect the salary and wages of a person who has reached 70 years of age. In addition, individuals will not be affected by these changes if they started receiving a CPP retirement pension before December 31, 2010, and they remain out of the workforce. So, what do employers need to know?
Starting in 2012, the federal and provincial governments are making a series of changes to the Canada Pension Plan that affect employees aged between 60 and 70. These changes permit CPP and QPP contributions for employees when CPP or QPP retirement benefits are received, before employees turn 70 years of age. These changes bring the CPP into line with similar changes made to the QPP in 1997.The purpose, in part, is to offer more support to employees who wish to phase in their retirement.
On Monday December 20, 2010, Finance Minister Jim Flaherty announced that the provinces, territories and the federal government came to an agreement during their meeting in Alberta to move ahead with a new private-sector pension plan called the pooled registered pension plan framework. This means any talk regarding the expansion of the Canada Pension Plan is put on hold for now.
It is an accepted principle of corporate law that the owners or managers of a corporation are not legally liable personally for the debts of that corporation. However, since the inception of limited liability, corporations have sought to avoid payment of various debts by hiding behind what is referred to as the “corporate veil”. Some of these efforts have been so flagrant a misuse of the principle that courts have struggled to “pierce the corporate veil” and impose legal liability on directors of the corporation for certain conduct.
Recently, questions and concerns have been raised about the adequacy of future retirement income for certain members of the Canadian population. These concerns have received particular attention in light of the global ecomonic downturn and other emerging issues, such as longer life expectancy, imminent baby boomer retirements, and declining private pension plan coverage.
But who’s going to explain them to you? Or maybe more importantly, who’s going to explain whether the changes mean anything to you?