ARTICLE · 16 JANUARY 2012

Canada Pension Plan Changes - A Summary Of The Most Recent Changes Affecting The Canada Pension Plan

Crowe Soberman LLP

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On December 15, 2009, the Canadian government passed changes to the Canada Pension Plan (CPP). Some of these changes began taking effect on January 1, 2012. This article outlines what these changes are and how they might affect you.

CanadaTax

Alice Madolciu, CPA, CA

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On December 15, 2009, the Canadian government passed changes to the Canada Pension Plan (CPP). Some of these changes began taking effect on January 1, 2012. This article outlines what these changes are and how they might affect you.

CPP Contribution Requirements

Most notably, if you are 65 years of age or younger, you will have to contribute to the CPP if you are receiving a CPP retirement pension and working. If you are 66 to 70 years of age, you will have this same requirement unless you elect to stop contributing to the CPP.

If you are self-employed, you can make the election by completing the applicable section of Schedule 8 - CPP Contributions on Self-Employment and Other Earnings for 2012. Once complete, file it with your 2012 income tax return. The first month following the month of your 65th birthday is the earliest the election can become effective.

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