CD 2013-023

1. Purpose

1.1. The purpose of this directive is to provide client departments and pay offices (POs) with the Canada Pension Plan (CPP) and the Quebec Pension Plan (QPP) rates, tax exemptions and earnings for the 2014 taxation year.

2. Policy

2.1. Canada Pension Plan

For the 2014 taxation year, the contribution rate for the CPP remains unchanged at 4.95% of all contributory earnings.

2.2. The CPP maximums and exemption for the 2014 taxation year are as follows:

• Maximum Pensionable Earnings: $52,500
• Basic Exemption: $3,500
• Maximum Contributory Earnings: $49,000
• Maximum Contribution: $2,425.50

2.3. Quebec Pension Plan

For the 2014 taxation year, the contribution rate for the QPP will be 5.175% of all contributory earnings.

2.4. The QPP maximums and exemption for the 2014 taxation year are as follows:

• Maximum Pensionable Earnings: $52,500
• Basic Exemption: $3,500
• Maximum Contributory Earnings: $49,000
• Maximum Contribution: $2,535.75

3. Procedures and Instructions

3.1. Effective January 1, 2014, the Regional Pay System (RPS) will be updated with the contribution rates, maximums and exemptions for each of these plans.

4. Inquiries

4.1. Any inquiries on the information contained in this document should be addressed to your Public Works and Government Services Canada (PWGSC) Compensation Services Office.

Reference(s): CJA 9006-12

Information Notice to Employees

Canada Pension Plan and Quebec Pension Plan - 2014 Taxation Year

The purpose of this notice is to provide you with the Canada Pension Plan (CPP) and the Quebec Pension Plan (QPP) rates, tax exemptions and earnings for the 2014 taxation year.

Contributions to these plans are based on the province of employment. Employees working anywhere except Quebec contribute to the CPP, while employees working in Quebec contribute to the QPP.

Canada Pension Plan

For the 2014 taxation year, the contribution rate for the CPP remains at 4.95% of all contributory earnings.

The CPP maximums and exemption for the 2014 taxation year are as follows:

• Maximum Pensionable Earnings: $52,500
• Basic Exemption: $3,500
• Maximum Contributory Earnings: $49,000
• Maximum Contribution: $2,425.50

Quebec Pension Plan

For the 2014 taxation year, the contribution rate for the QPP will be 5.175% of all contributory earnings.

The QPP maximums and exemption for the 2014 taxation year are as follows:

• Maximum Pensionable Earnings: $52,500
• Basic Exemption: $3,500
• Maximum Contributory Earnings: $49,000
• Maximum Contribution: $2,535.75

Any inquiries on the information contained in this notice should be addressed to your compensation advisor.