Payroll deduction highlights new CPP agreement
The new $7 Canada Pension Plan deduction starting each month in 2019 should be kept in mind, says a Battlefords financial advisor.
New changes to CPP were agreed upon on Monday by the federal government and eight out of 10 provinces; including Saskatchewan.
Certified Financial Advisor with Hein Financial Group in North Battleford, Janaye Chubb, said the biggest takeaway for people are the increases in payroll deductions and expenses. The system is designed so each generation of workers pays for its own retirement and Chubb said this will have a great impact on future retirees.
“Those that are, say, 10 years out from retirement, those are the people that really need to make sure their plan is integrating the new rules and any financial plans. It’s going to be a change and it’s just something that needs to be accounted for,” she said.