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The real winners of the CPP ehancements
– moneysense.ca
OTTAWA – Proposed changes to the Canada Pension Plan will help significantly boost retirement income for Canadians, but only long after they are implemented.
Those already in the workforce, especially those closer to the end of their working lives than the beginning, shouldn’t be looking to the enhancements for help in retirement, experts say.
Investment specialist Robert Kazan of Alterna Savings suggests that those who are going to benefit fully from the changes haven’t yet even started their careers.
This is how much you’ll get from the CPP changes »
“It’s really going to be the teenagers, those born after the year 2000, who are going to get the full benefit, more so than the middle-career earners or pre-retirement workers,” he says.
The tentative changes will see the amount Canadians receive from CPP increase from one quarter of their eligible earnings to one-third. The maximum amount of income covered by CPP will also increase by 14 per cent to roughly $82,700 by 2025…
Those already in the workforce, especially those closer to the end of their working lives than the beginning, shouldn’t be looking to the enhancements for help in retirement, experts say.
Investment specialist Robert Kazan of Alterna Savings suggests that those who are going to benefit fully from the changes haven’t yet even started their careers.
This is how much you’ll get from the CPP changes »
“It’s really going to be the teenagers, those born after the year 2000, who are going to get the full benefit, more so than the middle-career earners or pre-retirement workers,” he says.
The tentative changes will see the amount Canadians receive from CPP increase from one quarter of their eligible earnings to one-third. The maximum amount of income covered by CPP will also increase by 14 per cent to roughly $82,700 by 2025…
