CPP 2020
CPP rates have been announced and will again be changing in 2020, this is part of the first phase of the CPP enhancement program started by the government in 2019.
Below is a chart showing both the 2020 and 2019 CPP information.
| 2020 | 2019 | |
| Maximum Annual Pensionable Earnings | $60,100 | $57,400 |
| Basic Exemption | $3,500 | $3,500 |
| Maximum Contributory Earnings | $56,600 | $53,900 |
| Contribution Rate | 5.25% | 5.10% |
| Maximum Annual Employer & Employee Contributions | $2,972 | $2,748.90 |
| Maximum Annual Self-Employed Contributions | $5,944 | $5,497.80 |
The CPP enhancement program sees rates rising until 2023, where they will reach a 5.95% contribution rate.
After 2023, the second phase will take place, where two different rates will be in effect.
Once you have reached the first earnings limit, you will move to the second tier and contribute 4% on this income until you reach the second earnings limit.
You can find more information on this program here.
