ben123

Hi,

Can you clarify the pension set-up in Canada.
Does your employer contribute towards your pension or state pension.
Are there private pension schemes available to make your own contributions.
I am particulary interested in BC if this varies from province to province.

iaink

There are many levels

There is a basic state provision, that everyone whos been in canada at least 10 years gets regardless (Old age security)

Then there is an additional state provision, the Canada Pension Plan (CPP). That one is paid into by both yourself and your employer (or you just pay more if you are self employed). What you get out depends on what you pay in, and for how many years you contributed. The contributions are capped at a certain point annualy at which point you dont pay anymore in until next year, and so is the payout, it maxes out at a pretty basic level.

There are employer provided pensions, although not all employers/ employees have plans. Fewer than half of working canadian will have an employer pension. Details will depend on the given employer.

Best to plan on a large chunk of retirement income coming from private pensions savings, RRSPs (registered retirement savings plans)... sometimes employers match contributions to those, if you are lucky, but basically thats something you want to be putting savings into ASAP to reap the maximum benefits from the allowances.

Then there is anything you are owed and can get out of the UK government, which of course will not be indexed linked once you start to claim it.

There is a government site covering the details here
http://www.hrsdc.gc.ca/asp/gateway.a...c.shtml&hs=rzp

and a scary retirement income calculator here:

https://srv260.hrdc-drhc.gc.ca/English-App/INT_01.asp

Quebec has similar but separate pensions

ann m

Excellent link - but yes, scary indeed !
Oh, to be 18 again, with a sensible pension-wise head on .
Oh bugger that, I enjoyed 18 just as it was