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Canada Pension Plan (CPP) contributions to be reduced beginning in 2027

September 24, 2026

Beginning in 2027, the federal government will reduce both employee and employer Canada Pension Plan (CPP) contributions from 5.95% to 5.75% for earnings between $3,500 and the Year’s Maximum Pensionable Earnings (YMPE).

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CPP contributions to be reduced beginning in 2027PDFPDF.1MB
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Retirement