Federal Pension Indexation

At the end of each year, the Treasury Board provides the Association with information on the pension indexing increase that is effective on January 1st. The pension indexation rate effective January 1, 2024, is 4.8%.

CPP Indexing

The maximum pensionable earnings under the Canada Pension Plan (CPP) for 2023 is $66,600 – up from $64,900 in 2022.

NEW: The maximum pensionable earnings under the Canada Pension Plan (CPP) for 2024 is $68,500.
The employee and employer contribution rates for 2024 will remain at 5.95% – the same as 2023.  (The self-employed rate remains at 11.9%)

Starting in 2024, a second earnings ceiling of $73,200 will be implemented. Contribution rates for the “CPP2” level above $68,500 will be 4%.

The indexing rate (COLA) for current pension recipients for January 2024 is 4.4%, based on the average CPI from November 2022 to October 2023.