CPP

Tuesday June 21, 2016

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator Ð Tuesday June 21, 2016 CPP reform to dominate finance ministers meeting in Vancouver The federal finance minister says revamping the Canada Pension Plan is critical to ensuring that future generations of Canadians can retire in dignity, no matter the state of their finances. Bill Morneau joined his provincial and territorial counterparts in Vancouver today to discuss reforming the national pension program over concerns that some Canadians will struggle financially come retirement. The pressure is on to reach a deal as Ontario's plans to develop its own pension program are well on their way, though the province's finance minister says his preference would be for a national plan. Ontario wants a deal now, but Saskatchewan and B.C. have suggested the economic conditions aren't right for a change that's likely to lead to an increase in the premiums that come off workers' paycheques. That premium hike is why some critics of the expansion call it a payroll tax, a common refrain from the Opposition Conservatives who oppose an across-the-board expansion of the program. The ministers could agree to that or to more selectively target those Canadian workers who are the least likely to save. Federal research has suggested that group tends to be under the age of 30, earns between $55,000 and $75,000 (although some estimates are higher), and either doesn't save enough or lacks access to a workplace pension plan. The federal and provincial governments are looking at a possible increase in the $55,000 cap on annual maximum pensionable earnings, which would result in both higher premiums and increased pension benefits. Resolving the issue could be harder than changing the Constitution. A change to the CPP requires provinces representing two-thirds of the population; a constitutional amendment needs seven provinces representing at least half. (Source: CBC News)Êhttp://www.cbc.ca/news/business/finance-minister-cpp-1

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Tuesday June 21, 2016

CPP reform to dominate finance ministers meeting in Vancouver

The federal finance minister says revamping the Canada Pension Plan is critical to ensuring that future generations of Canadians can retire in dignity, no matter the state of their finances.

Thursday October 15, 2015Bill Morneau joined his provincial and territorial counterparts in Vancouver today to discuss reforming the national pension program over concerns that some Canadians will struggle financially come retirement.

The pressure is on to reach a deal as Ontario’s plans to develop its own pension program are well on their way, though the province’s finance minister says his preference would be for a national plan.

Ontario wants a deal now, but Saskatchewan and B.C. have suggested the economic conditions aren’t right for a change that’s likely to lead to an increase in the premiums that come off workers’ paycheques.

That premium hike is why some critics of the expansion call it a payroll tax, a common refrain from the Opposition Conservatives who oppose an across-the-board expansion of the program.

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator - Tuesday June 15, 2010 Planning for the Future For the past two years, the federal government and provincial finance ministers have been looking at what to do to help Canadians better prepare for retirement. When the bottom fell out of the stock market in the financial crisis that swept the world in 2008, company pensions and registered retirement savings plans were hit hard. It was feared that some pension plans would not be able to meet their obligations to current and future retirees Ñ and that some retirees would have no pension at all if the companies they worked for went bankrupt. People who had to rely on RRSP savings faced the prospect of having to work several years longer than planned to make up for their losses. While markets have recovered much of what they gave up and many plans that were at risk are solvent again, Canadians are still worried about what their retirements will look like. An Ipsos Reid poll commissioned for the Canadian Institute of Actuaries suggests 42 per cent of Canadians over the age of 45 feel they are not financially prepared to live comfortably after they leave the workforce. Seventy-two per cent said they were concerned about maintaining a reasonable standard of living in retirement. A similar poll done by Ipsos Reid in November 2006 for BMO Financial Group suggested that 70 per cent of Canadians don't feel they're on track with their retirement savings Ñ or don't know if they're on track.Ê(Source: CBC News)Êhttp://www.cbc.ca/news/business/what-s-being-discussed-1.955300 Canada, retirement, CPP, RRSP, consumerism, consumers, planning, savings, advice, Best Buy, electronics

June 15, 2010

The ministers could agree to that or to more selectively target those Canadian workers who are the least likely to save.

Federal research has suggested that group tends to be under the age of 30, earns between $55,000 and $75,000 (although some estimates are higher), and either doesn’t save enough or lacks access to a workplace pension plan.

The federal and provincial governments are looking at a possible increase in the $55,000 cap on annual maximum pensionable earnings, which would result in both higher premiums and increased pension benefits.

Resolving the issue could be harder than changing the Constitution. A change to the CPP requires provinces representing two-thirds of the population; a constitutional amendment needs seven provinces representing at least half. (Source: CBC News)

Published in the Ottawa Citizen

Published in the Ottawa Citizen

Thursday October 15, 2015

By Graeme MacKay, Editorial Cartoonist, The Hamilton Spectator - Thursday October 15, 2015 Trudeau win could cancel need for Ontario pension, Wynne says A majority win for Justin TrudeauÕs Liberals next Monday could ÒabsolutelyÓ negate the need for an Ontario pension plan, says Premier Kathleen Wynne. ThatÕs because Trudeau has promised to enrich the existing Canada Pension Plan, possibly making the proposed complementary Ontario Retirement Pension Plan redundant. ÒIf we have a partner in Justin Trudeau to sit down and work out what theyÕre looking at as an enhancement to CPP that was always my starting point,Ó Wynne said Tuesday as she campaigned in four ridings in Toronto, Oakville, and Burlington to help the federal Liberals. ÒThat was the solution. A couple of years ago, thatÕs what we were looking at. We were looking at finance ministers across the country who agreed that theyÕre needed to be a change to the Canada Pension Plan,Ó she said. She noted two-thirds of Ontarians have no workplace pension. WynneÕs provincial Liberals introduced the ORPP, which takes effect in 2017, after Conservative Leader Stephen Harper refused to improve CPP benefits, which pay out a maximum of about $12,000 annually. Under the scheme, workers without a plan would have to contribute 1.9 per cent of their pay, which would be matched by their employers. On the eve of launching the 11-week election campaign, Harper said Ottawa would not aid QueenÕs Park by administering the new provincial plan, which he views as a Òpayroll tax.Ó ÒKathleen Wynne is mad that I wonÕt help her do that,Ó he said in August. ÒYouÕre bloody right. The Conservative government is not going to help bring in that kind of tax hike.Ó But Trudeau, who is leading in most opinion polls, has repeatedly pledged to boost CPP and work with Wynne to bolster retirement security. (Source: Toronto Star) http://www.thestar.com/news/queenspark/2015/10/13/trudeau-win-could-negate-need-for-ontario-pension-wynne.html O

By Graeme MacKay, Editorial Cartoonist, The Hamilton Spectator – Thursday October 15, 2015

Trudeau win could cancel need for Ontario pension, Wynne says

A majority win for Justin Trudeau’s Liberals next Monday could “absolutely” negate the need for an Ontario pension plan, says Premier Kathleen Wynne.

That’s because Trudeau has promised to enrich the existing Canada Pension Plan, possibly making the proposed complementary Ontario Retirement Pension Plan redundant.

“If we have a partner in Justin Trudeau to sit down and work out what they’re looking at as an enhancement to CPP that was always my starting point,” Wynne said Tuesday as she campaigned in four ridings in Toronto, Oakville, and Burlington to help the federal Liberals.

“That was the solution. A couple of years ago, that’s what we were looking at. We were looking at finance ministers across the country who agreed that they’re needed to be a change to the Canada Pension Plan,” she said.

She noted two-thirds of Ontarians have no workplace pension.

Wynne’s provincial Liberals introduced the ORPP, which takes effect in 2017, after Conservative Leader Stephen Harper refused to improve CPP benefits, which pay out a maximum of about $12,000 annually.

Under the scheme, workers without a plan would have to contribute 1.9 per cent of their pay, which would be matched by their employers.

On the eve of launching the 11-week election campaign, Harper said Ottawa would not aid Queen’s Park by administering the new provincial plan, which he views as a “payroll tax.”

“Kathleen Wynne is mad that I won’t help her do that,” he said in August. “You’re bloody right. The Conservative government is not going to help bring in that kind of tax hike.”

But Trudeau, who is leading in most opinion polls, has repeatedly pledged to boost CPP and work with Wynne to bolster retirement security. (Source: Toronto Star)

 

Wednesday, December 18, 2013

Wednesday, December 18, 2013Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Wednesday, December 18, 2013

Canada Pension Plan reform stalls without Ottawa’s support

Finance Minister Jim Flaherty insists economy too fragile for premium increases

Ontario is ready to go ahead with pension reform on its own after Ottawa blocked a consensus on Canada Pension Plan reform.

At a news conference following a meeting with his provincial counterparts in Meech Lake, Que., federal Finance Minister Jim Flaherty said now is not the time to move on the pension issue . Flaherty said there was a “frank discussion” about CPP changes, but he believes the economy is too fragile.

“We believe that CPP payroll taxes can hurt the economy and distract from what truly matters for all Canadians — keeping our economy strong and our finances in a strong fiscal footing is the plan of this government,” Flaherty said.

“Now is the time for fiscal discipline. And that is why all governments must focus on encouraging job growth and getting their fiscal houses in order. Now is not a time for CPP payroll tax increases,” Flaherty said.

Two hours later, Ontario Finance Minister Charles Sousa issued a press release saying the province would implement a made-in-Ontario solution to the pension conundrum.

“Given today’s unfortunate stall tactic by the federal government, we will move forward to implement a made-in-Ontario alternative to protect Ontario workers in their retirement,” Sousa said.

He laid blame for the lack of consensus squarely at Flaherty’s door, saying the federal minister was stalling what could have been an agreement among the provinces.

“Doing nothing is not a solution to this problem and will not give Ontarians the security they need to retire. We have to act and that’s what Ontario will do,” Sousa said. (Source: CBC News)

Tuesday June 15, 2010

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator - Tuesday June 15, 2010 Planning for the Future For the past two years, the federal government and provincial finance ministers have been looking at what to do to help Canadians better prepare for retirement. When the bottom fell out of the stock market in the financial crisis that swept the world in 2008, company pensions and registered retirement savings plans were hit hard. It was feared that some pension plans would not be able to meet their obligations to current and future retirees Ñ and that some retirees would have no pension at all if the companies they worked for went bankrupt. People who had to rely on RRSP savings faced the prospect of having to work several years longer than planned to make up for their losses. While markets have recovered much of what they gave up and many plans that were at risk are solvent again, Canadians are still worried about what their retirements will look like. An Ipsos Reid poll commissioned for the Canadian Institute of Actuaries suggests 42 per cent of Canadians over the age of 45 feel they are not financially prepared to live comfortably after they leave the workforce. Seventy-two per cent said they were concerned about maintaining a reasonable standard of living in retirement. A similar poll done by Ipsos Reid in November 2006 for BMO Financial Group suggested that 70 per cent of Canadians don't feel they're on track with their retirement savings Ñ or don't know if they're on track.Ê(Source: CBC News)Êhttp://www.cbc.ca/news/business/what-s-being-discussed-1.955300 Canada, retirement, CPP, RRSP, consumerism, consumers, planning, savings, advice, Best Buy, electronics

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Tuesday June 15, 2010

Planning for the Future

For the past two years, the federal government and provincial finance ministers have been looking at what to do to help Canadians better prepare for retirement.

When the bottom fell out of the stock market in the financial crisis that swept the world in 2008, company pensions and registered retirement savings plans were hit hard. It was feared that some pension plans would not be able to meet their obligations to current and future retirees — and that some retirees would have no pension at all if the companies they worked for went bankrupt.

People who had to rely on RRSP savings faced the prospect of having to work several years longer than planned to make up for their losses.

While markets have recovered much of what they gave up and many plans that were at risk are solvent again, Canadians are still worried about what their retirements will look like.

An Ipsos Reid poll commissioned for the Canadian Institute of Actuaries suggests 42 per cent of Canadians over the age of 45 feel they are not financially prepared to live comfortably after they leave the workforce.

Seventy-two per cent said they were concerned about maintaining a reasonable standard of living in retirement.

A similar poll done by Ipsos Reid in November 2006 for BMO Financial Group suggested that 70 per cent of Canadians don’t feel they’re on track with their retirement savings — or don’t know if they’re on track. (Source: CBC News)