The Canada Pension Plan (CPP) is a mandatory pension plan established in 1965 by the Liberal government to provide retirement benefits to Canadians. It is managed by the Canada Pension Plan Investment Board, a Crown corporation established in 1997 to oversee and invest the funds contributed to the CPP. As of 2015, it manages over $282 billion Canadian dollars in assets for 18 million Canadians. The Liberal party has proposed policies such as lowering the age for receiving Old Age Security from 67 to 65 and pushing the CPP Investment Board to invest more in Canadian infrastructure projects.
4. What is CPP?
• The Liberal government of Prime Minister Lester B. Pearson in 1965
first established the Canadian Pension Plan
• In March 2013, average monthly benefits for new retirement pension
(taken at age 65) was $596.66 and the maximum amount was
$1,012.50. Monthly benefits are adjusted every year based on the
Consumer Price Index. CPP benefit payments are taxable as ordinary
income.
5. CPPIB
• The CPP Investment Board, formally the Canada Pension Plan
Investment Board, is a Canadian Crown corporation established in
1997 to oversee and invest the funds contributed to and held by
the Canada Pension Plan (CPP). As of December 31, 2015, the CPP
Investment Board manages over C$282 billion in investment assets
for the Canada Pension Plan on behalf of eighteen million Canadians.