Quote:
Originally Posted by MoneyGuy
Slava, I didn’t want to start a new thread. Are there cuts coming to CPP benefits?
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Not that I've seen? If anything the benefits will increase as people are paying more beginning this year. It's to bring the benefit up from roughly 25% income replacement to about 33%, bearing in mind that this isn't of course your actual income, but the YMPE, which will be around $61k/year. (I know that you know that, but just thought I'd note it for anyone who wasn't aware!)
Also, I guess I should note that this 1/3rd replacement would be if you paid enough in through your working career. At present, purely ballparking on my part, I would guess that the average income replacement achieved is about 12.5% of the YMPE...but I haven't done that math and am just thinking off the top of my head.