Accurately Calculating Your CPP Payment: A Step-by-Step Guide

Learn more about the @NeoFinancial Cashback Mastercard here: Get a $50 credit + receive 15% cashback on your first purchase with this link! #NeoFinancial #MeetNeo #sponsored Figuring out what your CPP payment will be is an extremely complicated process, but these 3 calculators will give you a good idea of what it should be, assuming your situation is on the simpler side. If you are on CPP disability, the survivor pension, or have child dropout years, then these calculators probably won't be as useful. In those situations, it will be helpful to reach out to Doug Runchey for his services at Calculator 1: Calculator 2: Calculator 3: Doug Runchey's article on CPP's formula: If you have any further questions about this video's topic or any financial planning questions in general, I encourage you to find a certified financial planner in your area or book a consultation with us to get your savings plan on track.  You can learn more about our services at or email Info@Parallelwealth.com 5 ways to level up your financial plan: Personal Finance for Canadians for Dummies: Free Credit Report with Borrowell: Retirement Income for Life: Getting More without Saving More (Second Edition): 20% off an online Will at www.willful.co use promo code: ‘PWFG20’ Join the Investing Academy: OUTLINE 0:00 - Intro 0:44 - The Complexity of CPP 1:20 - Doug Runchey Article 2:44 - Calculator One 4:14 - Neo Financial 5:58 - Calculator Two 7:24 - Calculator Three 8:34 - Child Rearing Years 9:13 - We're Trying To Make One! This presentation is intended for information purposes only and does not constitute an offer to buy or sell our products or services nor is it intended as investment and/or financial advice on any subject matter. Every effort has been made to ensure the accuracy of its contents. Certain of the statements made may contain forward-looking statements, which involve known and unknown risk, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Returns are not guaranteed and past performance may not be repeated. ----------------------------------------- DISCLAIMER: The videos and opinions on this channel are for informational and educational purposes only and do not constitute investment advice. Adam Bornn is not registered to provide investment advice and as such does not provide recommendations - those looking for investment advice should seek out a registered professional. Adam is not responsible for investment actions taken by viewers and his content should not be used as a basis for investment trades....(read more)

---

LEARN MORE ABOUT: Qualified Retirement Plans REVEALED: How To Invest During Inflation HOW TO INVEST IN GOLD: Gold IRA Investing HOW TO INVEST IN SILVER: Silver IRA Investing

---

When it comes to retirement planning, one of the key components for Canadians is the Canada Pension Plan (CPP) payment. CPP is a government program that provides a monthly income to individuals who have made contributions to the plan throughout their working years. To calculate your CPP payment accurately, there are a few factors that you need to consider: 1. Contribution Period: The CPP payment is based on the number of years you have made contributions to the plan. The standard calculation considers the number of years from the age of 18 to 65. However, there is a dropout provision that eliminates the lowest earning years from the calculation. 2. Retirement Age: The age at which you start receiving your CPP payment can affect the amount you receive. The standard age of eligibility is 65, but you can choose to start receiving your payment as early as age 60 or delay it until age 70. Starting before 65 will result in a reduction in your payment, while delaying it will increase your payment. 3. Average Earnings: CPP takes into account your average earnings throughout your working years. The amount is calculated by indexing your earnings to the current year's maximum pensionable earnings and then averaging the indexed earnings over your contributory period. Once you have considered these factors, follow these steps to calculate your CPP payment: Step 1: Obtain your Statement of Contributions from Service Canada. This statement provides valuable information about your earnings history and the number of years you have contributed. Step 2: Calculate your average earnings. Take your earnings for each year and multiply them by the corresponding Yearly Maximum Pensionable Earnings (YMPE). Then, divide the total by the number of years you have contributed. Step 3: Apply the dropout provision. If you have contributed for more than 39 years, drop out the lowest earning years until you have 39 years of contributions. Step 4: Determine the monthly payment at age 65. You can find the CPP benefit rates on the Service Canada website, which are updated yearly. Multiply your average earnings by the CPP benefit rate to get your estimated monthly payment. Step 5: Adjust for early or delayed retirement. If you choose to start receiving your CPP payment before or after the age of 65, you will need to apply an adjustment factor. The adjustment factor is based on the number of months you start before or after 65. It's important to note that these are general guidelines, and the actual calculation of your CPP payment may vary. Factors such as disability, survivor benefits, and other income sources can also affect your CPP payment. In conclusion, calculating your CPP payment accurately requires considering your contribution period, retirement age, and average earnings. By following the steps outlined above and utilizing the resources provided by Service Canada, you can estimate your CPP payment and plan for a financially secure retirement. https://inflationprotection.org/accurately-calculating-your-cpp-payment-a-step-by-step-guide/?feed_id=143802&_unique_id=6522a4ee55847 #Inflation #Retirement #GoldIRA #Wealth #Investing #childrearingyearscpp #cppat60 #cppat65 #cppat70 #cppcalculation #cppdisability #cppexplained #dougruncheycpp #FinancialPlanning #howtocalculatecpp #ParallelWealth #passiveincome #Retirement #retirementplanning #RRSP #savings #survivorspension #TaxPlanning #TFSA #wealth #whentotakecpp #QualifiedRetirementPlan #childrearingyearscpp #cppat60 #cppat65 #cppat70 #cppcalculation #cppdisability #cppexplained #dougruncheycpp #FinancialPlanning #howtocalculatecpp #ParallelWealth #passiveincome #Retirement #retirementplanning #RRSP #savings #survivorspension #TaxPlanning #TFSA #wealth #whentotakecpp