Category Pension Reform

Expanded CPP agreement reached- in principle

In a nutshell The expanded CPP is a key element addressing Canada’s pension crisis. Proposed level of expanded CPP is acceptable, but the 49 year phase-in period makes addressing other problems of Canada’s retirement income system urgent. Needed changes include: higher savings rates, low-cost accumulation/decumulation vehicles, longevity insurance, fiduciary level of care/advice for all retirement […]

Hot Off the Web-October 22, 2015: Pensions and Retirement Income (incl. Nortel’s Canadian pension update)

Contents: Nortel pension update, USSteel/Stelco reaffirms no private sector pension protection in Canada, ORPP or CPP- putting all the eggs in one basket? actuarial delusions? target-date funds glide-paths still not right- it depends, Vanguard: next 10 year 60/40 portfolio return expected in range of 3-5% real, income replacement ratio is not target retirement metric, fiduciary? […]

Input to Government of Canada request for consultation on voluntary CPP

In a nutshell The Government of Canada has recently announced a call for “Consultations on a Voluntary Supplement to the Canada Pension Plan” . The deadline for inputs is September 10, 2015 and the contact information is provided in the link. If you are opinionated on this important subject, please do so before the indicated deadline. […]

‘Voluntary CPP’? It could be great! The devil is in the details

In a nutshell We don’t know what it is, but ‘Voluntary CPP’ can be a powerful addition to existing CPP. It presents an opportunity to offer effective retirement vehicles to all Canadians and deliver superior outcomes in concert with existing CPP.  A ‘Voluntary CPP’ addition: can overcome the current exclusion of homemakers/caregivers, can ‘nudge’ Canadians to a […]

Auditor: Ontario fails to protect pension plan members! And Nortel pensioners await resolution 7th year post bankruptcy.

In a nutshell Two private sector pension related bad news stories landed in my inbox in the past week: (1) the Auditor General of Ontario warns that the province (via its monitoring arm the Financial Services Commission of Ontario, the FSCO) does an inadequate job in protecting pension plan members and (2) Nortel pension windup, […]

Expanded CPP is dead? Long live pension reform!?!

 In a nutshell The expanded CPP appears dead, for now anyways; this time killed by the federal government. With apparent consensus on the need for pension reform, over the past few years the possibility of an expanded CPP sucked all the oxygen out of the debate on the best type of pension reform for Canada. […]

Expanded CPP: Should address the needs of ALL Canadians

 In a nutshell Expanded CPP is back on the table again with federal and provincial finance ministers all agreeing that it has merit. In the context of this newly emerged consensus around some form of CPP expansion, though not about its timing, it is useful to look at the pros/cons of an expanded CPP. Given […]