RSS feed for this section

Archive | Corporate Tax

RPP-Defined Benefit Plan

Defined benefit plans are far more predictable because the employee knows how much his/her pension will be upon retirement. The benefit that the employee eventually receives is based on one of, or a combination of, the following factors: a pre-determined percentage of the employee’s salary over a specified number of years (for example, 2% of […]

The Registered Pension Plan (RPP)

An RPP is a formal arrangement where the employer contributes periodic payments on behalf of am employee to a trust for the employee’s retirement. The rules stipulate that the employee must be a member of the registered pension plan. “Member” is defined in subsection 147.1(1) as a person who has a right (absolute, or contingent […]