Still not saving enough to retire comfortably on your own terms?

The new Pooled Registered Pension Plan is an easier and more affordable retirement savings option. Your own contributions are tax deductible, employer contributions are not considered a taxable benefit to you, and you get simple investment options that are easy to choose.

PRPPs are designed to :

  • 1
    Provide a new accessible, straightforward and administratively low-cost retirement savings option for employers to offer their employees;
  • 2
    Allow individuals who currently may not participate in a pension plan, such as the self-employed and employees of companies that do not offer a pension plan, to make use of this new type of pension plan;
  • 3
    Enable more people to benefit from the lower investment management costs that result from membership in a large, pooled pension plan;
  • 4
    Allow for accumulated PRPP savings to move with PRPP members from job to job; and,
  • 5
    Ensure that funds are invested in the best interest of plan members.

What is Ceridian doing to help?

Ceridian is currently integrating with the industry's leading providers to minimize the extra administrative burden of a workplace savings plan, whether your employer already offers a plan or not.

This significantly reduces the administrative burden associated with offering a workplace retirement savings plan, including making and updating your contributions.

Benefits of this integration include:

  • Automatically sends new and updated employee data (such as address changes) to your PRPP administrator
  • Automatically uploads contribution change information from the administrator to payroll
  • Saves 60 minutes of administration per payroll, giving you more time to focus on core responsibilities if you work in payroll or benefits
  • Eliminates duplicate data entry, reduces errors
  • Your contribution funds are automatically sent to the provider with every pay, accurately and on-time

Why is the government making changes?

Canadians with insufficient savings for retirement
Canadian's are saving less... savings rates have fallen from 20% of disposable income 30 years ago to just 5% today.

Source: Statistics Canada

This is projected to leave
46%
of Canadians with insufficient savings for retirement.
Canadians with insufficient savings for retirement
Retirement Saving Options
A major contributing factor is an estimated
80%
of Canadians working for small businesses do not have access to a workplace savings plan.

What is the change?

Hoping to address this problem, the federal government is recommending the introduction of a new workplace savings vehicle called Pooled Registered Pension Plans (PRPP).

The provinces are currently debating:

  • How or if to implement PRPP
  • Whether it should be mandatory for employers to offer workplace savings plans
  • Whether all employees be automatically enrolled in the plan
How or if to implement PRPP

PRPP legislative updates

  • Canada Flag
    Federal

    The Federal Pooled Registered Pension Plans (PRPP) Act was passed on June 29, 2012. The PRPP Act and Regulations provides a framework for establishing Federal PRPP’s that can be provided to employers and self-employed persons under federal jurisdiction. Federal PRPP’s are now available.

  • Quebec Flag
    Quebec – MANDATORY

    The Voluntary Retirement Savings Plan (VRSP) came into effect on July 1, 2014 and requires that Quebec employers who currently do not offer a workplace savings plan establish a VRSP in accordance with the regulations. Quebec VRSPs are now available.

  • Alberta Flag
    Alberta – VOLUNTARY

    The Alberta Pooled Registered Pension Plans (PRPP) Act was passed on May 27, 2013. PRPP’s will be available in Alberta once supporting regulations have been finalized.

  • Saskatchewan Flag
    Saskatchewan – VOLUNTARY

    The Saskatchewan Pooled Registered Pension Plans (PRPP) Act was passed on May 15, 2013. PRPP’s will be available in Saskatchewan once supporting regulations have been finalized.

  • British Flag
    British Columbia – VOLUNTARY

    The British Columbia Pooled Registered Pension Plans (PRPP) Act was passed on May 29, 2014. PRPP’s will be available in British Columbia once supporting regulations have been finalized.

  • Ontario Flag
    Ontario

    The Ontario Pooled Registered Pension Plans (PRPP) Act was passed on May 27, 2015. PRPP’s will be available in Ontario once supporting regulations have been finalized

    Note: In addition, on April 29, 2015 the Ontario Legislature passed Bill 56, The Ontario Retirement Pension Plan Act (ORPP).

  • Nova Scotia Flag
    Nova Scotia

    The Nova Scotia Pooled Registered Pension Plans (PRPP) Act was passed on November 20, 2014. PRPP’s will be available in Nova Scotia once supporting regulations have been finalized