Section 12 – Social Programs and Benefits

Quebec Pension Plan and Canada Pension Plan


Employer and employee QPP/CPP contributions for 2019 are as follows3:

Contributions QPP CPP
  • Maximum pensionable earnings
  • Basic exemption for the year
  • Maximum contributions:
  • Employer
    • Rate
    • Maximum




  • Employee
    • Rate
    • Maximum




  • Self-employed worker
    • Rate
    • Maximum




3 For additional information on the QPP, go to the Retraite Québec Internet site at or the Government of Canada site for the CPP at


QPP and CPP benefits for 2020 are as follows4:

Benefits QPP
Retirement Benefits
  • Maximum monthly benefit, starting at:5
  • age 60
  • age 65
  • age 70
Death Benefits
  • Single amount
2,500.00 2,500.00
  • Maximum monthly surviving spouse benefit:
  • under age 45, without dependent children
  • under age 45, with dependent children
  • under age 45, disabled, with or without children
  • age 45 to 64
  • age 65 or over
  • Monthly orphan’s pension6
255.03 255.03
Severe and Prolonged Disability Benefits
  • Maximum monthly benefit
  • Monthly benefit of disabled
    pensioner’s child7

4 Certain maximums apply to retirement benefits combined with a disability or survivor benefit. Benefits are indexed annually as of January 1. Since 2019, the CPP and QPP are gradually enhanced so that benefits gradually replace 33% (previously 25%) of eligible average work earnings.
5 A retirement benefit that is reduced or increased due to age will remain so for the entire payment period.
6 The QPP orphan’s benefit and the monthly benefit of a disabled pensioner’s child are payable until age 18. The CPP pays such benefits to a child under age 18, or under age 25, if he/she is studying full-time.
7 For QPP purposes, the reduction factor varies according to the amount of the pension benefit; it is 0.5% if the benefit amount is very low and reaches 0.6% when the pensioner is entitled to the maximum benefit.

Adjustments to Retirement Benefits

When retirement benefits begin before age 65, the benefit amount is reduced by 0.6%7 for each month between the beginning of the benefit payment and the 65th birthday. Accordingly, for the purposes of both plans, a pensioner who is entitled to the maximum benefit will have his or her benefit amount reduced by 36% if he or she decides to retire at 60 years of age.8 Similarly, for the purposes of both plans, the benefit that begins to be paid after age 65 is increased by 0.7% for each month following the 65th birthday, up to a maximum increase of 42% for a deferment period of five years.

These adjustments determine the benefit amount that will be paid for the entire retirement period. Therefore, they have an impact on the decision regarding the time to claim the benefit because, by requesting the amount at age 65 instead of 60, you avoid the reduction but also lose out on generating this income during five years. Also, delaying the benefit until age 70 increases the amount.

8 I.e., 0.6% X 60 months.

Aside from the economic factors that stimulate expected income, opting for an early, normal or late pension must take account of personal factors such as your health, marital status, age of your spouse and your income from other sources. Make sure that you have all the information before making a decision.

QPP Retirement Pension Supplement and CPP Post-retirement Benefit

The QPP and CPP allow workers who are already receiving benefits to continue to contribute to obtain a supplement, i.e., the QPP retirement pension supplement and the CPP post-retirement pension. Each year of work can therefore provide a contributing beneficiary with an additional benefit, payable for life. Like the basic pension, the amount of this supplement is indexed annually according to the cost of life. 

It is not necessary to register for this benefit as it is paid automatically in the year following the contribution payments. Beneficiaries working in Quebec must contribute to the QPP when their employment income exceeds the general exemption of $3,500. Beneficiaries between age 60 and 65 who work outside Quebec must still contribute to the CPP to finance the post-retirement benefit, whereas those aged 65 to 70 may choose to contribute or not. Worker and employer contributions are based on the same rates as those applicable in the regular plan.

Continuing to work after you have begun receiving your QPP and CPP pension can allow you to increase your pension amount for subsequent years.

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