Phase 2 of the contribution rate increase takes effect in April
Last year, we let you know that the cost of pensions has increased, and in response to changes in Plan member longevity and investment expectations, we would be phasing in a 1% contribution rate increase over a two-year period (0.5% in April 2018 and 0.5% in April 2019). This is a reminder that Phase 2 is about to take effect so you will notice a slightly higher deduction starting on your first full pay in April.
Your contributions will continue to be matched by your employer and are tax deductible up to the Income Tax Act limit.
Note: For Ontario Provincial Police officers, the 2019 rates reflect the decrease to 1.5% for your additional contributions for the 50/30 early retirement benefit, so there’s no change to the total rate in 2019 for officers.
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