Canada Pension Plan (R.S.C., 1985, c. C-8)

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Act current to 2019-06-20 and last amended on 2018-12-15. Previous Versions

PART IIPensions and Supplementary Benefits (continued)

DIVISION ABenefits Payable (continued)

Marginal note:Survivor’s pension, death benefit or orphan’s benefit not payable

  •  (1) Despite section 44, a survivor’s pension, death benefit or orphan’s benefit is not payable to an individual in the following circumstances:

    • (a) in the case of the survivor’s pension, the individual who otherwise would have been entitled to receive the survivor’s pension as a result of the death of the contributor is not so entitled if the Minister is informed and satisfied that the individual has been convicted of first or second degree murder or manslaughter of the contributor;

    • (b) in the case of the death benefit, the individual who otherwise would have been entitled to receive the death benefit under section 71 as a result of the death of the contributor is not so entitled if the Minister is informed and satisfied that the individual has been convicted of first or second degree murder or manslaughter of the contributor; and

    • (c) in the case of the orphan’s benefit, the individual who otherwise would have been entitled to receive the orphan’s benefit as a result of the death of the contributor is not so entitled if the Minister is informed and satisfied that the individual

      • (i) has been convicted of first or second degree murder or manslaughter of the contributor,

      • (ii) has received an adult sentence for that murder or manslaughter, and

      • (iii) is 18 years of age or older.

  • Marginal note:Conviction reversed

    (2) If the Minister is informed and satisfied that an individual’s conviction for first or second degree murder or manslaughter of the contributor has been reversed, the charges have been withdrawn or the proceedings were stayed and not recommenced within the required time period and that all rights of appeal have been exhausted, the individual’s entitlement to the pension or benefit to which they would otherwise have been entitled under this Act shall be reinstated and any amount recovered from the individual shall be repaid.

  • Marginal note:Conviction outside Canada

    (3) If an individual has been convicted by a court outside Canada in respect of an offence that, if it had been committed in Canada, would have constituted first or second degree murder or manslaughter, the Minister may deem that conviction to be a conviction of first or second degree murder or manslaughter for the purposes of this section.

  • Marginal note:Recovery of pension or benefits

    (4) An individual who has received a pension or benefit referred to in this section and in respect of whom the Minister is subsequently informed and satisfied that the individual has been convicted of first or second degree murder or manslaughter of the contributor shall be deemed not to have been entitled to receive such pension or benefit, which shall constitute a debt due to Her Majesty under section 66 and the Minister shall recover those amounts, including any amounts paid before the date of the individual’s conviction.

  • Marginal note:Conviction prior to coming into force

    (5) For greater certainty, this section applies in respect of any first or second degree murder or manslaughter conviction of which the Minister is informed before, on or after the coming into force of this section.

  • Marginal note:Definition of first or second degree murder

    (6) For the purpose of this section, first or second degree murder means murder within the meaning of section 231 of the Criminal Code.

  • Marginal note:Definition of manslaughter

    (7) For the purpose of this section, manslaughter means manslaughter within the meaning of the Criminal Code.

  • Marginal note:Exception — probation order

    (8) This section does not apply to an individual who is convicted of manslaughter if the individual is released on the conditions prescribed in a probation order under paragraph 731(1)(a) of the Criminal Code.

  • 2015, c. 17, s. 1

DIVISION BCalculation of Benefits

Basic Amount and Annual Adjustment

Marginal note:Basic amount of benefit

  •  (1) A reference in this Part to the basic amount of any benefit shall be construed as a reference to the amount thereof calculated as provided in this Part without regard to subsection (2).

  • Marginal note:Annual adjustments

    (2) Where any benefit has become payable commencing with a month in any year, the basic monthly amount of the benefit shall be adjusted annually, in prescribed manner, so that the amount payable for a month in any following year is an amount equal to the product obtained by multiplying

    • (a) the amount that would have been payable for that month if no adjustment had been made under this section with respect to that following year,

    by

    • (b) the ratio that the Pension Index for that following year bears to the Pension Index for the year preceding that following year.

  • R.S., 1985, c. C-8, s. 45
  • R.S., 1985, c. 30 (2nd Supp.), s. 14

Retirement Pension

Marginal note:Amount of retirement pension

  •  (1) Subject to this section, a retirement pension payable to a contributor is a basic monthly amount equal to the aggregate of

    • (a) 25% of their average monthly pensionable earnings,

    • (b) 8.33% of their first additional monthly pensionable earnings, and

    • (c) 33.33% of their second additional monthly pensionable earnings.

  • Marginal note:Special case

    (2) Subject to this section, the portion referred to in paragraph (1)(a) of the basic monthly amount of a retirement pension payable to a former disability pension recipient in respect of whom a division under section 55 or 55.1 is approved either before or after the commencement of the retirement pension, if the division reduces the retirement pension otherwise payable, is calculated by dividing

    • (a) the aggregate of

      • (i) the portion of the basic monthly amount of the retirement pension calculated in accordance with paragraph (1)(a) that would be payable to the contributor had their base unadjusted pensionable earnings not been subject to the division, multiplied by the number of months that have been excluded from the contributor’s contributory period by reason of disability, and

      • (ii) the portion of the basic monthly amount of the retirement pension calculated in accordance with paragraph (1)(a) that would be payable following the division, multiplied by the number of months in the contributor’s contributory period calculated in accordance with section 49

    by

    • (b) the aggregate of

      • (i) the number of months that have been excluded from the contributor’s contributory period by reason of disability, and

      • (ii) the number of months in the contributor’s contributory period calculated in accordance with section 49.

  • Marginal note:Upward or downward adjustment factor — up to 2010

    (3) Subject to subsections (4) to (6), a retirement pension that becomes payable after December 31, 1986 and before January 1, 2011 commencing with a month other than the month in which the contributor reaches 65 years of age is a basic monthly amount equal to the basic monthly amount calculated in accordance with subsection (1) or (2), as the case may be, adjusted by a factor fixed by the Minister, on the advice of the Chief Actuary of the Office of the Superintendent of Financial Institutions, to reflect the time interval between the month in which the retirement pension commences and the month in which the contributor reached, or would reach, 65 years of age, but the time interval is deemed never to exceed five years.

  • Marginal note:Upward or downward adjustment factor — after 2010

    (3.1) Subject to subsections (4) to (6), a retirement pension that becomes payable after December 31, 2010 commencing with a month other than the month in which the contributor reaches 65 years of age is a basic monthly amount equal to the basic monthly amount calculated in accordance with subsection (1) or (2), as the case may be, adjusted by a factor fixed under subsection (7).

  • Marginal note:Exception if division of unadjusted pensionable earnings increases retirement pension

    (4) Subject to subsection (5), if, as a result of a division of unadjusted pensionable earnings under section 55 or 55.1, a retirement pension that was payable increases, the adjustment factor applicable after the increase to the basic monthly amount of the retirement pension calculated in accordance with subsection (1) or (2), as the case may be, instead of the adjustment factor referred to in subsection (3) or (3.1), as the case may be, shall be determined by the formula

    [(F1 × P1) + (F2 × E)] / P2

    where

    F1
    is an amount equal to the adjustment factor referred to in subsection (3) or (3.1), as the case may be, at the time the retirement pension first became payable;
    P1
    is the basic monthly amount of the retirement pension calculated in accordance with subsection (1) or (2), as the case may be, before the division;
    F2
    is the lesser of
    • (a) an amount equal to what the adjustment factor referred to in subsection (3) or (3.1), as the case may be, would have been if the retirement pension had commenced in the month in which the increase commences to be payable, and

    • (b) 1;

    E
    is equal to the excess of P2 over P1; and
    P2
    is the basic monthly amount of the retirement pension immediately following the division.
  • Marginal note:Exception if survivor’s pension reduced

    (5) Unless otherwise provided by an agreement under section 80, if a person receives a retirement pension under this Act and a survivor’s pension under this Act and the survivor’s pension is at any time reduced from its full amount under subsection 58(2), any downward adjustment factor resulting from the application of subsection (3), (3.1) or (4) at that time shall not be applied to the whole of the basic monthly amount of the retirement pension calculated in accordance with subsection (1) or (2), as the case may be, but only to the amount remaining when that basic monthly amount is reduced by the product obtained by multiplying

    • (a) the amount by which the survivor’s pension has been reduced

    by

    • (b) the ratio that the Pension Index for the year in which the retirement pension first commenced to be payable bears to the Pension Index for the year in which the survivor’s pension is reduced.

  • Marginal note:Exception if division after age 65 precedes commencement of retirement pension

    (6) If, after a person has reached 65 years of age but before the person commences to receive a retirement pension, a division of unadjusted pensionable earnings takes place under section 55 or 55.1 in respect of that person, the upward adjustment factor referred to in subsection (3) or (3.1), as the case may be, to be applied to any increase in the retirement pension that is attributable to the division shall be based on the time interval between the taking place of the division and the commencement of the retirement pension, and shall not take into account the time interval between the month in which the person reaches 65 years of age and the month in which the division takes place.

  • Marginal note:Regulations

    (7) For the purposes of subsection (3.1), the Governor in Council may make regulations fixing one or more adjustment factors or the methods of calculating them — including factors or methods that may apply on specified dates — to reflect the time interval between the month in which the retirement pension commences and the month in which the contributor reached, or would reach, 65 years of age, but the time interval is deemed never to exceed five years.

  • Marginal note:Condition

    (8) The Governor in Council may only make regulations under subsection (7) or repeal them on the recommendation of the Minister of Finance and only if the lieutenant governor in council of each of at least two thirds of the included provinces, as defined in subsection 114(1), having in total not less than two thirds of the population of all of the included provinces, has signified the consent of that province to the making or repeal of the regulations.

  • Marginal note:Amendment

    (9) Regulations made under subsection (7) may only be amended in accordance with subsection 113.1(14).

  • R.S., 1985, c. C-8, s. 46
  • R.S., 1985, c. 30 (2nd Supp.), s. 15, c. 18 (3rd Supp.), s. 29
  • 1991, c. 44, s. 5
  • 2009, c. 31, s. 33
  • 2016, c. 14, s. 21
 
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