The 2003 social security programs parametersLinkedIn
There, in black and white
NB Bulletin Vol. 4 N, 9, December 2002
We are pleased to inform you about the latest developments regarding the main parameters of the major social security programs to assist you in planning your 2003 budget.
The Quebec Pension Plan (QPP) and the Canada Pensions Plan (CPP)
The Yearly Maximum Pensionable Earnings (YMPE) for year 2003 will be $39¸900-an increase of 2.0% over the 2002 YMPE ($39¸100). The basic exemption is not modified and remains at the same level of $3¸500¸ applicable since January 1st¸ 1998. Employee and employer contribution rates will rise to 4.95% of contributory earnings in 2003 for an annual maximum contribution of $1¸801.80. The maximum retirement pension at age 65 is set at $9¸615 for 2003¸ based on the YMPE average over the last five years.
Employment Insurance (EI)
On November 28¸ 2002¸ the government of Canada announced a 10-cent Employment Insurance premium rate reduction effective January 1st¸ 2003.
The employee premium rate for the upcoming year will be reduced from $2.20 to $2.10 per $100 of insurable employee earnings. For employers¸ the premium rate will be reduced from $3.08 to $2.94¸ which is 1.4 times the employee rate outlined above. The maximum insurable earnings will remain at $39¸000 for 2003.
Employer contributions can be reduced further for employers offering a salary continuation program (SCP) registered with the Employment Insurance Commission. At this time¸ the reduced premium rates are not known. We will provide you with an update as soon as this information is available.
The parameters regarding the Régime d´assurance maladie du Québec¸ the Commission de la santé et de la sécurité du travail (CSST) and the Commission des normes du travail (CNT) are not available at this time. An update will be provided as soon as the information is made available.
Please feel free to contact us for additional information.
630, René-Lévesque Blvd. West, 30th floor
Montreal, Quebec, H3B 1S6