CPP/QPP – Second Contributions

Beginning January 1, 2024, higher income earners are subject to a second additional CPP/QPP contribution on earnings above the annual maximum pensionable earnings. This deduction is to continue until the employee reaches the annual additional maximum pensionable earnings.

To view CPP/QPP limits, visit the Compliance Centre.

Example: This means that when an employee reaches their maximum CPP/QPP contribution, based on the first limit of $68,500 for 2024, you must begin deducting the second additional CPP/QPP contribution until the new threshold of $73,200 in 2024.

Note: When entering a CPP/QPP adjustment, make sure to enter the amount in the correct field.

These second contribution amounts will:

• display separately on the Payroll Register (CPP2 or QPP2)

• report to tax forms as follows:

  T4 Box 16A (CPP), T4 Box 17A (QPP)

  RL-1 Box B-2 (CPP), RL-1 Box B.B (QPP).