Investment Solutions and Other Risk Optimization Strategies (Online Seminar)
Notes on the British Columbia and Alberta Provincial Budgets
On Tuesday, February 21, 2017, Finance Minister Michael De Jong delivered British Columbia’s fifth consecutive balanced budget. On Thursday, March 16th, Alberta Finance Minister Joe Ceci delivered the 2017 Provincial Budget, which contains a number of provisions aimed at providing relief for Albertans despite a projected $10.3 billion deficit. Both budgets highlighted a number of initiatives aimed at providing support to provincial residents in the form of improved health care funding and tax credits designed to aid small and medium businesses, employment, and economic recovery. This memo presents some of the main features of these budgets that may be of interest to employers, plan sponsors, and employees.
Download the PDF of the publication here:
Addressing Underfunded Pension Plans with Contingency Reserves
How well-funded is your pension plan? A pension plan’s funded status is an indication of its financial health. Most plans’ funded positions were adversely affected by the economic crisis of 2008 but have improved since then. This article will help you better understand pension funding deficits, what caused them, and how to avoid them moving forward.
Please click on the following link to download the PDF of the article: Addressing Underfunded Pension Plans with Contingency Reservices
PBI provides comments on the proposed Voluntary Supplement to the Canada Pension Plan (CPP).
Consultations on a Voluntary Supplement to the Canada Pension Plan
The federal government has announced that it will be seeking feedback on the voluntary supplement to the Canada Pension Plan (CPP) originally proposed in May.
The consultation document released in July included eight questions about the voluntary supplement:
- Do you believe a voluntary supplement to the CPP should be an option for Canadians to save for retirement? Is this something you would use to increase your retirement savings?
- How could a voluntary supplement to the CPP be designed to facilitate participation of individuals who may be at risk of undersaving for their retirement?
- How much flexibility should there be for individuals who choose to participate? For example, what are your views on locking-in funds for retirement and providing variability in the contribution rates?
- How could a voluntary supplement to the CPP be designed to provide a secure stream of retirement income?
- What retirement income options should be available upon retirement for savings accrued within a voluntary supplement to the CPP?
- Should transfers between a voluntary supplement to the CPP and other retirement savings vehicles be permitted? If yes, should there be any limits?
- While employers would not be required to contribute, what would be the appropriate role for employers?
- Who should be responsible for investing the contributions made to a voluntary supplement to the CPP?
Submissions were being accepted until September 10, 2015.
In our Submission Letter, we express reservations towards the newly presented voluntary CPP “expansion” and suggest modifications that could be made to the proposed voluntary “expansion” that could make it more efficient.
Please find attached the Submission Letter submitted by PBI Actuarial Consultants Ltd.:
Federal Government Proposes to Allow Voluntary CPP Contributions
On Tuesday, May 26, 2015, Finance Minister Joe Oliver announced to the House of Commons that the federal government is ready to start consulting with experts and stakeholders on allowing voluntary contributions to the Canada Pension Plan (CPP). No details were provided on how the proposed changes would work or on possible contribution limits. Nevertheless, Mr. Oliver confirmed the government’s position against a CPP expansion with mandatory employer contribution increases, calling it a “pension tax hike.”
Please click on the following link to download the article in PDF format: