Westcoast Watch!
Edition 2005-01
Estimated 2005 IPP
Maximum Contribution Amounts
January 2005
Individual Pension Plans (IPPs) - Connected Persons*
The estimated maximum Individual Pension Plan contributions which can be made in 2005 for an IPP with past service benefits from 1991 to 2004 are as follows (rounded to next lower $100.00):
|
Exact Age As at 01/01/2005 (years) |
Past Service Liability
($) |
PSPA** Past Service Pension Adjustment ($) |
Maximum Net Past Service Contribution ($) |
2005 Current Service Contribution (%) |
Maximum Current Service Contribution ($) |
Total Maximum 2005 Contribution ($) |
|
40 |
254,300 |
198,200 |
56,100 |
18.8 |
18,800 |
74,900 |
|
41 |
259,100 |
198,200 |
60,900 |
19.1 |
19,100 |
80,000 |
|
42 |
264,000 |
198,200 |
65,800 |
19.5 |
19,500 |
85,300 |
|
43 |
269,000 |
198,200 |
70,800 |
19.9 | 19,900 |
90,700 |
|
44 |
274,100 | 198,200 |
75,900 |
20.3 | 20,300 |
96,200 |
|
45 |
279,300 | 198,200 |
81,100 |
20.6 | 20,600 |
101,700 |
|
46 |
284,700 | 198,200 |
86,500 |
21.0 | 21,000 |
107,500 |
|
47 |
290,000 | 198,200 |
91,800 |
21.4 | 21,400 |
113,200 |
|
48 |
295,600 | 198,200 |
97,400 |
21.8 | 21,800 |
119,200 |
|
49 |
301,100 | 198,200 |
102,900 |
22.3 | 22,300 |
125,200 |
|
50 |
306,900 | 198,200 |
108,700 |
22.7 | 22,700 |
131,400 |
|
51 |
312,600 | 198,200 |
114,400 |
23.1 | 23,100 |
137,500 |
|
52 |
318,600 |
198,200 |
120,400 |
23.6 |
23,600 |
144,000 |
|
53 |
324,700 |
198,200 |
126,500 |
24.0 |
24,000 |
150,500 |
|
54 |
330,700 |
198,200 |
132,500 |
24.4 |
24,400 |
156,900 |
|
55 |
337,100 |
198,200 |
138,900 |
24.9 |
24,900 |
163,800 |
|
56 |
343,500 |
198,200 |
145,300 |
25.4 |
25,400 |
170,700 |
|
57 |
350,000 |
198,200 |
151,800 |
25.9 |
25,900 |
177,700 |
|
58 |
356,600 |
198,200 |
158,400 |
26.4 |
26,400 |
184,800 |
|
59 |
363,400 |
198,200 |
165,200 |
26.9 |
26,900 |
192,100 |
|
60 |
370,300 |
198,200 |
172,100 |
27.4 |
27,400 |
199,500 |
|
61 |
377,300 |
198,200 |
179,100 |
27.9 |
27,900 |
207,000 |
|
62 |
384,400 |
198,200 |
186,200 |
28.4 |
28,400 |
214,600 |
|
63 |
391,700 |
198,200 |
193,500 |
29.0 |
29,000 |
222,500 |
|
64 |
399,100 |
198.200 |
200,900 |
29.5 |
29,500 |
230,400 |
|
65 |
406,700 |
198,200 |
208,500 |
30.1 |
30,100 |
238,600 |
|
66 |
437,200 |
198,200 |
239,000 |
32.3 |
32,300 |
271,300 |
|
67 |
470,000 |
198,200 |
271,800 |
34.8 |
34,800 |
306,600 |
|
68 |
505,200 |
198,200 |
307,000 |
37.4 |
37,400 |
344,400 |
|
69 |
543,200 |
198,200 |
345,000 |
40.2 |
40,200 |
385,200 |
* Connected Person means a person who owns directly or indirectly 10% or more of any class
of shares of a company or not dealing at arm's length with such person.
Maximum contributions for non-connected persons who earn at least $102,750 in 2005 would be the same as those shown in the table above, however the current service contribution % does not apply.
Please note that these are the maximum amounts as at January 1, 2006 for someone born on January 1st with maximum pensionable earnings each year from 1991 to 2006. The actual amount may vary depending on the actual date of birth and actual earnings history of the individual. For a quotation with actual date of birth and earnings history, please use Westcoast Actuaries Inc.'s IPP On-Line Quoting System© for a connected person.
** PSPA amount is assumed to be transferred from the member’s RRSP or pension plan to the IPP as a qualifying transfer.
This WESTCOAST WATCH publication is for information purposes only. Every effort has been made to ensure the accuracy of the information provided herein. However, no person or firm involved in the preparation or distribution of this bulletin accepts any liability for its contents or use. Should you have any questions or wish to discuss any of the information presented, please contact our consulting actuaries below:
• Stephen Cheng Tel: (604) 732-0898 Email: stephen@WAInc.ca
File = Z:\Pension\Website\Individual Pension Plan(Costing Sheet)(01-06-05).htm