Calculate your Canada Pension Plan (CPP) contributions for 2024/2025. Supports employees, employers, and self-employed workers. Includes both CPP1 and CPP2 enhanced tiers.
Self-employed workers pay both the employee and employer share
Your gross annual income before any deductions
Quebec residents contribute to QPP, not CPP
⚠️ Quebec residents contribute to QPP (Quebec Pension Plan), not CPP. This calculator shows CPP rates only. Visit RRQ.gouv.qc.ca for QPP details.
Rates are set by the CRA and apply automatically — no input needed
CPP1 Rate Tier 15.95% (2024)
On earnings between $3,500 (basic exemption) and $68,500 (YMPE) | Max: $3,867.50/year
CPP2 Rate Tier 2 · 20244.00% (2024)
On earnings between $68,500 (YMPE) and $73,200 (YAMPE) | Max: $188.00/year
ℹ️ This calculator uses 2024/2025 CPP rates. Quebec residents contribute to QPP instead of CPP. Self-employed workers pay both employee and employer portions (double the standard rate).
Total CPP Contribution
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🏦 CPP1 Contribution Tier 1--
✨ CPP2 Contribution Tier 2--
📅 Monthly Deduction--
📆 Bi-weekly Deduction--
CPP1 Contribution vs Annual Maximum ($3,867.50)
$0.00Max $3,867.50
📊 Detailed CPP Breakdown
Gross Annual Income
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Basic Exemption
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CPP1 Pensionable Earnings
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CPP1 Contribution (5.95%)
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CPP2 Pensionable Earnings
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CPP2 Contribution (4.00%)
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Employer Match (CPP1 + CPP2)
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Your Total CPP
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💼 Self-Employed CPP Summary
Employee Portion (CPP1 + CPP2)
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Employer Portion (CPP1 + CPP2)
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Total Self-Employed CPP
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💡 You may deduct the employer-equivalent portion (half of your total CPP) on your T1 income tax return as a business deduction.
📈 Pay Period Breakdown
Monthly Deduction
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Bi-weekly Deduction
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Weekly Deduction
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How Canada CPP Contributions Are Calculated
The Canada Pension Plan (CPP) is a mandatory contributory pension program for most Canadian workers. Starting in 2024, CPP operates across two tiers — CPP1 (the base tier) and the enhanced CPP2 — each with its own earnings ceiling and contribution rate.
📋 2024 CPP Contribution Rates at a Glance
Tier
Earnings Range
Employee Rate
Employer Rate
Max (Employee)
CPP1
$3,500 – $68,500
5.95%
5.95%
$3,867.50
CPP2
$68,500 – $73,200
4.00%
4.00%
$188.00
🔑 Key CPP Terms Explained
Basic Exemption ($3,500): The first $3,500 of income is always exempt from CPP contributions — this is not prorated for partial-year workers.
YMPE – Year's Maximum Pensionable Earnings ($68,500): The upper limit for CPP1. Income above this is not subject to CPP1 contributions.
YAMPE – Year's Additional Maximum Pensionable Earnings ($73,200): Introduced as part of CPP enhancement. Only income between $68,500 and $73,200 is subject to CPP2.
Employer Match: Employers contribute dollar-for-dollar matching the employee's CPP1 and CPP2 contributions. Self-employed workers pay both sides.
Since income exceeds the YAMPE ($73,200), both CPP1 and CPP2 contributions are at their annual maximum.
⚠️ Important Notes
— Quebec residents contribute to QPP, not CPP.
— Self-employed workers pay both portions but may deduct the employer-equivalent half on their income tax return.
— CPP employee contributions generate a non-refundable federal and provincial tax credit.
— Workers aged 65–70 who are already receiving CPP benefits can file a CPT30 form to stop contributing.
— For official calculations, use the CRA Payroll Deductions Online Calculator (PDOC).
Frequently Asked Questions
CPP (Canada Pension Plan) is a mandatory retirement pension program for most Canadian workers. All employees and employers outside Quebec must contribute. Quebec has its own QPP (Quebec Pension Plan). Self-employed workers outside Quebec also contribute but pay both the employee and employer portions.
CPP2 is the second enhancement tier of CPP, fully implemented in 2024. It applies a 4% rate to earnings between the YMPE ($68,500) and the YAMPE ($73,200). The maximum CPP2 contribution for an employee is $188.00 per year. This tier improves future pension benefits for higher earners.
Employers must match every dollar their employees contribute to CPP1 and CPP2. If you contribute $3,867.50 in CPP1 and $188.00 in CPP2, your employer contributes an equal amount — a total of $4,055.50 — on your behalf. The combined CPP pool (employee + employer) is $8,111.00 for a maximum earner in 2024.
Workers under age 65 generally cannot opt out of CPP. Workers aged 65 to 70 who are already receiving CPP or QPP retirement benefits can file a CPT30 form with their employer to stop contributing. Workers over 70 are automatically exempt from CPP contributions.
CPP contributions are not income tax — they fund your future pension. However, you can claim your employee CPP contributions as a non-refundable federal and provincial tax credit. Self-employed workers can also deduct the employer-equivalent portion as a business deduction on their T1 return, reducing taxable income.
No. Quebec has its own Quebec Pension Plan (QPP), which is separate from CPP and administered by the Retraite Québec (RRQ). QPP has slightly different contribution rates and thresholds. If you live and work in Quebec, you contribute to QPP — not CPP. This calculator covers CPP for all provinces and territories except Quebec.
⚠️ Disclaimer: This calculator provides estimates based on 2024/2025 CPP contribution rates for employment income. Actual deductions may vary due to partial-year employment, age exemptions, or other factors. For official payroll deduction calculations, use the CRA Payroll Deductions Online Calculator (PDOC) or consult a certified payroll professional.