1 OECD 1980 1989 1997 2003 9.9% 1996 Seniors Benefit 1998 3100 Old Age Security (OAS) 2.1 1927 Old Age Security Act 20 70 1952 1965 65 1972 CPI 1973 1989
claw back 2.2 OAS 18 40 10 OAS 20 OAS 40 40 OAS 65 OAS OAS OAS OAS 2001 OAS 433.52 3 6200 5202.24 2000 OAS 5309 OAS OAS 5309 15 2001 OAS 15% OAS 9948 OAS OAS OAS universal 2.3 GIS, SPA 2001 50 8829 OAS Guaranteed Income Supplement, GIS Spouse s Allowance, SPA 1967 65 2001 526.08 4 4000 6312.96 50 50 2625.96 2
S 2001 342.67 685.34 5 7300 4112.04 8224.08 50 6448 50 25 1975 6064 18 10 2001 822.47 8700 9870 6720 75 75 6720 50 50 6380 6064 785.33 2001 3568 65 Canada Pension Plan (CPP) 3.1 1965 1966 Quebec Pension Plan (QPP) 1986 credit splitting 65 1987 65 pension sharing 1987 3
4 1997 1998 3.2 18 70 70 pensionable earnings, PE 3500 29 1997 2001 8300 320 1997 2003 9.9 2004 100t% (C) t[ ] t[ ] basic exemption 17 25 47 18 65 15 10 47
65 6070 0.5 1 6 30 60 30 16 4 CPP 775 6 4800 2001 775 CPP CPP CPP 1 0.7 30 CPP CPP CPP Statement of Contributions Human Resources Development Canada CPP 62 2030 14.2 1995 5.4 2.6 tax on jobs Globe and Mail 0.2 1997 1998 0.4 1999 0.6 2000 1 0.8 2003 0.5 1996 2002 3.8 3.8 1990 CPP 2000 12 1.6476.2 2000 78.8 2025 81.6 2000 83.2 2025 6.5 3.0 4.1 6.8 1.1 3.8 15 5
6 2004 1998 6.5 3.5 Investment Board 100 1998 5.0 1999 40.1 2000 9.4 10 1 1997 1 2000 12 CPP 1999 1.7 2.0 OASGISCPP 2001 OAS GIS CPP OAS 5 6 3.3 sustainability 1997 Battle(2002) stealth 3500 10 4.1 2003 822 1997 30
7 2030 1.63 2030 9.9 11.53 1997 CPI 3 CPP 1998 1.7 65 65 CPI 2500 1997 65 67 CPP 60 11 RPPRegistered Pension Plans 1998 41 87 1983 45 RPP RRSPRegistered Retirement Savings Plans 1998 41 45 38% RRSP 44% RPP RRSP 1957 RRSP 54 1998
4 330 80 50% 1998 7.5 5000 16% 18 2001 3500 2005 5500 2%1 2% 1722 30 5 1660 36 RPP RRSP 18 RPP pension adjustment 12 1000 4000 1998 RPP 169 RRSP 248 417 GDP 4.6% RPP 6444 RRSP 2412 8856 GDP 98.1 RPP 305 RRSP 128 433 GDP 4.8%RRSP Statistics Canada1999 1997 median 5564 1500 6574 1 7000 75 5100 6574 5564 65 RRSP 12% 65 1997 3 5600 300 33% 26% 20% 13% 7% 1 5000 8 3 70% 30% 20% 60 1998 57%OASGIS 30%CPP 27% 43% 8
2002 OASGISSPA 260 CPPQPP) 209 GDP 2.5%2.0% 4.5% 2002 45 GDP 9% 12123202 12123204 2001 12 Ken Battle Caledon Institute for Social Policy Edward Tamagno Human Resources Development CanadaSuzan Kalinowski Stephane Jette Ian Pomroy Ministry of Finance, Canada Bernadette St-Jean website http://www.hrdc-drhc.gc.ca http://www.fin.gc.ca http://www.ncwcnbes.net http://www.statcan.ca http://www.osfi-bsif.gc.ca/eng/office/actuarialreports/index.asp 19891999 2002 4 30 83.56 1.3 Seniors Benefit 1998 Battle(2002) 9
CPP t[ + ] t + t[ ] CPP 37 CPPIB 7.25% CPP 6.8% 3.8% 10 Investment Board Tamagno (2001) 11 Department of Finance, Canada (2001 12 1 9 600 pension adjustment (1999) 1989 Battle, K. (2002), Sustaining Public Pensions in Canada: a Tale of Two Reforms, DP, CPP Investment Board (2001), Annual Report 2001, CPPIB. Department of Finance, Canada (2001), Overview of Canadian System of Tax Assistance for Retirement Saving, mimeo. Finance Canada (1997), The Canada Pension Plan: Securing Its Future for All Canadians, News Release, 97-083, FC. Government of Canada (1997), Securing Canada s Retirement Income System. Human Resources Development Canada (2001), Old Age Security, HRDC. ------------------- (2001), 2001-2002 Estimates, HRDC. ------------------- (2001), Canada Pension Plan, HRDC. National Council of Welfare, Canada (1999), A Pension Primer, NCWC. Office of the Chief Actuary (2000), The 18 th Actuarial Report on the CPP, Office of the Superintendent of Financial Institutions. Statistics Canada (1999), Seniors Income, The Daily, 5 August. Tamagno, E. (2001), Investing Social Security Fund: Principles and Considerations, Caledon Institute of Social Policy. 10
CPP 1986 3.6 1995 5.4 1987 3.8 1996 5.6 1988 4.0 1997 6.0 1989 4.2 1998 6.4 1990 4.4 1999 7.0 1991 4.6 2000 7.8 1992 4.8 2001 8.6 1993 5.0 2002 9.4 1994 5.2 2003 9.9 OAS( ) OAS2001 5,402 15% tax 0 ( ) 55,309 89,948 GIS GIS 2001 6,313 (50% tax) 0 OAS 12,626
GIS( ) GIS(2001 ) 8,224 50% tax 4,112 (25% tax) 0 OAS 16,448 SPA( ) SPA60 2001 9,870 (75% tax) 4,830 (50%tax) 0 6,720 16,380