Pension eligibility at age 65 - Contribution rates

If you became a member of the public service pension plan on or after January 1, 2013, you are eligible to receive an unreduced pension at age 65 with at least two years of pensionable service (or at age 60 with at least 30 years of service). For information about the types of benefits available, refer to Pension Options.

You contribute a percentage of your salary through payroll deductions to the public service pension plan. The following table illustrates the contribution rates for 2021.

If your salary exceeds a certain amount ($181,600 in 2021), you contribute to the public service pension plan on your salary up to that limit and to the Retirement Compensation Arrangement on your salary above that limit.

If you receive other types of payment (e.g. allowances) in addition to your base salary, ask the Government of Canada Pension Centre whether or not you contribute on these other amounts.

When you have completed the maximum 35 years of pensionable service, your contribution rate drops to 1 percent of your salary for the remainder of your service.

Example of how your full-time pension contributions are calculated

If you work full-time and earn $70,000 in 2021, your contributions in 2021 would be calculated as follows:

Figure 2 - Text version

8.89 percent multiplied by 61,600 dollars equals 5,476.24 dollars.

plus

10.59 percent multiplied by (70,000 dollars minus 61,600 dollars) equals 889.56 dollars.

This totals 6,365.80 dollars (5,476.24 plus 889.56 equals 6,365.80 dollars).

Example of how your part-time pension contributions are calculated

If you work part-time and earn $35,000 in 2021, your contributions in 2021 would be calculated as follows:

Figure 3 - Text version

8.89 percent multiplied by 35,000 dollars equals 3,111.50 dollars.