CPP Retirement Pension Benefits

KNOWLEDGE EXPECTED OF: QAFP® Professionals

Highest Knowledge Level: Evaluation

Knowledge Levels and Associated Verbs


Awareness
The state of being aware that something exists / to have familiarity with a particular activity or subject
Understanding
To comprehend the general relationship of particulars / to have an expertise with how something works
Application
Ability to put information to use / to use knowledge for relevant, practical purposes
Evaluation
To judge or conclude by utilizing data / a systematic determination of something’s worth or significance
Define
To state exactly the meaning of
Identify
To be aware of / to recognize and correctly name / to locate an appropriate resource
Explain
To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it
Determine
To ascertain / to come to a decision, such as by investigation or reasoning
Compare
To note the similarities and differences between two or more things
Estimate
To determine an approximate value for
Calculate
To find the value using mathematics
Convert
To change from one form or purpose to another
Evaluate
To reach a conclusion or make a through careful study
Interpret
To give the meaning of / to construe or understand / to translate orally

Hold cursor over or click on each term to read its definition.

  • Determine how each of these factors may impact the amount of a CPP Retirement Pension.1 
    • Age at which it is commenced
    • Length of contributions
    • Amount of contributions
    • General drop out provision
    • Child-rearing provision
    • Credit sharing
    • Inflation  
  • Evaluate how each of the factors may impact the amount of a CPP Retirement Pension.  
  • Identify the current annual maximum CPP Retirement Pension that may be received.2 
  • Explain a Statement of Contributions for the Canada Pension Plan.3 
  • Explain the impact of advancing or deferring the CPP Retirement Pension. 4
  • Estimate the impact of advancing or deferring the CPP Retirement Pension.5
  • Explain the tax treatment of receiving CPP Retirement Pension income. 
  • Determine how each of these factors may impact the decision of when to commence receiving the CPP Retirement Pension: 
    • Income requirements
    • Stability of income
    • Life expectancy
    • CPP disability benefit eligibility
    • Tax impact
    • Individual attitudes
    • Potential for survivor benefits
  • Evaluate how each of the factors may impact the decision of when to commence receiving the CPP Retirement Pension. 
  • Define CPP Retirement Pension credit splitting.6
  • Define CPP Retirement Pension sharing.7 
  • Explain eligibility criteria for CPP Retirement Pension sharing.8
  • Explain when CPP Retirement Pension sharing commences.  
  • Explain when CPP Retirement Pension sharing ceases. 
  • Estimate the CPP Retirement Pensions receivable under pension sharing.  
  • Estimate the tax impact of sharing CPP Retirement Pensions.  

    REFERENCES

    KNOWLEDGE EXPECTED OF: CFP® Professionals

    Highest Knowledge Level: Evaluation

    Knowledge Levels and Associated Verbs


    Awareness
    The state of being aware that something exists / to have familiarity with a particular activity or subject
    Understanding
    To comprehend the general relationship of particulars / to have an expertise with how something works
    Application
    Ability to put information to use / to use knowledge for relevant, practical purposes
    Evaluation
    To judge or conclude by utilizing data / a systematic determination of something’s worth or significance
    Define
    To state exactly the meaning of
    Identify
    To be aware of / to recognize and correctly name / to locate an appropriate resource
    Explain
    To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it
    Determine
    To ascertain / to come to a decision, such as by investigation or reasoning
    Compare
    To note the similarities and differences between two or more things
    Estimate
    To determine an approximate value for
    Calculate
    To find the value using mathematics
    Convert
    To change from one form or purpose to another
    Evaluate
    To reach a conclusion or make a through careful study
    Interpret
    To give the meaning of / to construe or understand / to translate orally

    Hold cursor over or click on each term to read its definition.

    • Determine how each of these factors may impact the amount of a CPP Retirement Pension.1 
      • Age at which it is commenced
      • Length of contributions
      • Amount of contributions
      • General drop-out provision
      • Child-rearing provision
      • Credit splitting on relationship breakdown
      • Credit sharing
      • Inflation  
    • Evaluate how each of the factors may impact the amount of a CPP Retirement Pension.  
    • Identify the current annual maximum CPP Retirement Pension that may be received.2
    • Explain a Statement of Contributions for the Canada Pension Plan.3 
    • Explain the impact of advancing or deferring the CPP Retirement Pension. 4 
    • Estimate the impact of advancing or deferring the CPP Retirement Pension.5 
    • Explain the tax treatment of receiving CPP Retirement Pension income. 
    • Determine how each of these factors may impact the decision of when to commence receiving the CPP Retirement Pension: 
      • Income requirements
      • Stability of income
      • Life expectancy
      • CPP disability benefit eligibility
      • Tax impact
      • Individual attitudes
      • Potential for survivor benefits
    • Evaluate how each of the factors may impact the decision of when to commence receiving the CPP Retirement Pension.  
    • Define CPP Retirement Pension credit splitting.6
    • Define CPP Retirement Pension sharing.7
    • Explain eligibility criteria for CPP Retirement Pension sharing.8
    • Explain when CPP Retirement Pension sharing commences.  
    • Explain when CPP Retirement Pension sharing ceases. 
    • Estimate the CPP Retirement Pensions receivable under pension sharing.  
    • Estimate the tax impact of sharing CPP Retirement Pensions.  
    Additional Knowledge Expected of CFP Professionals
    • Estimate a CPP Retirement Pension.
    • Explain eligibility criteria for CPP Retirement Pension credit splitting.9
    • Explain the credits that may be eligible for CPP Retirement Pension credit splitting.  
    • Explain the tax impact of sharing CPP Retirement Pensions.
    • Identify that contributions to and benefits under the Quebec Pension Plan (QPP) retirement pension program have a similar tax treatment to contributions to and benefits under the CPP Retirement Pension program.

    REFERENCES

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