Glossary
CPP2
CPP2 is the second additional Canada Pension Plan contribution. It applies only to employment earnings between the first ceiling, the YMPE, and the second ceiling, the YAMPE, and is charged at its own rate rather than the base CPP rate. Because it sits entirely above the first ceiling, an employee earning below the YMPE never pays it, while one earning above the YAMPE pays the full amount and no more. Employers match it the way they match base CPP. Our explainer on CPP2 works through who actually pays it.
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