Glossary
Year's Maximum Pensionable Earnings (YMPE)
The Year's Maximum Pensionable Earnings (YMPE) is the ceiling on earnings subject to base Canada Pension Plan contributions in a calendar year, set at $74,600 for 2026. Contributions apply only to pensionable earnings between the basic exemption and this ceiling; earnings above the YMPE move into the CPP2 tier instead. The CRA indexes the YMPE annually to growth in average wages, so it typically rises each year while the basic exemption stays fixed. See how the YMPE and the higher YAMPE interact in our 2026 CPP and EI maximum contributions guide.
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