YMPE
Last updated
The year’s maximum pensionable earnings is the ceiling for base and first-additional CPP contributions. For 2026 it is $74,600. Earnings above that are not charged the 5.95% rate. They can be charged CPP2 until the year’s additional maximum pensionable earnings, which is $85,000 in 2026.
The basic exemption of $3,500 is subtracted before the 5.95% rate is applied. Someone who earns less than $3,500 from an employer for the year may have no CPP deducted.
Methodology
Both ceilings are the 2026 CRA amounts. The same YMPE is used for the QPP.