The amount of CPP to be deducted from an employee with earnings this week of $800 and cumulative earnings for the year before this week of $54,900 would be
A) $10.63.
B) $36.22.
C) $0.00.
D) $106.46.

Question

Quizplus · Accepted Answer

The Canada Pension Plan (CPP) has a yearly basic exemption amount, and in this scenario, the employee's cumulative earnings before this week ($54,900) already exceed the maximum pensionable earnings threshold for the year. Therefore, no additional CPP contributions would be deducted from this week's earnings.

The Amount of CPP to Be Deducted from an Employee