Flaherty unveils pooled pension plan - Macleans.ca

Flaherty unveils pooled pension plan

Liberals dismiss proposal as a “baby step”


Federal Finance Minister Jim Flaherty has pitched a private pension plan that he hopes will encourage more small-business people and self-employed Canadians to save. “This plan would say to an employer, ‘Listen, you can offer this plan but you don’t have to contribute to it.’ Employees would contribute to it, or can opt out,” explained Flaherty. “It would make a nice, easy and relatively painless way for people to contribute to their retirement.” The plan would be built on defined contributions and would be run by private financial institutions. The idea is to keep costs down by pooling money from the large number of small business people and self-employed workers who currently aren’t saving or are using smaller plans. Liberal critic Judy Sgro called the plan “a baby step,” adding “it’s not going to do much for [many] self-employed, for women that are in and out of the work force, for those in rural Canada.”

CBC News

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Flaherty unveils pooled pension plan

  1. Mr. Flaherty is also recommending that all provinces balance their budgets by the year 2015.

    Here's a look at all of the provincial deficits for the current fiscal year and when they propose to reach balance:


    What is fascinating about the exercise is watching provincial treasurers move the date of their projected balance forward every year like the proverbial carrot in front of the horse. God/Allah/Buddah/Krishna help us all.

  2. In this Parliament, the Opposition calling something the Gov't proposes a "baby step" is practically a wholehearted endorsement.

  3. Ah yes …. the Investment Managers/Bankers Full Employment Act … gotta be good.

  4. Most of the low paid retail workers will opt out so nothing is to be gained. They will be crying the blues later in life when they have no personal RSP to supplement the CPP and the OAS. When you are just making min wage or just a few dollars better, trying to come up with, say 5% of your paycheck for the RSP is difficult.

  5. It's a good idea, despite the weak protestations by whining liberals.

    • i don't really see the point of this plan.. we are better off having money in private rrsps, in my opinion it would have been better if he raised the rrsp limit esp for low and mid income people

  6. At least a "baby step" is better than no step at all, which is what we would get with the Liberals.

  7. General Motors has announced their plan to reduce their pension
    liability by an anticipated 26 billion dollars. The plan, announced on June 1,
    will offer select U.S. retirees a continued monthly payment and other salaried
    retirees a lump-sum payment. This decision is a complex one, and obtaining the
    advice of a qualified financial advisor is recommended. A free white paper and
    additional information on the GM (NYSE:GM) Pension Buyout plan is available at http://www.gmpensionbuyout.info. The deadline for the pension buyout plan is July 20, 2012.