Contribution rates for members who started paying into their pension after December 31, 2012

If you began paying into the public service pension plan after December 31, 2012, you’re eligible to receive an unreduced pension at age 65 if you have at least 2 years of pensionable service, or at age 60 with at least 30 years of service. For information about the types of benefits available, refer to Public service pension options.

You pay a portion of your salary into the public service pension plan through payroll deductions. The rates at which you pay are based on your salary up to and above the year’s maximum pensionable earnings (YMPE).

You pay at the following contribution rates for 2025:

• 7.95% up to the YMPE (7.94% in 2024)
• 10.53% above the YMPE (11.54% in 2024)

Notes

• The YMPE is $71,300 in 2025 ($68,500 in 2024).
• Once you’ve completed the maximum 35 years of pensionable service, you pay 1% of your salary into the pension fund.

If your salary is above a certain amount, $210,200 in 2025, you pay into the public service pension plan up to that limit and into the Retirement Compensation Arrangement above that limit.

If you receive other types of payment in addition to your base salary, such as allowances, ask the Pension Centre for federal employees if you pay on these other amounts.

Examples of how your contributions are calculated

Salary above the YMPE

In the following example, your salary is $90,000. Refer to the information above for the contribution rates and YMPE for 2025.

When your salary is above the YMPE, your contributions for the year are calculated as follows:

Step 1: Multiply the contribution rate up to the YMPE by the YMPE.

• 7.95% × $71,300 = $5,668.35

Step 2: Subtract the YMPE from your salary.

• $90,000 - $71,300 = $18,700

Step 3: Multiply the contribution rate above the YMPE by the result from Step 2.

• 10.53% × $18,700 = $1,969.11

Step 4: Add the results from Steps 1 and 3 together to find your total public service pension plan contributions for the year.

• $5,668.35 + $1,969.11 = $7,637.46

Result: Based on your salary of $90,000, your 2025 public service pension plan contributions are $7,637.46.

Salary below the YMPE

In the following example, your salary is $45,000. Refer to the information above for the contribution rates and YMPE for 2025.

When your salary is below the YMPE, your contributions for the year are calculated as follows:

Multiply the contribution rate up to the YMPE by your salary:

• 7.95% × $45,000 = $3,577.50

Result: Based on your salaryof $45,000, your 2025 public service pension plan contributions are $3,577.50.