CPP Contribution Rates & Maximums 2027
Pending The 2027 YMPE, YAMPE and maximum contributions are not yet announced. Expected to be announced around November 1, 2026; this page updates the day it's published.
CRA announced the YMPE and YAMPE on November 1, 2023 (for 2024), November 1, 2024 (for 2025) and October 30, 2025 (for 2026).[1]
Already fixed by law for 2027: employees and employers each pay 5.95%[2] of earnings between $3,500[2] and the 2027 YMPE, plus 4%[2] CPP2 on earnings from the YMPE up to the YAMPE, which is 114% of the YMPE[2]. Self-employed people pay both halves. What is not known yet is how much of your pay those rates reach. For comparison, the 2026 maximum is $4,646.45[3, 4] per employee.
2027 CPP at a Glance
| Item | 2027 | 2026 for comparison |
|---|---|---|
| CPP rate, employee and employer (each) | 5.95%[2]Set in law | 5.95%[3] |
| CPP rate, self-employed | 11.9%[2]Set in law | 11.9%[2] |
| Basic exemption | $3,500[2]Set in law | $3,500[3] |
| Year's Maximum Pensionable Earnings (YMPE) | Pendingexpected around Nov 1, 2026 | $74,600[3] |
| Maximum contributory earningsYMPE minus the basic exemption | Pendingexpected around Nov 1, 2026 | $71,100[3] |
| Maximum CPP contribution, employee | Pendingexpected around Nov 1, 2026 | $4,230.45[3] |
| CPP2 rate, employee and employer (each) | 4%[2]Set in law | 4%[4] |
| Year's Additional Maximum Pensionable Earnings (YAMPE)Set by law: 1.14 times the 2027 YMPE, rounded down to the next $100. | Pendingexpected around Nov 1, 2026 | $85,000[4] |
| Maximum CPP2 contribution, employee | Pendingexpected around Nov 1, 2026 | $416.00[4] |
| Total maximum, employeeCPP plus CPP2 | Pendingexpected around Nov 1, 2026 | $4,646.45[3, 4] |
| Total maximum, self-employedCPP plus CPP2 | Pendingexpected around Nov 1, 2026 | $9,292.90[3, 4] |
How the 2027 YMPE and YAMPE Are Set
YMPE. The 2026 YMPE (before rounding) multiplied by the growth in average weekly wages and salaries (Statistics Canada, Industrial Aggregate) over the 12 months to June 30, 2026 compared with the previous 12 months, then rounded down to the next $100. By law it cannot be lower than the 2026 YMPE.[2]
YAMPE. 1.14 times the 2027 YMPE, rounded down to the next $100.[2]
drained.ca does not publish an estimate. The only 2027 figures this page will show are CRA's.
Where the Rates Come From
The 5.95% rate is the base CPP rate of 4.95% plus a 1% “first additional” contribution, phased in from 2019 to 2023 under the CPP enhancement. CPP2, at 4%, started in 2024. The Canada Pension Plan Act sets all three rates for 2024 and every year after[2].
How CPP Shows Up on Your Tax Return
The base (4.95%) portion of employee contributions is claimed as a non-refundable tax credit at line 30800; the first additional (1%) and second additional (CPP2) portions are deducted from income at line 22215.[5, 6, 7]
See Your Whole Tax Bill
CPP is one line on your pay stub. The calculator adds federal and Alberta income tax, CPP and EI, and shows where the money goes. It uses 2026 rates until every 2027 figure is published.
Open the tax calculatorFrequently Asked Questions
What is the CPP maximum contribution for 2027?
It has not been announced yet, because it depends on the 2027 YMPE. CRA is expected to publish the 2027 YMPE and maximums around November 1, 2026. CRA announced the YMPE and YAMPE on November 1, 2023 (for 2024), November 1, 2024 (for 2025) and October 30, 2025 (for 2026). For comparison, the 2026 maximum employee contribution is $4,646.45: $4,230.45 of CPP plus $416.00 of CPP2. Employers pay the same, and self-employed people pay both halves ($9,292.90 in 2026).
What is the YMPE for 2027?
The 2027 YMPE has not been announced yet; it is expected around November 1, 2026. The YMPE rises with average weekly wages, and by law it cannot be lower than the 2026 YMPE of $74,600.
What are the CPP contribution rates for 2027?
The rates are set in the Canada Pension Plan Act: 5.95% each for employees and employers on earnings between $3,500 and the YMPE (11.9% if self-employed), plus 4% each on earnings between the YMPE and the YAMPE (8% if self-employed). They are the same as in 2026.
What is the YAMPE for 2027?
The YAMPE is set by law: 1.14 times the 2027 YMPE, rounded down to the next $100. It will be known when CRA publishes the 2027 YMPE. The 2026 YAMPE is $85,000.
Is the CPP basic exemption changing in 2027?
No. The basic exemption stays at $3,500, the amount the Canada Pension Plan Act has fixed for every year since 1998.
Sources
Each bracketed number on this page links to the document below that contains the figure, with the table, row or section. Checked against these documents on September 28, 2026.
- [1]Canada Revenue Agency, What's new – Savings and pension plan administration, last modified September 1, 2026. Where: Section "General", entries dated 2023-11-01, 2024-11-01 and 2025-10-30.
- [2]Department of Justice Canada (Justice Laws Website), Canada Pension Plan, R.S.C. 1985, c. C-8 (consolidated; current to 2026-09-21, last amended 2024-12-17). Where: Schedule 1 (4.95%) plus Schedule 2, First Additional Contribution Rates (1.0%), rows for 2027; s. 20(2) ("For each year after 1997 the amount of a Year's Basic Exemption is $3,500"); s. 11.2 and Schedule 2, Second Additional Contribution Rates, row "2024 and each subsequent year" (4.0%); s. 18.1(1)(b) ("for 2025 and each subsequent year, 1.14 multiplied by the Year's Maximum Pensionable Earnings") and s. 18.1(2) (rounding down to the next $100); Schedule 1, self-employed column (9.9%) plus Schedule 2, First Additional Contribution Rates, self-employed column (2.0%); s. 18(1)(c), (2), (3) and (5); s. 11.1(2) and Schedule 1, row "2003 and each subsequent year" (4.95%); s. 11.2 and Schedule 2, First Additional Contribution Rates (rows 2019 to 2023 phase the rate in; row "2024 and each subsequent year": 1.0%).
- [3]Canada Revenue Agency, CPP contribution rates, maximums and exemptions, last modified October 31, 2025. Where: Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Maximum annual employee and employer contribution"; Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Employee and employer contribution rate (%)"; Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Basic exemption amount"; Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Maximum annual pensionable earnings"; Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Maximum contributory earnings"; Table "CPP contribution rates, maximums and exemptions all years", row 2026, column "Maximum annual self-employed contribution".Note: No 2027 row on 2026-09-28.
- [4]Canada Revenue Agency, Second additional CPP contribution (CPP2) rates and maximums, last modified October 31, 2025. Where: Table "CPP2 contribution rates and maximums", row 2026, column "Maximum annual employee and employer contribution"; Table "CPP2 contribution rates and maximums", row 2026, column "Employee and employer contribution rate (%)"; Table "CPP2 contribution rates and maximums", row 2026, column "Additional maximum annual pensionable earnings"; Table "CPP2 contribution rates and maximums", row 2026, column "Maximum annual self-employed contribution".Note: No 2027 row on 2026-09-28.
- [5]Canada Revenue Agency, Line 22215 – Deduction for CPP or QPP enhanced contributions on employment income, last modified January 20, 2026. Where: Opening section (deduction for the "first additional amount" and "second additional amount").
- [6]Canada Revenue Agency, Line 30800 – Base CPP or QPP contributions through employment income, last modified January 20, 2026. Where: Page title and opening section (base contributions).
- [7]Canada Revenue Agency, 2025 Income Tax and Benefit Return (5000-R), text version. Where: Line 22215 (Step 3, deduction for enhanced contributions) and line 30800 (Step 5, "Part B - Federal non-refundable tax credits").