Alberta Considers Opting Out Of Canada Pension Plan
Posted on 09/28/2023
Sending billions into a pension plan and seeing a fraction of it coming back has raised the ire of west Canadians, and some are saying they want out. Leading them is Premier Danielle Smith. However, Canada is known as a country where compromise wins and getting along with each other is the ultimate priority. At stake is billions sent to the Canada Pension Plan, which delivers subpar benefits according to Smith. Smith says Alberta could be entitled to CA$ 334 billion if it opted out, though some argue the numbers, saying Alberta could only have half of that.
Quebec is the only province not to be in the CPP, but that is because it never joined. A province is yet to leave the CCP.
The road to opting out is as follows: first Alberta would have to give three years’ notice of its plan to withdraw, so it likely wouldn’t see any money until close to 2027 at this point. It would then have to enact legislation permitting this. Lastly, the federal government would have to sign off on it, approving the plan that Alberta substituted.
