Are you a teacher in Canada? If so, do you know how much you’re contributing to your pension plan, and how much you can expect to get when you retire?
In this article, we’ll discuss the different teachers’ pension plans across Canada, their associated contribution rates, and their pension payment dates for 2024.
Key Points
- Teacher pension payments are typically made on a monthly basis no matter what province you live in, though the exact payment dates might vary slightly.
- Pension amounts are generally based on contribution rates, teacher salaries, and age of retirement.
- Teacher pension payments, like most other forms of pension benefits in Canada, are considered a form of income, so you’ll have to pay taxes on them.
What Is A Teacher Pension Plan?
As the name suggests, a teachers’ pension plan provides retired teachers with a lifetime pension. These plans are typically defined benefit registered pension plans, which means recipients receive a pre-calculated benefit based on their years of service.
Teachers’ pension plans are managed by independent parties and funded through teacher and employer contributions, and investment profits from invested funds.
Teachers’ salaries are deducted a specific amount during their working years, and employers match these contributions. Rates of contribution vary from one province to another.
Provincial Teacher Pension Plans
Depending on the province you teach in, each pension plan has its own contribution rate and payment date.
2024 Provincial Contribution Rate Snapshot
| Province | 2024 Employee Contribution Rate |
| British Columbia | – 11.17% of earnings |
| Alberta | – 9.00% on earnings up to the YMPE* – 12.86% on earnings over the YMPE |
| Saskatchewan | – 9.5% on earnings up to the YMPE – 11.7% on earnings over the YMPE |
| Manitoba | – 8.8% on earnings up to the YMPE – 10.4% on earnings over the YMPE |
| Ontario | – 10.4% on earnings up to the YMPE – 12.0% on earnings over the YMPE |
| Quebec | – 9.39% of earnings |
| New Brunswick | – 10.0% on earnings up to the YMPE – 11.7% on earnings over the YMPE |
| Nova Scotia | – 11.3% on earnings up to the YMPE – 12.9% on earnings over the YMPE |
| PEI | – 8.30% on earnings up to the YMPE – 10% on earnings over the YMPE |
| Newfoundland | – 11.35% of earnings |
*YMPE = Year’s Maximum Pensionable Earnings
Ontario Teachers’ Pension Plan (OTPP)
The Ontario Teachers’ Pension Plan (OTPP) administers benefits and invests for over 330,000 teachers in Ontario. Today, it serves approximately 170 educational organizations across the province.
What Is The OTPP Contribution Rate?
Pension contributions are based on your salary and the Canada Pension Plan (CPP) contributions limit. The CPP limit is currently $68,500, but changes every year. As of January 1, 2024, Canadians will also need to contribute to the Second additional CPP contribution (CCP2).
For 2024, the contribution rate is 10.4% of your annual salary up to the CPP limit, and 12.0% of your salary over the CPP limit.
How Much Will I Get?
The amount you receive when you retire depends on age or your ’85’ factor. You will receive an unreduced retirement pension at age 65 years or if you reach your 85 factor, which means your age + qualifying years = 85.
To age 65, your pension equals 2% × credit × best-five years’ salary. Eligible if you’re still employed and receiving a CPP retirement pension, you must still contribute to CPP.
You qualify for a reduced pension when you reach at least 50 years of age. Your reduced pension is calculated like a standard retirement pension, then reduced by a 2.5% or 5% reduction formula.
Ontario Teachers’ Pension Plan Payment Dates For 2024
OTPP pension payments are deposited on the last business day of every month. For 2024, the payment dates are as follows:
- January 31
- February 29
- March 28
- April 30
- May 31
- June 28
- July 31
- August 30
- September 27
- October 31
- November 29
- December 31
BC Teachers’ Pension Plan (BCTPP)
The BC’s Teachers’ Pension Plan (BCTPP) is a defined benefit pension plan based on your years of service and your highest average salary. Investment returns make an average of about 75 cents of every dollar of your pension, with the 25 cents remaining coming from your and your employer’s contributions.
During every pay period, part of your paycheque goes toward the pension plan, which your employer also contributes to at the same time. All contributions are added to the pension fund and pooled along with all other members.
The BC Investment Management Corporation (BCI) manages the money in the pension fund. Professional investment managers make investment decisions on behalf of members based on specific guidelines established by a board of trustees to ensure long-term growth.
What Is The BCTPP Contribution Rate?
Contributions are deducted from your paycheque and put into the plan along with your employer’s contributions. The combined contributions are based on a percentage of your salary.
Today’s contribution rate is 11.17% of your salary. Your employer also contributes 11.30% of your earnings.
BC Teachers’ Pension Plan Payment Dates For 2024
Monthly BCTPP pension payments are deposited into your bank account on the following dates for 2024:
- January 30
- February 28
- March 27
- April 29
- May 30
- June 27
- July 30
- August 29
- September 26
- October 30
- November 28
- December 23
Alberta Teachers’ Retirement Fund (ATRF)
The Alberta Teachers’ Retirement Fund (ATRF) serves as the administrator and trustee of the Teachers’ Pension Plan assets for all teachers in Alberta. The plans are defined benefit pension plans that are sponsored by the Government of Alberta and the Alberta Teachers’ Association, which acts on behalf of members to make changes to plan design, benefits, and funding.
What Is The ATRF Contribution Rate?
The current contribution rate is 9.00% up to the monthly maximum CPP pensionable earnings level and 12.86% on pensionable earnings over that amount. The Government of Alberta or employer contribution is 9.89% of your pensionable salary.
As of September 1, 2024, the employee contribution rate will dip to 8.24% up to the monthly maximum CPP pensionable earnings level and 11.76% on pensionable earnings exceeding that level. The Alberta government or employer contribution will also decrease to 8.92% of your pensionable salary.
Alberta Teachers’ Retirement Fund Payment Dates For 2024
Pension payments are deposited on the third-last business day of every month, except for December. Deposit dates for 2024 are as follows:
- January 29
- February 27
- March 26
- April 26
- May 29
- June 26
- July 29
- August 28
- September 25
- October 29
- November 27
- December 23
Manitoba Teachers’ Retirement Allowances Fund (TRAF)
The Teachers’ Retirement Allowances Fund (TRAF) is a defined benefit pension plan for teachers and other employees in Manitoba. TRAF collects member contributions and manages the investments of the pension plan. When members retire, are terminated, or pass away, TRAF provides benefits to members or their beneficiaries accordingly.
TRAF pension is based on a formula of your average salary and years of pensionable work.
What Is The TRAF Contribution Rate?
The Teachers’ Pensions Act (TPA) determines how much TRAF contributions are. For 2024, the salary rate up to the year’s maximum pensionable earnings (YMPE) is deducted at 8.8% and salary rates over the YMPE are deducted at 10.4%. The 2024 YMPE is $68,500.
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Manitoba Teachers’ Pension Plan Payment Dates
Monthly pension payments for 2024 take place on the following dates:
- January 31
- February 29
- March 28
- April 30
- May 31
- June 28
- July 31
- August 30
- September 27
- October 31
- November 29
- December 31
Saskatchewan Teachers’ Retirement Plan (STRP)
The Saskatchewan Teachers’ Retirement Plan (STRP) is administered by the Saskatchewan Teachers’ Federation and provides benefits to teachers who started teaching in the provincial educational system after July 1, 1980. Pensions are determined by a formula based on a teacher’s salary and years of service.
What Is The STRP Contribution Rate?
Members of the STRP contribute to the plan through deductions on their paycheques until they retire or are terminated. Right now, the contribution rate up to the Year’s Maximum Pensionable Earnings (YMPE) is 9.5% and 11.7% above the YMPE.
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Saskatchewan Teachers’ Retirement Plan Payment Dates
The pension payment dates for 2024 are deposited on the last day of the month:
- January 31
- February 29
- March 28
- April 30
- May 31
- June 28
- July 31
- August 30
- September 27
- October 31
- November 29
- December 31
Nova Scotia Teachers’ Pension Plan (NSTPP)
The Nova Scotia Teachers’ Pension Plan (NSTPP) provides pension benefits to public school teachers in Nova Scotia as well as members of other educational institutions, including the Nova Scotia Community College.
What Is The NSTPP Contribution Rate?
The contribution rate is 11.3% for earnings up to the YMPE, and 12.9% over the YMPE. Contributions are made by you, your employer and through your TPP investments.
Nova Scotia Teachers’ Pension Plan Payment Dates
Pension payments in Nova Scotia take place on the following dates in 2024:
- January 29
- February 27
- March 26
- April 26
- May 29
- June 26
- July 29
- August 28
- September 25
- October 29
- November 27
- December 27
New Brunswick Teachers Pension Plan (NBTPP)
The New Brunswick Teachers Pension Plan (NBTPP) is administered by Vestcor and provides pension benefits to retired teachers in New Brunswick, as well as benefits to beneficiaries as applicable.
What Is The NBTPP Contribution Rate?
The New Brunswick Teachers’ Pension Plan contribution rates are 10% for salaries up to the YMPE, and 11.7% higher than the YMPE. Employers also contribute 10.75% for earnings under the YMPE and 12.45% above the YMPE.
New Brunswick Teachers Pension Plan Payment Dates For 2024
The 2024 pension payment dates for the NBTPP are as follows:
- January 24
- February 23
- March 22
- April 24
- May 24
- June 24
- July 24
- August 23
- September 24
- October 24
- November 22
- December 18
Newfoundland & Labrador Teachers’ Pension Plan (NLTPP)
The Newfoundland & Labrador Teachers’ Pension Plan (NLTPP) provides benefits to retired, active, and inactive teacher members.
What Is The NLTPP Contribution Rate?
The NLTPP contribution rate is currently 11.35% of eligible earnings. Contributions are 100% matched by the government.
Newfoundland Teachers’ Pension Plan Payment Dates For 2024
The Teachers’ Pension Plan Corporation pays benefits twice a month. The first payment is made on the 15th of the month, while the second is made on the last of the month. For 2024, the payment dates are as follows:
- January 15 & 31
- February 15 & 29
- March 15 & 28
- April 15 & 30
- May 15 & 31
- June 14 & 28
- July 12 & 31
- August 15 & 30
- September 13 & 27
- October 15 & 31
- November 15 & 29
- December 13 & 31
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Quebec Teachers’ Pension Plan
Teachers in Quebec have two pension plans that they may contribute to, the Public Sector Pension Plan (RREGOP) or the Quebec Pension Plan (QPP). The RREGOP is the pension plan that public sector employees in Quebec contribute to, including teachers.
What Is The RREGOP Contribution Rate?
The RREGOP contribution rate for 2024 is 9.39%.
Quebec Teachers’ Pension Plan Payment Dates For 2024
For 2024, the RREGOP is paid on the 15th day of each month. If the 15th lands on a weekend or holiday, it’ll be paid out on the preceding day. For 2024, the payment dates are as follows:
- January 15
- February 15
- March 15
- April 15
- May 15
- June 14
- July 15
- August 15
- September 13
- October 15
- November 15
- December 15
Prince Edward Island Teachers’ Pension Plan (PEITPP)
The Prince Edward Island Teachers’ Pension Plan (PEITPP) provides pension benefits for teachers in PEI.
What Is The PEITPP Contribution Rate?
The contribution rate for the PEITPP is 8.30% of earnings up to the YMPE of $68,500, and 10% for earnings over the YMPE. Employers match contributions.
Prince Edward Island Teachers’ Pension Plan Payment Dates
Payments are maid on the 22nd day of each month. If the 22nd lands on a weekend or holiday, it’ll be paid out the next business day. The 2024 PEITPP payment dates are as follows:
- January 22
- February 22
- March 22
- April 22
- May 22
- June 24
- July 22
- August 22
- September 23
- October 22
- November 22
- December 23
How Much Do Teachers Make In Different Provinces?
In addition to contribution rates, pension amounts are also based largely in part on salaries. The following is a breakdown of the median hourly wages in provinces across Canada, split between primary and secondary school teachers:
| Province | Median Hourly Wage: Primary School Teachers | Median Hourly Wage: Secondary School Teachers |
| British Columbia | $37 | $41.98 |
| Alberta | $42.86 | $46.80 |
| Saskatchewan | $40.87 | $43.27 |
| Manitoba | $40.87 | $44.23 |
| Ontario | $44.10 | $48.08 |
| Quebec | $39.06 | $42.56 |
| New Brunswick | $38.46 | $37.91 |
| Nova Scotia | $37.95 | $41.76 |
| PEI | $37.44 | $40.00 |
| Newfoundland | $44.71 | $45.67 |
For reference purposes, the median hourly wages in Canada as a whole are as follows:
- Primary school teachers: $41.21
- Secondary school teachers: $45.30
What Factors Affect The Teacher Pension Plan Payment?
Each province’s teacher pension amounts are based on specific formulas. The exact amount you’ll receive each month in pension benefits depends on several factors, which can include the following:
- Age of retirement (ie. if you retire early, you may receive a reduced pension)
- Your chosen pension option
- Number of years of services
- Deductions (ie. income tax)
Other factors may be involved depending on the province you live and work in.
Final Thoughts On The Teacher Pension Plan
If you’re a retired teacher in Canada or are nearing retirement, it’s helpful to know when your pension benefits will be paid out. While you’re still teaching, it’s also good to understand how much you’re contributing to your pension fund, as well as how the government will match your contributions. Keeping tabs on these numbers will help you maintain a healthy budget.
