The Desjardins Group Pension Plan (DGPP) is a
defined benefit pension plan. Its objective is to provide you with a retirement income based on your credited years of service in the Plan and your average earnings over your eight best-paid years (Salary8).
How will your pension be calculated?
|
Pension calculation |
|
Pension payable
|
Years of service
| |
Pension credit1
| |
Average salary |
|
|
Credited years
| X
| 1.5% / 2%
| X
| Best 8 years
| =
| DG pension payable at age 652
|
¹ The pension credit provides a percentage of 1.5% of the average salary up to
average maximum pensionable earnings
(MPE5) and 2% of average salary exceeding average MPE5.
² This is on top of the QPP/CPP pension. The DGPP pension payable connot be greater than the maximum for tax purposes.
Plan eligibility criteria
(Reference: DGPP Regulation, Section 4-2)
To determine eligibility, hours or earnings earned with one or more Desjardins employers must be accumulated. It is the employer's responsibility to ensure that the eligibility criteria are met.
If you meet the criteria for participation in the DGPP, you will be notified by your employer via Workday. If your participation is optional, you will receive a task in your Workday inbox to indicate your choice to participate or not in the DGPP.
Age
-
• Employee aged from 25 up to 65 years old: mandatory membership
-
• Employee under age the age of 25 or 65 and over: optional membership
Employment status
-
• Full-time and part-time employees (14 hours or more per week): immediate membership.
-
• Part-time employees at less than 14 hours per week: membership starting the following January 1, if the employee was employed by one or more Desjardins Group employers at least 700 hours or if he or she has received remuneration of at least 35% of the yearly maximum pensionable earnings (YMPE) during the previous calendar year
Employees assume 35% of the cost of the plan while the employer undertakes 65%.
The current contribution rate is:
5.90% on pensionable earnings up to 65% MPE + 9.30% on exceeding amount.
*MPE: Maximum Pensionable Earnings at QPP or CPP
The MPE is revised on a yearly basis.
Contribution examples:
Salary
|
2024 Annual employee contributions
(MPE 2024 = $68,500)
|
$30,000
|
$1,770
|
$40,000
|
$2,360
|
$50,000
|
$3,136 |
$60,000
|
$4,066
|
$80,000
|
$5,926
|
$100,000
|
$7,786
|
$120,000
|
$9,646
|
$140,000
|
$11,506
|
*Maximum contributory salary, which varies from year to year.
When you start participating in the DGPP, the required contributions will be deducted automatically from your pay.
Within 6 weeks of starting your membership, you will receive an email from the DGPP. This email will provide you with the information you need to access your file on the DGPP's secure site and designate your beneficiaries.