If Ramzi earned $46 000 from employment,approximately how much will his employer deduct for his CPP contribution? (YMPE $52 500; YBE $3500)

Question

Quizplus · Accepted Answer

The CPP contribution is calculated on earnings above the Year's Basic Exemption (YBE) up to the Year's Maximum Pensionable Earnings (YMPE). Ramzi's earnings of $46,000 fall within this range. The calculation is: ($46,000 - $3,500) * 5.25% (CPP contribution rate for 2023) = $42,500 * 5.25% = $2,231.25. However, since none of the options exactly match this calculation, the closest option is B) $1912, which suggests a possible error in the calculation or the provided options.

If Ramzi Earned $46 000 from Employment,approximately How Much Will