TORONTO, March 1, 2013 /CNW/ - The Canadian Federation of Independent
Business (CFIB) is pleased by the announcement that legislation for
Pooled Registered Pension Plans (PRPPs) is being introduced by the
Government of British Columbia. If approved during the spring session,
BC will be the first province to pass PRPP legislation after the Pooled
Registered Pension Plans Act was given Royal Assent by the Canadian
government last June.
"CFIB applauds the BC government for making it easier for British
Columbians to save for their retirement," said CFIB president Dan
Kelly. "We urge all provincial governments to follow BC's lead, as
PRPPs will be an excellent addition to the retirement savings options
for small business owners and their employees."
Unlike company RRSPs, PRPPs are not subject to payroll taxes, and the
administration fees are expected to be lower, so small firms will be
able to set more money aside for employee retirement plans. CFIB plans
to monitor financial institutions to ensure administration fees are
significantly lower than current RRSPs.
Recent CFIB member data reveals that up to a third of small firms would
consider offering a PRPP in their workplace to improve retirement
savings for employees.
"Small firms tell us that the main reasons 80% of them do not have any
form of company retirement plan for the business owner or their
employees are the costs and administrative burden of offering a plan.
We expect PRPPs to move the ball forward on both fronts," added Kelly.
As Canada's largest association of small- and medium-sized businesses,
CFIB is Powered by Entrepreneurs™. Established in 1971, CFIB takes
direction from more than 109,000 members in every sector nationwide,
giving independent business a strong and influential voice at all
levels of government and helping to grow the economy.
SOURCE: CANADIAN FEDERATION OF INDEPENDENT BUSINESS
For further information:
For more information or to arrange an interview with Dan Kelly, please contact Al Maggi at 416-222-8022 or by email at email@example.com.