William B. P. Robson – New Accounting May Reveal Government Pension Liabilities
From: William B. P. Robson To: Canadians worried about government debt – especially the unseen amounts Date: March 5, 2018 Re: New Accounting May Reveal Government Pension Liabilities Good decisions require good information. Improving the information legislators and voters get about government finances is an ongoing task. Establishing public-sector accounting standards in the 1980s was a key step, and […]Headed for the Poorhouse: How to Ensure Seniors Don’t Run Out of Cash before They Run Out of Time
With Canadians living longer, running out of savings in old age is a real possibility, according to a new report from the C.D. Howe Institute. In “Headed for the Poorhouse: How to Ensure Seniors Don’t Run Out of Cash before They Run Out of Time” an innovative pooled risk savings program to protect seniors at advanced […] Laurin, Robson – We Need Deeds, Not Words, to Make the New Canada Pension Plan Financially Secure
From: Alexandre Laurin and Bill Robson To: Young Canadians Date: December 18, 2017 Re: We Need Deeds, Not Words, to Make the New Canada Pension Plan Financially Secure Cannabis taxation garnered most of the headlines about Canada’s finance ministers’ semiannual meeting last week. But for young Canadians who face higher premiums over their working lives to fund the […]The Fiscal Implications of Canadians’ Working Longer
Canada’s greying workforce will spell big fiscal trouble for future taxpayers, according to a new C.D. Howe Institute report. In “The Fiscal Implications of Canadians’ Working Longer,” authors William Robson, Colin Busby, and Aaron Jacobs find that demographic change is squeezing the budgets of Canadian governments—increasing the costs of public programs and eroding the tax […] William B.P. Robson – The “factor Of Nine” Crushes Retirement Saving Opportunities – Let’s Pension It Off
From: William B.P. Robson To: Canadians Struggling to Save for Retirement Date: November 13, 2017 Re: The “Factor of Nine” Crushes Retirement Saving Opportunities – Let’s Pension it Off Ottawa should raise contribution limits for savers in RRSPs and defined-contribution pension plans. In a recent paper, I outlined how current limits are outdated, unfair, and put savers in RRSPs […] William B.P. Robson – Lesson from the Sears Disaster: Fund Pensions Properly!
From: William B.P. Robson To: Members of Parliament and pension regulators Date: November 7, 2017 Re: Lesson from the Sears Disaster: Fund Pensions Properly! The bankruptcy of Sears Canada, and the threat that its underfunded pension plan won’t pay what it promised, has drawn widespread attention, not least from members of Parliament. Understandably so. You don’t get a second chance at retirement and when your payout suddenly falls, […]A lesson from the Sears disaster: We must fund pensions properly – Globe and Mail Op-Ed
The bankruptcy of Sears Canada, and the threat that its underfunded pension plan won’t pay what it promised, has caught the attention of members of Parliament. Understandably so. People don’t get a second chance at retirement. Getting an annuity less than you counted on is a terrible blow.
After the sponsor of an insolvent pension plan has gone bankrupt, moreover, governments have no happy choices. A bailout – taxpayers paying for the actions of an irresponsible employer – would be unfair, and set a terrible precedent. Some want a national pension guarantee fund that would charge premiums and pay out upon failures. But experience in the United States, Ontario and elsewhere shows that those schemes also tax responsible people to…
Rethinking Limits on Tax-Deferred Retirement Savings in Canada
Ottawa should raise contribution limits for savers in RRSPs and defined-contribution plans, according to a new C.D. Howe Institute report. In Rethinking Limits on Tax-Deferred Retirement Savings in Canada, author William Robson finds current limits are outdated, unfair, and put savers in RRSPs and defined-contribution plans at a major disadvantage. Bill Robson on BNN – Lessons from Sears on funding Canadians’ pensions
Bill Robson, President and CEO of C.D. Howe Institute, joins BNN to discuss how avoid another Sears or Nortel fallout for retirees.
Robson and Laurin – Investment Risks in an Expanded CPP
From: Alexandre Laurin and William Robson To: Participants in the Canada Pension Plan Date: September 7, 2017 Re: Investment Risks in an Expanded CPP Our report in April, Bigger CPP, Bigger Risks, highlighted the possibility that disappointing investment returns in the expanded Canada Pension Plan (CPP2) will force younger Canadians to bail the plan out, […]Premium Compensation: The Ballooning Cost of Federal Government Employees
The cost of federal employees has risen rapidly, with total compensation per employee jumping nearly 5% per year on average over the past decade, says a new report from the C.D. Howe Institute. In “Premium Compensation: The Ballooning Cost of Federal Government Employees,” authors Alexandre Laurin and William B.P. Robson argue that containing these increases […] Deciding When Canadians Get Seniors Benefits Has Become Too Political. Here’s How To Stop That: Financial Post Op-ed
Low fertility rates, increasing life expectancies and the aging of baby boomers are causing Canada’s old-age dependency ratio to rise. This increase in pensioners relative to the working-age population will strain the sustainability of our social security system. Should the age of eligibility (AOE) for seniors’ programs be raised? If so, when? Since Ottawa seems to be avoiding the problem, we propose a politics-free solution.
We propose that Ottawa adopt an automatic balancing mechanism that would automatically adjust the AOE for programs like Old Age Security (OAS) and Canada Pension Plan (CPP) based on demographic calculations outside of political influences. The formula would deem that a constant proportion of one’s adult life…