PSSP Contributions | Nova Scotia Public Service Superannuation Plan

Your PSSP contributions are deducted from your pay each payday by your employer. Your employer also pays an amount equal to your contributions to the Plan. These contributions are invested to grow the pension fund, helping to pay for the future pension benefits of its members. While contributions are important, your pension is based on your years of pensionable service and pensionable earnings, not the amount you contribute.

How much do I contribute?

There are two rates of contribution.

8.4% of pensionable earnings up to the year’s maximum pensionable earnings (YMPE), and
10.9% of pensionable earnings above the YMPE.

You can verify how much you contribute to the Plan by checking your pay stub.

How much does my employer contribute?

Your employer matches your contributions.

8.4% of pensionable earnings up to the YMPE, and
10.9% of pensionable earnings above the YMPE

What is the YMPE?

The YMPE is an important term to understand when it comes to calculating your pension.

It is defined by the Canada Pension Plan (CPP) each year.
It is used as the ceiling for contributions to CPP.
It changes every year, on January 1st, to reflect increases in the average wage.

You cannot contribute to the Plan after you reach age 71. This is the maximum age that the Income Tax Act (ITA) permits pension contributions to be made. The ITA rule states, "a member's pension contributions must stop by November 30th in the year in which they turn age 71 and they must start receiving their pension no later than December 1st in the same year". You can continue to work with a PSSP employer, but you will be a retired member of the Plan.

35-years of Pensionable Service* Cap:
Under current plan rules, you stop paying pension contributions when you reach 35 years of pensionable service.

On April 1, 2026, this rule will change and the 35-year cap on pensionable service will be eliminated. This means:

If you reach 35 years of pensionable service on or after April 1, 2026, you will continue to pay pension contributions.
If you reach 35 years of pensionable service prior to April 1, 2026, and you continue to be an active Plan member following April 1, 2026, you will begin to pay pension contributions again.

* Your Pensionable Service is equal to the number of years you worked and made pension contributions; this includes any purchases of service and reciprocal transfers into the Plan.

Examples of how your pension contributions are calculated (using the YMPE for 2020, $58,700):