Canada Pension Plan

Marginal note:Attribution of amount for second additional contributory period — one child

• 53.4 (1) An amount, determined by the following formula, shall be attributed to a contributor for a year during which they were a family allowance recipient with respect to one child, if that amount is greater than their second additional unadjusted pensionable earnings for that year:

  [[(M1 × A) + (M2 × B) + (M3 × C) + (M4 × D) + (M5 × E) + (M6 × F)]/R] × T

  where

  A

  is the second additional unadjusted pensionable earnings of the contributor for the fifth year before the year in which the contributor became a family allowance recipient with respect to the child, divided by the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings, for that fifth year;

  B

  is the second additional unadjusted pensionable earnings of the contributor for the fourth year before the year in which the contributor became a family allowance recipient with respect to the child, divided by the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for that fourth year;

  C

  is the second additional unadjusted pensionable earnings of the contributor for the third year before the year in which the contributor became a family allowance recipient with respect to the child, divided by the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for that third year;

  D

  is the second additional unadjusted pensionable earnings of the contributor for the second year before the year in which the contributor became a family allowance recipient with respect to the child, divided by the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for that second year;

  E

  is the second additional unadjusted pensionable earnings of the contributor for the year before the year in which the contributor became a family allowance recipient with respect to the child, divided by the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for that prior year;

  F

  is,

  • (a) in the case where an amount has been previously attributed by this section for the year in which the contributor became a family allowance recipient with respect to the child, that amount, or

  • (b) in any other case

    • (i) if the contributor became a family allowance recipient with respect to the child in January, zero, or

    • (ii) in any other case, the lesser of 1 and the number determined by the formula

      G/[H × (M6/12)]

      where

      G

      is the second additional unadjusted pensionable earnings of the contributor for the year in which the contributor became a family allowance recipient with respect to the child, and

      H

      is the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for the year in which the contributor became a family allowance recipient with respect to the child;

  M1

  is the lesser of

  • (a) the number of months in the contributor’s second additional contributory period in the fifth year before the year in which the contributor became a family allowance recipient with respect to the child, and

  • (b) the number determined by the formula

    12 − M6

  M2

  is the number of months in the contributor’s second additional contributory period in the fourth year before the year in which the contributor became a family allowance recipient with respect to the child;

  M3

  is the number of months in the contributor’s second additional contributory period in the third year before the year in which the contributor became a family allowance recipient with respect to the child;

  M4

  is the number of months in the contributor’s second additional contributory period in the second year before the year in which the contributor became a family allowance recipient with respect to the child;

  M5

  is the number of months in the contributor’s second additional contributory period in the year before the year in which the contributor became a family allowance recipient with respect to the child;

  M6

  is the number of months in the contributor’s second additional contributory period in the year in which the contributor became a family allowance recipient with respect to the child that are before the month in which they became a family allowance recipient with respect to that child;

  R

  is the greater of 36 and the sum of M1, M2, M3, M4, M5 and M6; and

  T

  is the difference between the Year’s Additional Maximum Pensionable Earnings and the Year’s Maximum Pensionable Earnings for the year for which the amount is to be attributed.

• Marginal note:Attribution of amount for second additional contributory period — more than one child

  (2) If the contributor is a family allowance recipient with respect to more than one child in a year, an amount shall be attributed to the contributor for that year that is the greater of each amount determined under subsection (1), calculated with respect to each child without regard to the other children.

• Marginal note:Year in which second additional contributory period begins or ends

  (3) For the purposes of subsection (1), for a year in which the contributor’s second additional contributory period begins or ends, the amount to be attributed to the contributor is equal to that proportion of the amount determined in accordance with subsection (1) that the number of months that are included in the contributor’s second additional contributory period in that year is of 12.

• Marginal note:Year in which second additional contributory period begins

  (4) For the purposes of the descriptions of A to E in subsection (1), if the contributor’s second additional contributory period begins in the five years before the year in which they became a family allowance recipient,

  • (a) the Year’s Maximum Pensionable Earnings for the year in which their second additional contributory period begins is replaced by the prorated portion determined by the formula

    A × (M ÷ 12)

    where

    A

    is the Year’s Maximum Pensionable Earnings for the year in which the contributor’s second additional contributory period begins, and

    M

    is the number of months in that year that are included in the contributor’s second additional contributory period; and

  • (b) the Year’s Additional Maximum Pensionable Earnings for the year in which their second additional contributory period begins is replaced by the prorated portion determined by the formula

    A × (M ÷ 12)

    where

    A

    is the Year’s Additional Maximum Pensionable Earnings for the year in which the contributor’s second additional contributory period begins, and

    M

    is the number of months in that year that are included in the contributor’s second additional contributory period.