Payroll’s role in PRPPs and VRSPs

While plan providers have heaviest responsibility, payroll departments do have some administrative duties
By Sheila Brawn
|Canadian Payroll Reporter|Last Updated: 02/01/2017

With governments across Canada enacting laws to allow for pooled registered pension plans (PRPPs) and voluntary retirement savings plans (VRSPs), payroll professionals may need to become as familiar with these terms as they are with registered pension plans (RPPs) and registered retirement savings plans (RRSPs).

Legislation to allow for PRPPs has been slowly rolling out across Canada over the last few years, beginning in 2012 for employers and employees under federal jurisdiction and for those in the territories (including the self-employed).

Last year, governments in British Columbia, Nova Scotia, Ontario and Saskatchewan enacted PRPP laws. Alberta has passed, but not yet brought into effect, its PRPP legislation. In Manitoba, a PRPP bill is before the provincial legislature.