Question

Raymond is paid $800.00 per week and is paid weekly. This is the only compensation he receives. calculate his CPP contributions for his weekly pay. : 46.67 39.67 36.46 43.60

Answer 1

Raymond's CPP contributions for his weekly pay are $43.60.

Step-by-step explanation:

To calculate Raymond's CPP contributions for his weekly pay, we need to determine his weekly salary. As given in the question, Raymond is paid $800.00 per week. CPP contributions are calculated as a percentage of the employee's gross income, up to a maximum amount.

In 2021, the CPP contribution rate is 5.45% for both the employer and the employee. The maximum pensionable earnings for 2021 are $61,600. This means that any income above $61,600 is not subject to CPP contributions.

To calculate Raymond's CPP contributions, we multiply his weekly salary of $800.00 by the CPP contribution rate of 5.45%:

CPP contributions = $800.00 * 0.0545 = $43.60

Therefore, Raymond's CPP contributions for his weekly pay are $43.60.