Have any of the Canadian users set up Global Vectors and Calculations in DPM for the CPP/QPP enhanced contributions that are due to start January 2024? More specifically, how are you setting up your calculation details?
Hi @heather.cooper, not too sure about “enhanced” contributions but do this articles help:
Tax calculation
Calculation Types
Hi @judy.correia, enhanced contributions are new in Canada starting in 2024. The first $68K is calculated at the normal CPP rate and any earnings between ytd $68K and $72K are calculated at a separate rate. The annual exemption only applies up to the $68K in earnings.
How can I transform the given formula into a calculation in the Prophix DPM module personal cubes ? Any suggestions would be greatly appreciated. The formula is as follows:
=IF([ANNUALIZED PAY]<68500, 0, IF(AND([ANNUALIZED PAY]>=68500, [ANNUALIZED PAY]<=73200), ([ANNUALIZED PAY]-68500)*0.04, IF([ANNUALIZED PAY]>73200, (73200-68500)*0.04, 0)))
@sammil.hossain I have created a new formula that is separate from the original CPP calculation. /here is a snapshot of what the calculation details look like:
I have also created a new global vector:
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Hi Heather, Thank you somuch.
Hi,
I posted this in another discussion for same/similar requirement.
I feel the easier approach would creating 3 Calculation Variables:
Band1: Pay < 68500 than Result as 0
Band2: Pay >= 68500 and <=73200 than (Pay - 68500) 0.04
Band3: Pay > 73200 than 4700 0.04
CPP = Band1 + Band2 + Band3
It will be easier to manage the bands in future.
Totally agree! I made three formulas with conditions, and they work well. Thanks