ACTIVE MEMBER UPDATE
Your Member Statement for the period ending December 31, 2020 is available to you through your PLANet account.
The Municipal Employees' Pension Plan
MEPP is a defined benefit pension plan administered by PEBA. MEPP provides retirement benefits to the employees of school divisions, urban and rural municipalities, regional colleges, regional public libraries and other local authorities within the Province of Saskatchewan.
Report on the Review on the Composition of the Municipal Employees’ Pension Commission
The purpose of the review was to examine the current composition of the Commission and other administrative matters associated with the operation of the Commission and did not include an examination of contribution levels or consideration of the benefits provided by the Municipal Employees’ Pension Plan.
Consultations were held with stakeholders, including pensioners, through the summer and into the fall of 2020. The final report including recommendations was provided to the Minister of Finance in January 2021.
The Minister of Finance has reviewed the report and has responded to Mr. Griffith's recommendations. The Minister’s response and a copy of the report are being made available. To read the letter and report click on the corresponding images.
If all your debts – credit card, vehicle payment, student loan, mortgage – magically were paid off tomorrow in entirety, you’d likely feel an enormous sense of a relief. However, if your savings account has a $0 balance, you’re still not ready to retire.
So, which should be your primary focus - paying down debts or bulking up your retirement savings?
Hint: There is no wrong answer.
The correct decision always depends on an individual’s financial situation and their emotional ties to money.
Those who sway to the side of paying off debt are likely well aware that credit card interest rates are in the neighbourhood of 20 per cent. By comparison, an interest rate on a mortgage or student loan could be much lower. One should consider…
Tax deductions and credits
Not many of us are well versed in tax lingo, so let’s simplify one set of terms that we all should be familiar with – tax deductions and tax credits.
Let’s say your taxable income is $100,000 in 2021 and you owe approximately $30,000 in income tax.
Tax deductions work to decrease your taxable income or that $100,000 that you earned.
Tax deductions are things like spousal allowance that you pay to an ex-spouse, home office deductions, business meals, car usage etc.
You would track these expenses during the year and deduct them from your taxable income at tax time. These deductions may help you reduce your…
When it comes to financial planning, having a general idea of your average and marginal rate is helpful. It gives you an idea of how much money will be yours to spend, save, and invest.
The average tax rate measures your tax burden — the percentage of income you pay in taxes. It’s calculated by taking the total tax you paid and dividing it by your total income. It’s an accurate reflection of overall tax liability.
The marginal tax rate is the tax rate you pay on an additional dollar of income. The marginal tax rate for individuals increases as income rises. This method, known as progressive taxation, aims to tax individuals based upon their earnings.
Let’s look at an example, say your taxable income for 2021 will be $100,000.…