Starting on January 1, 2025, you will contribute 4% of your eligible earnings to a maximum of 2,080 hours in a calendar year to DBplus. General Motors of Canada will contribute 7% based on your eligible earnings (to a maximum of 2,080 hours in a calendar year), for a combined employee and employer contribution of 11%.
| Your Contributions | General Motors of Canada’s Contributions | Total Contributions |
|---|---|---|
| 4% | 7% | 11% |
Your DBplus pension is calculated using a formula, so you know what your annual pension from DBplus will be when you retire. The DBplus formula is made up of two parts:
1. Annual base pension
The pension formula adds your total DBplus contributions plus the DBplus contributions your employer makes on your behalf and multiplies them by a pension factor of 9.5% to get your base pension. The annual pension factor is subject to the CAAT Pension Plan Funding Policy.
2. Conditional Average Industrial Wage (AIW) enhancements
The AIW enhancement is applied to the total DBplus pension you accrued to the end of the previous year and is conditional on the funded status of the CAAT Pension Plan. It is cumulative, and any amount that has been granted is a permanent increase to your pension that will not be reduced.
The AIW rate represents wage inflation in Canada and is calculated by Statistics Canada. The rate is based on 100% of the year over year percentage increase in Canada's Average Industrial Wage index and measured July 1 to June 30.