The ICPP Advantage
A better pension plan. Simple as that.
The best elements of pension plan design.
Discover the many features that help make the ICPP an ideal pension solution for our participating employers and our members.
Created By Experts
The ICPP was designed by Canadian pension experts. It is the product of extensive research and years of experience within the Canadian pension industry. The ICPP was created to directly address the shortcomings of modern workplace retirement arrangements, such as Defined Contribution pension plans and Group RRSPs. These plans often fail to secure the financial wellbeing of employees and are cumbersome and expensive for many employers. Our experts incorporated leading pension design concepts from around the world to create a pension plan that would be optimal for employees and employers and ensure more Canadians have access to reliable lifetime income.
Better Targets
Traditional retirement arrangements focus on building a lump sum of savings, without certainty that it will last through retirement. The ICPP takes a different approach. Instead of concentrating on account balances and investments, members save toward meaningful Benefit Targets that reflect their desired retirement lifestyle. Participating employers select a default Ideal Benefit that establishes a targeted level of lifetime retirement income for their employees. Members can select a higher lifetime retirement income target and then contribute more to increase their future income and better align their retirement outcomes with their personal goals. The ICPP provides regular updates showing members how they are progressing toward their targets, helping them stay informed and on track. Learn more about the ICPP’s flexible benefit targets.
Collective Governance
The ICPP is sponsored and administered by a not-for-profit Management Board comprised of Canadian pension experts who oversee plan governance, administration, and third-party suppliers. This governance structure effectively eliminates fiduciary risks for individual Participating Employers. It also ensures the ICPP is operated in the best interests of its members. Learn more about the ICPP Management Board.
Smarter Investing
The ICPP offers automatic low-fee investing of Member accounts. Contributions made to the ICPP are invested professionally and managed collectively. Appropriately designed investment strategies eliminate the need for individual members to determine their risk appetite and safeguards against potential sub-optimal returns. Learn more about how we invest.
Cooperative Design
The ICPP is a multi-employer, collective retirement program that integrates Registered Pension Plan (RPP), Registered Retirement Savings Plan (RRSP), Deferred Profit Sharing Plan (DPSP), Registered Retirement Income Fund (RRIF), Life Income Fund (LIF), and Tax-Free Savings Account (TFSA) designs into a single framework. By pooling investments and harmonizing administration, the ICPP reduces costs and risk for employers while helping members achieve stronger retirement outcomes, making a high-quality retirement solution accessible to small and mid-sized employers.
Flexible Contributions
The ICPP offers flexible contribution arrangements to align with a Participating Employer’s total compensation philosophy. We can accommodate any appropriate level of company required, company matching, employee required, employee optional, or employee discretionary contributions. Contributions are remitted at least monthly, allocated to each member’s account, and invested. Member accounts reflect all contributions received and investment earnings.
Professional Support
Members and Participating Employers can expect dedicated expert support every step of the way from our pension professionals. Members receive regular communications and timely ongoing assistance as needed, including during their retirement years. Employers enjoy an outsourced solution that eliminates the costs and administrative burden of managing a pension plan in-house. Learn more about how we support our Participating Employers and Members.
Payouts for a Lifetime
One of the primary downfalls of traditional Defined Contribution arrangements is the risk of spending too much, or too little of your retirement assets over your lifetime. The ICPP mitigates this risk with payout strategies designed to provide appropriate payments for a Member’s entire lifetime. Continued participation in the ICPP during retirement ensures members receive professional support and communication to appropriately manage longevity risks. Members are given ongoing expert advice on withdrawal levels designed to support a Member’s retirement and to ensure legislated minimums and maximums are respected.