Find answers to questions regarding the recent Program changes and managing employee accounts, information about stopping contribution file transmissions, and about updating your Employer Profile.

Program Changes

In Budget 2017, the Government of Canada announced its decision to end the sale of Canada Savings Bonds (CSBs) as of 1 November. This means that there will be no future sales campaigns in October and new enrollments are no longer available.

Employees who currently participate in the Program can continue to contribute to their Payroll Savings Plans until 31 October 2017. The funds (principal and interest) held in their Plans are safe, guaranteed and will be honoured, and bond series continue to earn interest until redemption or maturity, whichever comes first. We encourage you to communicate the announcement to your employees if you have not already done so using the Communications Material available to you.

All regular scheduled payroll contribution files continue to be sent to the Bank of Canada as per the normal procedure until this date. Refer to the Key Activities to undertake in 2017. For more information, refer to the Questions and Answers intended for Employers.

Stopping Contribution File Transmissions

Web Transmission Service

If you are a small organization with less than 250 employees, you can transmit employee contribution information using our secure Web Transmission service up until 31 October 2017 at 6 p.m. (ET). After this date, the Bank of Canada will remove the transmission functionality, the Payroll Resource Centre will no longer be available and contribution files will not be accepted.

Proprietary Payroll System

If your organization is large or medium-sized and you use the Proprietary Payroll System to transmit employee contribution information to the Bank of Canada, you will need to speak to your IT department to ensure that contribution files are no longer sent to the Bank of Canada after 31 October 2017 at 6 p.m. (ET).

Payroll Service Provider

If your organization uses this option, you must inform your Payroll Service Provider to stop all payroll deductions after your last pay cycle in October. Your Payroll Service Provider will no longer be able to send files to the Bank of Canada after 6 p.m. (ET) on 31 October 2017.

Account Activities

Changing or Stopping Contributions

The decision to change or stop employee contributions prior to 31 October 2017 will be at your organization’s discretion.

You must ensure that changes to your payroll system are made and that the payroll contribution file is sent to the Bank of Canada at each pay cycle up until 31 October 2017 at 6 p.m. (ET). Whenever an employee stops their contributions, it is important for you to remove the employee’s name and information from the payroll contribution file submitted to the Bank of Canada.

Contribution Changes and Multiple Accounts

Employees contributing to more than one Plan who wish to change their contribution amount to allow us to allocate the new amounts for each Plan, or to close one of their Plans to adjust their contribution to remaining Plans must contact Customer Service.

Redemptions

Payroll Plan owners can redeem their funds at any time on CSB Online Services. An employee’s contribution amount will be held for 15 days from the date that the Bank of Canada receives the contribution amount.

If Direct Deposit information is already on file, the money will be deposited into the employee’s bank account within four business days. Employees with a Single Plan can sign up for Direct Deposit or change banking information on CSB Online Services. For Joint or Third Party Plans, employees must complete the Change of Address and Direct Deposit Form (COADD).

Suspensions and Resumptions

If employees in your organization currently contribute to their Plan while on leave, their contributions will continue to be deducted from their pay until 31 October 2017.

If allowed by your organization, employees may suspend their contributions before 31 October 2017 by notifying you. There is no penalty or fee, and their Plan balance continues to earn interest even while contributions are suspended. Ensure that the change is reflected in your payroll system and remove the employee’s name and information from the payroll contribution file submitted to the Bank of Canada at each payroll cycle.

Resumption of contributions can take place before any payroll period before 31 October 2017, according to the frequency designated by your organization.

Departures

When participating employees leave your organization, it is important for you to ensure that the employee’s name and information are removed from the payroll contribution file submitted to the Bank of Canada.

Statements and T5s

For Payroll Plan owners with Single Plans and an online account, an email notice will be sent to the email address on record informing them that their electronic statements are available on CSB Online Services. For all others, statements will be mailed to the address on record.

The annual statement lists bonds held, interest earned, contribution amounts and redemptions for the year. If the accumulated annual interest is equal to $50 or more, a T5 slip will be issued for income tax purposes.

Employee Record Keeping

Employees can verify that the amount deducted from their pay has been credited to them by accessing their Plan online on CSB Online Services, or by checking their pay slips. Plan owners can also sign up for Direct Deposit, check plan activity, change their address or other account details by logging in to CSB Online Services.

Employer Profile Update

If there are any changes to your organization’s information (e.g., change in contact person) , you may log in to the Payroll Resource Centre to make the update. After 31 October 2017 at 6 p.m. (ET), you will no longer have access to the Payroll Resource Centre.

More Information

Confirm Receipt of Payroll Contribution File

You should receive confirmation of receipt of your payroll contribution file within 24 to 48 hours of transmission. If you have not received a confirmation, please contact Payroll Savings Program Customer Service.