# CPP from annual payroll after opt out

**URL:** https://www.protaxcommunity.com/t/cpp-from-annual-payroll-after-opt-out/4274
**Category:** Tax Topics
**Created:** [March 4, 2021, 6:35pm UTC](https://www.protaxcommunity.com/t/cpp-from-annual-payroll-after-opt-out/4274 "2021-03-04T18:35:29Z")
**Posts on this page:** 3
**Page:** 1

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### Author: ![gaymwise](https://avatars.discourse-cdn.com/v4/letter/g/ac91a4/32.png) [@gaymwise](https://www.protaxcommunity.com/u/gaymwise)
#### Post date: [March 4, 2021, 6:35pm UTC](https://www.protaxcommunity.com/t/cpp-from-annual-payroll-after-opt-out/4274/1 "2021-03-04T18:35:29Z")

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I have a client who opted out of CPP on her 65th b’day in July 2020. She is an active shareholder in a Corporation. We paid her an annual salary on December 31, 2020. No CPP was deducted. Should we have averaged her earnings & calculated CPP?

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### Author: ![obhorst](https://avatars.discourse-cdn.com/v4/letter/o/a88e57/32.png) [@obhorst](https://www.protaxcommunity.com/u/obhorst)
#### Post date: [March 4, 2021, 6:49pm UTC](https://www.protaxcommunity.com/t/cpp-from-annual-payroll-after-opt-out/4274/2 "2021-03-04T18:49:03Z")

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If she properly opted out, there is no CPP calculation for a payment on December 31, 2020.

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### Author: ![hudson](https://avatars.discourse-cdn.com/v4/letter/h/7ea924/32.png) [@hudson](https://www.protaxcommunity.com/u/hudson)
#### Post date: [March 6, 2021, 1:39am UTC](https://www.protaxcommunity.com/t/cpp-from-annual-payroll-after-opt-out/4274/3 "2021-03-06T01:39:09Z")

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The form, CPT30, “Election to Stop Contributing to the Canada Pension Plan, or Revocation. . .” is completed and filed with Canada Revenue Agency. If this was done in July, 2020, great!