Identify the incorrect statement with regard to the Canada Pension Plan (CPP).

Select one:

a.

The contributory period starts at age 18 and can be extended to age 70.

b.

The CPP retirement benefit is reduced by 0.6% for every month if taken before the age of 65 to a maximum reduction of 42%.

c.

The years basic exemption (YBE) is $3,500 and has remained at this level for several years.

d.

A drop-out provision covers 17% of the lowest earning months when calculating average pensionable earnings.