Hide correct resp responses Question:pcl-3-1 William works for Allied Transport in Alberta and is paid 3,569.33 semi-monthly. He celebrated his 70^th birthday in June 2024. Calculate William's annual maximum first Canada Pension Plan contribution for 2024. 1 Correct answers:

To calculate William's **annual maximum first Canada Pension Plan (CPP) contribution** for 2024, we need to follow these steps:---### Step 1: Understand the CPP Contribution Rules1. **CPP Contributions Stop at Age 70**: - Since William turns 70 in June 2024, he will stop contributing to CPP after his birthday month. - This means he will contribute to CPP only from January to June 2024 (6 months).2. **CPP Contribution Rate for 2024**: - The CPP contribution rate for employees in 2024 is **5.95%**.3. **Year's Maximum Pensionable Earnings (YMPE)**: - For 2024, the YMPE is **\ 3,500** annually.5. **Maximum Contributory Earnings**: - The maximum contributory earnings are calculated as: Substituting the values: 6. **Maximum Annual CPP Contribution**: - The maximum annual CPP contribution for an employee is: Substituting the values: ---### Step 2: Adjust for William's SituationSince William stops contributing to CPP after June 2024, he will contribute for **6 months out of 12 months**. Therefore, his contribution will be prorated as follows: ---### Final Answer:William's **annual maximum first CPP contribution for 2024** is **\$1,877.73**.