June 1, 2009
Policy Notice
Within the revised Foreign Service Directives effective April 1, 2009, a new methodology has been introduced for the determination of the Post Living Allowance (PLA).
In accordance with FSD 55.04, the PLA shall now be adjusted to reflect any change in the employee's gross annual salary, where such change results in movement to a higher salary band for the purpose of determining the employee's nominal salary and Post Index adjustment.
In addition, the Post Living Allowance will be adjusted annually on June 1st of each year to reflect the spendable income curve based on the inflation rate reported by the Consumer Price Index (CPI) for the previous calendar year ending December 31st.
This adjustment recognizes the change in cost of living between the years the income curve is updated by Statistics Canada. The Post Living Allowance will continue to be revised on a four-year cycle based on the repositioning of the income curve resulting from Statistics Canada's Survey of Household Spending (SHS).
The table below reflects the Appendix to FSD 55 - Post Living Allowance effective June 1, 2009.
Salary range |
Midpoint/ nominal salary |
Adjustment |
|
---|---|---|---|
24,450 |
25,449 |
24,950 |
0.898 |
25,450 |
26,449 |
25,950 |
0.874 |
26,450 |
27,449 |
26,950 |
0.851 |
27,450 |
28,449 |
27,950 |
0.830 |
28,450 |
29,449 |
28,950 |
0.811 |
29,450 |
30,449 |
29,950 |
0.793 |
30,450 |
31,449 |
30,950 |
0.776 |
31,450 |
32,449 |
31,950 |
0.760 |
32,450 |
33,449 |
32,950 |
0.745 |
33,450 |
34,449 |
33,950 |
0.731 |
34,450 |
35,449 |
34,950 |
0.718 |
35,450 |
36,449 |
35,950 |
0.705 |
36,450 |
37,449 |
36,950 |
0.693 |
37,450 |
38,449 |
37,950 |
0.682 |
38,450 |
39,449 |
38,950 |
0.671 |
39,450 |
40,449 |
39,950 |
0.661 |
40,450 |
41,449 |
40,950 |
0.652 |
41,450 |
42,449 |
41,950 |
0.643 |
42,450 |
43,449 |
42,950 |
0.634 |
43,450 |
44,449 |
43,950 |
0.626 |
44,450 |
45,449 |
44,950 |
0.618 |
45,450 |
46,449 |
45,950 |
0.610 |
46,450 |
47,449 |
46,950 |
0.603 |
47,450 |
48,449 |
47,950 |
0.596 |
48,450 |
49,449 |
48,950 |
0.589 |
49,450 |
50,449 |
49,950 |
0.583 |
50,450 |
51,449 |
50,950 |
0.576 |
51,450 |
52,449 |
51,950 |
0.570 |
52,450 |
53,449 |
52,950 |
0.565 |
53,450 |
54,449 |
53,950 |
0.559 |
54,450 |
55,449 |
54,950 |
0.554 |
55,450 |
56,449 |
55,950 |
0.549 |
56,450 |
57,449 |
56,950 |
0.544 |
57,450 |
58,449 |
57,950 |
0.539 |
58,450 |
59,449 |
58,950 |
0.535 |
59,450 |
60,449 |
59,950 |
0.530 |
60,450 |
61,449 |
60,950 |
0.526 |
61,450 |
62,449 |
61,950 |
0.522 |
62,450 |
63,449 |
62,950 |
0.518 |
63,450 |
64,449 |
63,950 |
0.514 |
64,450 |
65,449 |
64,950 |
0.510 |
65,450 |
66,449 |
65,950 |
0.506 |
66,450 |
67,449 |
66,950 |
0.503 |
67,450 |
68,449 |
67,950 |
0.499 |
68,450 |
69,449 |
68,950 |
0.496 |
69,450 |
70,449 |
69,950 |
0.493 |
70,450 |
71,449 |
70,950 |
0.489 |
71,450 |
72,449 |
71,950 |
0.486 |
72,450 |
73,449 |
72,950 |
0.483 |
73,450 |
74,449 |
73,950 |
0.480 |
74,450 |
75,449 |
74,950 |
0.478 |
75,450 |
76,449 |
75,950 |
0.475 |
76,450 |
77,449 |
76,950 |
0.472 |
77,450 |
78,449 |
77,950 |
0.470 |
78,450 |
79,449 |
78,950 |
0.467 |
79,450 |
80,449 |
79,950 |
0.465 |
80,450 |
81,449 |
80,950 |
0.462 |
81,450 |
82,449 |
81,950 |
0.460 |
82,450 |
83,449 |
82,950 |
0.457 |
83,450 |
84,449 |
83,950 |
0.455 |
84,450 |
85,449 |
84,950 |
0.453 |
85,450 |
86,449 |
85,950 |
0.451 |
86,450 |
87,449 |
86,950 |
0.449 |
87,450 |
88,449 |
87,950 |
0.447 |
88,450 |
89,449 |
88,950 |
0.445 |
89,450 |
90,449 |
89,950 |
0.443 |
90,450 |
91,449 |
90,950 |
0.441 |
91,450 |
92,449 |
91,950 |
0.439 |
92,450 |
93,449 |
92,950 |
0.437 |
93,450 |
94,449 |
93,950 |
0.435 |
94,450 |
95,449 |
94,950 |
0.433 |
95,450 |
96,449 |
95,950 |
0.432 |
96,450 |
97,449 |
96,950 |
0.430 |
97,450 |
98,449 |
97,950 |
0.428 |
98,450 |
99,449 |
98,950 |
0.427 |
99,450 |
99,999 |
99,725 |
0.426 |
100,000 |
100,000+ |
100,000 |
0.425 |
Formula for Calculating Allowances
1. Select the salary range in which your annual salary falls.
2. Take the Midpoint/Nominal salary and multiply by the adjoining adjustment.
3. Take the product and multiply by the Post Index, e.g. 130, then divide by 100.
4. Subtract the product of #2 from the result, and you will have your annual Post Living Allowance.
5. In accordance with the methodology agreed to in the National Joint Council Committee on Foreign Service Directives, the maximum midpoint/nominal salary is $100,000 for the purpose of determining Post Living Allowance.
Example 1
- A salary of $69,700 falls into the salary range of $69,450 to $70,449, of which the Mid-point/Nominal salary is $69,950.
- Multiply $69,950 by 0.493, which yields $34,485.
- Multiply $34,485 by a Post Index of 130, then divide by 100.
- The result is $44,831. Subtract $34,485 and the result is an annual Post Living Allowance of $10,346.
Example 2
- A salary of $120,350 falls into the salary range of $100,000 to $100,000 plus, of which the Mid-point/Nominal salary is $100,000.
- Multiply $100,000 by 0.425 which yields $42,500.
- Multiply $42,500 by a Post Index of 130, then divide by 100.
- The result is $55,250. Subtract $42,500 and the result is an annual Post Living Allowance of $12,750.
Enquiries
Requests for more information or clarification should be addressed to departmental designated officials.
Designated departmental officials may contact either:
Cynthia Nash
Senior Policy Analyst
Excluded Groups and Administrative Policies
Treasury Board of Canada, Secretariat
Telephone (613)946-3714
Fax (613)952-3002
Cynthia.Nash@tbs-sct.gc.ca
Kimberley Gowing
Policy Analyst
Excluded Groups and Administrative Policies
Treasury Board of Canada, Secretariat
Telephone (613)952-3256
Fax (613)952-3002
Kim.Gowing@tbs-sct.gc.ca