QUESTION: Can I average Canadian YMPE (Yearly Maximum Pensionable Earnings) using methods similar to those available for final average salary? That is, including current year, excluding current year, and trapezoidal (1/2, 1, 1, … , 1, 1/2)? 

ANSWER: Yes. The following expressions can be used in an accrual basis formula to get the desired average YMPE. These examples assume an averaging period of 10 years, but work equally well for any averaging period.

1. Including current year

#avgympe 10

2. Excluding current year

[(#avgympe 11)*11 - #ympe]/10

3. Trapezoidal (i.e., average of the two above)

A:=#avgympe 10 &

B:=[(#avgympe 11)*11 - #ympe]/10 &

(A+B)/2