Public Service Pension Plan Transfer Agreements

Please note that this is a long process due to actuarial calculations. This may take about a year or more, from the date your application was received for a forward-looking statement to the date the average is transferred from one plan to another. The actuarial calculations are based on the date your estimate request was received (step 1 above). With pension transfer contracts, you can add an eligible advance service to increase your pension. The period during which you contribute to the pension plan is called the current service. The contributions you make for your current benefit are tax deductible. For more information on the annual contribution rate for occupational pensions, see contribution rates. You can buy back the service at any time as long as you are employed in the public service and contribute to public service pension insurance. Costs and other requirements may vary depending on when you make the choice. In the event of a normal or late election, any election that is not submitted within the prescribed time frame is invalid. If you choose to buy back the service, you must contribute to this in addition to your regular contributions to the current service.

It is assumed that you received a certain salary during each year of service you wish to redeem, and a contribution rate is set for each of those years. If you buy back the service within one year of becoming a member of the public service pension plan, that is called the normal choice. To do this, you can read the service purchase package, complete a special voting form and send it to the address listed on the form before the required time expires. The election is sent to the retirement centre for verification. If necessary, measures are taken to implement wage deductions. Under the income tax provisions of the Registered Pension Plan Act, the public pension plan limits the amount of the seniority pension, with the exception of unpaid sick leave, to a maximum career amount of five years. The government will follow all non-salary leave that you accept on January 1, 1996 to ensure that you do not exceed the five-year maximum. will still be subject to the terms of the retirement plan before 2013, when they return to the federal public service on or after January 1, 2013. Therefore, it should be noted that the pension credits acquired under the RCMP pension plan may not correspond to the pension credits of the former employer as a result of the transfer. If you have z.B. benefit credits that can qualify for a 10-year pension from your former employer, the value that is paid to your RCMP pension may be less than 10 years of pension-eligible benefit credits. This can happen when the benefit formula under your former employer`s pension plan was lower than the RCMP pension plan.

If you are a new employee in the public service and you must contribute to occupational retirement, the percentage of salary applied to pension contributions is determined by the applicable conditions of the pension plan: the terms of the plan for the period before 2013 or after 2013.