We host a Pension Fair every year in June where members can meet the Pension Board members and the Pension Administration Office staff. It is a great opportunity to learn more about the pension plan and ask questions about your benefits. If you missed this year’s Pension Fair, here are some of the most common questions asked by members:
- Why is the pension amount shown on my 2017 Annual Statement different than the amount shown on myPension?
Your annual statement is a snapshot of your pension information as of December 31, 2017. The pension amount shown on your annual statement is the pension that would be payable at age 65 if you had left UBC at December 31, 2017. It is based on your pensionable service and best average pensionable earnings as at December 31, 2017. As well, the pension is based on a single life form of pension.
myPension is a customized tool that allows you to view your estimated pension at different retirement dates. The pension shown on myPension is based on your best average pensionable earnings at the time you are using the tool. The tool projects your pensionable service to the retirement date that you have chosen. If you have a spouse, the pension shown reflects the pension payable to you and continuing to your spouse.
- Can I transfer money from my RRSP or another pension plan into the SPP?
No, there is no ability to transfer RRSP or other pension plan money into the SPP.
- Am I eligible for a lump sum option once I reach retirement age?
Most members will not be eligible for a lump sum option at retirement. Only those members who have a small pension, as defined by pension legislation, are required to take a lump sum benefit upon leaving the Plan, instead of receiving a monthly lifetime pension.
- Is my pension guaranteed?
Your pension, including indexing, will be paid providing there are sufficient funds in the Plan to pay full benefits. In the event there are insufficient funds in the Plan to pay full benefits, benefits will be reduced starting with future indexing.
- How is my pension affected if I move from full-time to part-time close to my retirement?
Your pension is calculated using your best average pensionable earnings and your years of pensionable service. When the best average pensionable earnings is calculated, it uses full-time equivalent earnings. That means if you earned $50,000 as a full-time employee, and you move to 50% part-time status and earn $25,000, your BAE will use $50,000 in the calculation. However, your years of pensionable service will reflect your part-time status. For example, if you work 50% for the last 3 full years before retirement, your pensionable service will reflect 1.5 years of pensionable service, rather than 3 years of pensionable service.
