After you've taught two years, you qualify for a future pension. Instead of taking a future pension, you can:

• transfer your credit to another pension plan with which we have a transfer agreement
• transfer the commuted value of your pension to another retirement savings arrangement, the month before you turn age 50

Contributions made before 1987 may not be locked in. In addition, if your contributions after 1986, plus interest, exceed more than half of the value of your pension earned after 1986, you will receive a refund of the excess.

Teachers' pension
Unreduced pension
You can start an unreduced pension when you reach your 85 factor (age + qualifying years = 85.) Otherwise you're eligible for the unreduced pension at age 65.

Reduced pension
You become eligible for a reduced pension at age 50.

If you begin collecting your pension the month after you cease to be employed, your pension is reduced by 2.5% for each point you are away from your 85 factor (or 5% per year from age 65, whichever is less).

If you do not begin collecting your pension immediately after you cease to be employed, the reduction is greater. Deferred pensions are reduced by 5% for each point you are away from the 85 factor (or 5% per year from age 65, whichever is less).

Commuted value transfer
Once your pension is vested, you can transfer its commuted value (CV) to a locked-in retirement account (LIRA) to provide you with a life annuity or life income fund (LIF) starting no earlier than age 50.

You must terminate employment and request a transfer before you're eligible for an immediate pension:

• before you reach your 85 factor (age + qualifying years = 85)
• the month before you turn 50, or
• before you're approved for a disability pension.

Transfer to another pension plan
We have transfer agreements with other major public sector plans in Ontario and with teachers' plans in other provinces. If you become employed by one of them, you can transfer your credit into your new employer's plan and expect similar benefits upon retirement as you would if you had remained teaching.

If you move to an organization that doesn't have an agreement with us, you may be able to transfer the commuted value to your new plan and apply it towards a purchase of credit.