What Counts

Upcoming re-employment changes may affect the number of days you can work after retirement. Find out what's changing in 2012.

For pension plan purposes, your work after retirement is subject to re-employment rules if you:

  • work in any capacity for
    • a school board in Ontario;
    • a designated private school;
    • a designated organization;
    • the Ministry of Education*; or
    • the Toronto and Region Conservation Authority.

  • work as a teacher (includes, but is not limited to, tutor, guidance counsellor, librarian, vice-principal, principal or other supervisory officer positions)
    • under an authorized exchange program; or
    • for an Ontario government ministry.

  • work as a volunteer and you are entitled to compensation (including gifts or honorariums) for the position or activity (applies even if you don't accept payment to which you are entitled).

* If you work, or have worked, in a non-teaching capacity for the Ministry of Education, contact us to determine how re-employment rules affect you.


Counting days
Count all work days, including paid non-working days, such as professional development days and sick days. Statutory holidays should also be included if you are re-employed as a 12-month employee.

 

Do not count days you worked before you retired. For example, if you retire and return to work in the same school year, the days you worked before you retired do not count toward the limit.

 

Contract employees
If you are hired on a part-time basis, days count in direct proportion to your contract percentage. For example, if you are on a 33% contract and work one-third of a day, three days would count as one day of re-employment.

 

Hourly and task-based employees
If you are paid by the hour, or hired for a specific task, check with your employer to determine what constitutes a working day for someone in that position. With that information, you will be able to accurately count the days you work.

 

We recognize a day to be anywhere from 5.5 to 9 hours of work. For example, if your employer reports your normal working day as 4 hours and you work 110 hours, you will accumulate the equivalent of 20 days toward the limit, as follows: 110 hours ÷ 5.5 hours per day (minimum) = 20 days.

 

Even though you worked only 4 hours a day, we recognize a day to be a minimum of 5.5 hours. If you worked 10 hours in a day, we recognize only 9 hours.


Returning to work immediately
If you plan on working, your "arrangement" to return to work directly or indirectly for a participating employer has to be made after the later of the date we receive your pension application or the date of your resignation.

 

A resignation is considered valid only if:

  • your employer confirms acceptance of your resignation without condition;
  • no arrangement has been made to return to work directly or indirectly for a participating employer; and
  • you have either received or arrangements have been made to pay any applicable gratuity.

 

Working for more than a year
You can choose to have your pension recalculated to include the additional credit you accumulate while re-employed only if you:

  • return to work, directly or indirectly for a participating employer, for the first time after Dec. 31, 2008;
  • notify us of your intention before you return to work; and
  • will work for the equivalent of a year or more.

You will become an active, contributing member of the plan while you are re-employed.

When you retire again, we will recalculate your pension with the additional credit, based on pension rules in effect at the time. While this will usually result in a higher pension, in rare circumstances it can lower benefits for you or your survivors. Before you decide to contribute immediately upon your return to work, contact us for information on the implications of your decision.

 

Disability pensions and re-employment
If you are receiving a disability pension and return to work, you must notify us. We will stop your disability pension.

Not hired by a school? Check out what counts if you are self-employed or hired through a third party. If you're still not sure, contact us.
Posted August 2010