Fact 3: Occasional teaching can sometimes lower your pension
If you're close to retirement and teaching on a part-time contract, supplementing your income with an occasional teaching assignment may reduce your pension. In some instances, this can result in hundreds of dollars less in pension per year.
The rate of pay for occasional teaching can be significantly less than the rate for part-time contract work. Both rates are used when determining your annual rate during a school year in which you work both occasionally and on contract. This blending of your rate of pay could lower your average best-five years' salary, which would result in a smaller pension.
If you're nearing retirement, contact us before accepting any occasional teaching job to see how it could affect your pension.