Our lawyers want you to know…
September 25, 2017
Several plan amendments were recently passed by the Ontario Teachers’ Federation and Ontario government. In addition to the 1.1% contribution rate decrease previously announced, a new early retirement reduction factor is also being introduced for members who don’t start their pensions immediately after they stop working.
If your last employment occurs on or after January 1, 2018, and you’re 50 or older at that time, the early retirement reduction for each point you’re away from your 85 factor decreases to 2.5% from 5%. Visit our website to see how we currently calculate reduced pensions.
The remaining amendments were primarily housekeeping items (i.e., language changes to bring plan in line with other provincial legislation, plan administration simplification).