Your January Pension
December 14, 2017
Here are four things to watch for on your January pension:
- The Retired Teachers of Ontario (RTO) membership fee deduction. If you’re an RTO member, the membership fee is around $60 (based on an annual pension of $48,000), and deducted once a year, in January.
- 2018 inflation adjustment. In 2018, all pensions will receive the full 1.6% increase, even on post-2009 credit.
- Adjustments to health insurance premiums. If you subscribe to a health insurance plan through the RTO (Johnson’s) or Ontario Teachers Insurance Plan (OTIP), premiums are often adjusted in December or January (premiums are deducted each month). Other than deducting premiums, we don’t administer your health insurance plan. If you have questions about your coverage or premiums, please contact your health insurance plan directly.
- Changes in your income tax deductions. The Canada Revenue Agency sets the income tax rates deducted from your pension. The rates used in 2018 can be adjusted right up until Dec. 31, 2017. You can increase the amount of tax deducted each month from your pension by signing in to your online account.
Did you turn 65 in December?
If yes, then your bridge benefit will end and your pension will be adjusted in January. Why? We provide a bridge benefit, which is intended to supplement your retirement income until age 65 when you’re eligible for an unreduced pension from the Canada Pension Plan (CPP). If you’ve told us you’re collecting a CPP disability pension, your pension has already been adjusted.