Locked-in means that the funds have to be used for retirement income and typically cannot be accessed until you retire.
The earnings used to calculate the pension contributions.
A pension plan is a way for you and your employer to set aside money for your retirement. With a defined contribution plan, you and your employer contribute a set amount based on a percentage of your pensionable salary and when you retire you can convert that money into your retirement income. The amount that you receive depends on how much has been contributed and how well the investments have done.
Spouse means a person who is married to you. Common-law partner refers to:
Please contact us for additional spousal information.
Normally as an active member of the plan, you cannot stop contributing unless you are terminated or retired. There are other cases that may allow you to stop contributing. Please contact the Pension Plan administrator.
You cannot use your pension benefits as collateral for a loan.
In certain situations, you may receive your locked-in benefit as a lump sum cash payment. These situations are the following:
No. Your required employer and employee contributions made to the plan will remain in the plan until your employment terminates, you die, retire or the plan terminates.
If you have a benefit in the MSBA Pension Plan, you will receive a statement each year showing the activity of your account. You can also visit the MSBA website or contact us.
If a medical physician licensed to practice in the province where you reside certifies that your life expectancy is likely to be shortened to less than two years due to a terminal illness or disability, you may be eligible to receive your pension as a lump sum cash payment or the funds may be transferred to a registered retirement savings plan (RRSP). If you have a spouse/common-law partner, your spouse/common-law partner will need to waive their rights to any entitlement to the pension funds by completing a waiver as legislated.
If you are experiencing a marriage or relationship breakdown, your pension benefit may be affected. You may wish to contact a lawyer to discuss how your pension benefit may be affected. You should contact the Plan administrator to discuss additional paperwork that may be required to deal with your pension benefit as a result of a marriage or relationship breakdown.
If you are terminated, the value of the employer and employee contributions made into the Pension Plan is immediately vested (learn more about vesting here) and locked-in (learn more about what locked-in means here). Our team will provide you with options regarding your Pension Plan account balance.
If you are unable to work due to illness or accident and the absence extends more than 80 consecutive working days, your Participating Employer will credit your pension account as if you were still contributing to the Plan for up to a maximum of 24 months (lifetime maximum).
Starting on the latter of the 81st working day or the last day of contributions made by you, contributions will be remitted to your pension account as if you were working during this period of absence. The amount credited to your account will be based on the earning level on the date your absence commenced. Contact us for more information.
You may continue working for as long as it suits both you and your employer. However, under the Income Tax Act (Canada), pension payments must start no later than the end of the calendar year in which you turn 71, regardless of whether you continue working or not.
Once a member retires/ terminates, an option package is provided. It consists information on what the member can do with their pension monies and the supporting documents required to facilitate their selection.
If you are single, you can name anyone as your beneficiary. If you have a spouse/common-law partner who has not signed the spousal waiver form, then your spouse/common-law partner must be your beneficiary.
