General Suspension of Benefit Reminders

Once the threshold has been reached, the pension payable in any following month in which there is employment will be suspended.  The rehired pensioner re-enters the CSI Pension Plan as soon as the pension is suspended.  Upon re-entry the rehired pensioner starts to accrue a new pension, with contributions remitted by both the employer and the rehired pensioner. 

There’s no limit on the number of years in which there can be employment following retirement.  However, no suspension of pension can occur on or after December 1 of the calendar year in which a rehired pensioner turns 71.

The suspended pension resumes without any adjustments, except for the 1% indexation increase effective September 1 each year.  The pension earned during the period of suspension can commence based on new service, FAE and early retirement reductions applicable at commencement; the new pension will be paid in the same form as the existing pension.

A rehired pensioner will be responsible for keeping track of hours and earnings in a plan year, and for advising the CSI Pension Plan if the threshold has been reached.  Schools rehiring pensioners will also be required to provide service and earning information to the CSI Pension Plan.

Full Issue: No. 178 - July 19, 2011

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