Phased retirement and pension plans

Your pension plan is an asset for keeping expertise within your company.

You can offer your retirement-age workers or your retirees certain phased retirement measures, which let them draw benefits under a pension plan while continuing to work on a full-time or part-time basis. Depending on the situation, they can also accumulate new benefits under the plan and thereby increase their future retirement income. The measures and conditions vary according to plan type and your specific agreement with the worker.

Contact the plan administrator for information on plan conditions and how to amend them, if necessary.

If you offer a defined benefit plan

You can give eligible workers the option to:

If you offer a defined contribution plan

You can also give eligible workers the option to:

If you offer a simplified pension plan (SIPP)

Your employees age 55 or over can draw a retirement income by transferring part or all of the sums in their locked-in account. You do not have to reach an agreement with them for that purpose, and they do not have to reduce their work hours.

Note that...

In general, you only have to reach an agreement with the member or eligible retiree, who will then contact the plan administrator to take advantage of the measure they have chosen based on their situation and plan type. Most measures entail no additional cost for you.

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