Under proposed amendments to The Civil Service Superannuation Act, Old Age Security (OAS) Integration would not be available for a retirement date after 2015, and new application deadlines would apply for forms submitted after 2015.
These changes were introduced in the legislature on May 27, but had not been passed when the House recessed in June. The House is not scheduled to reconvene until October 20th. Whether the changes will be passed, or when, is up to the legislature and we have no indication if or when that might happen.
Integration with OAS is an option which lets a member get a higher pension from the Superannuation plan until age 65, but less after age 65.
The Federal Government changed OAS to gradually increase the eligibility age from 65 to 67. The Income Tax Act has not been changed to allow pension plans to reflect this. OAS integration was intended to level income through retirement, which can no longer be done for anyone who was born after March 1958.
Old Age Security integration is therefore not expected to be available for a retirement date after 2015. If this change is passed, an election of OAS integration would be invalid for a retirement date after 2015.
This change would not impact pensions for retirement dates prior to January 1, 2016.
Integration with the Canada Pension Plan will continue to be offered.
Pension Application Deadlines
Under proposed changes to the Civil Service Superannuation Act, retiring members would be required to submit a NOTICE OF RETIREMENT and any pension option forms prior to their retirement date. (A NOTICE OF RETIREMENT is not required for a disability pension or where an employee works past November 30th of the year he or she turns age 71.)
No pension would be payable for a period prior to the date the Board receives a member’s NOTICE OF RETIREMENT. If valid pension option forms and waiver forms (if applicable) are not submitted by the date of retirement, default options would apply.
Currently, some limited extensions to these deadlines are available in certain circumstances. It is anticipated that these extension would no longer apply after 2015.
We strongly recommend that retiring members with internet access use the “Complete Online Retirement Forms” through the Board’s Online Services to help avoid possible problems.
Additional information on monthly pension options and deadlines is provided with pension estimates, available through the CSSB Online Services or by request.