Life happens! For example, there may be times when you need to take a leave from your work, to care for a new baby, travel, or go back to school. Taking this time off from work can create gaps in your pensionable service, impacting your future pension benefit at retirement. You may be eligible to contribute to your plan to make up for these gaps – this is known as a purchase of service.
Purchasing service increases your pensionable service and, in turn, increases your pension benefit at retirement – it could even allow you to retire sooner! Other events in your life may also allow for you to purchase service, such as having previously refunded service from certain pension plans, prior service when you weren’t contributing, or portions of long-term disability, for example.
It’s important to note that certain purchases of service are time-sensitive, and either have a deadline or increase in cost as your age and salary increases. If you think you may qualify for a purchase of service, we suggest you begin considering your options as soon as possible.
Find out more by accessing the information below.
Not sure which is your pension plan? Click here to access questions that will guide you in choosing your plan.