- Planning to Retire
- Obtaining Pension Estimates
- Staying Connected After Retirement
It is never too late, or too early, to start planning for your retirement from U of T. The University offers a variety of information and services for those for whom retirement is years away or just around the corner. The goal is to enable employees and retirees to make informed choices when planning for your life after retirement.
A copy of your pension brochure, outlining all of your retirement provisions can be found online here.
If you are within ten years of NRD, we send invitations to an information session on retirement options. These sessions are usually offered in the spring every few years to provide information on the following provisions:
- Phased retirement (PM 6-9);
- Postponed retirement;
- Early retirement 60/80 (60+15 for PM 6-9) provision; and,
- Leaves of absence and pension
Representatives from Human Resources will be on-hand to provide you with information and respond to your questions.
Other retirement related and financial planning seminars are held throughout the year. Details are available on the ODLC website.
Please review the following information on Employee Self Service for greater accuracy on the retirement package:
- mailing address;
- telephone number;
- marital status; and,
- spouse’s name and date of birth
Contact your Divisional HR Office to make any required updates Note: If you have a spouse on file, he or she will automatically become your beneficiary and will receive a spousal pension package.
You should also review your personal and pension details sent in your most recent Annual Pension Statement found on ESS.
The University would like at least three to four months’ notice of your intent to retire.
Notice must be provided to your supervisor/department head in writing and, once accepted, is irrevocable. Note that retirement normally occurs at the end of the month. If insufficient notice is received, or pension option documents are not returned in a timely fashion, your first pension payment might be late, even though retroactive to your retirement date.
You cannot retire and draw your pension and also receive a salary from the University at the same time. Note that under the Income Tax Act, you are required to start your pension on the December 1 of the calendar year in which you turn age 71 – even if you continue to be employed by the University and receive a salary. In that case, you would not continue contributing to the Pension Plan.
To assist members of the Professionals/Managers and Confidential staff with their retirement planning, the University has agreed to provide members with a unique opportunity. The University of Toronto will provide members with up to three (3) hours of independent financial counselling related to retirement planning, during your career at the University at no cost to you.
These services are available from your choice of one of the following providers that have been selected by the University. Each of these providers is familiar with the University of Toronto, our Pension Plan, and retirement options available, which will help ensure you get the most assistance from your available three (3) hours.
- T.E. Financial Consultants Ltd.
- William D. Jack – Independent Advisor on Finances, Lifestyle and Aging
Phased Retirement program would enable PM Levels 6 to 9 with at least 15 years of service a reduced workload during the year preceding an unreduced early, normal or postponed retirement. The specific provisions are as follows:
- Employees are eligible from one year prior to the date they become eligible to take an unreduced early retirement (i.e., age 59) until one year prior to the date on which they would be required to begin receiving their pension (i.e.. age 71).
- Participation in the program will require department head approval.
- Employee may reduce workload to a minimum of .5 FTE with a corresponding reduction in salary. It is anticipated that the maximum will be .75 FTE.
- Pension will continue to accrue at full-time service with employee contributions based on part-time salary.
LTD and Group Life would be based on actual salary paid. After the Normal Retirement Date (which remains in the Pension Plan as June 30 following or coincident with 65th birthday) LTD and Optional Group Life coverage ceases. Basic life insurance continues to the earlier of actual retirement date OR the date at which the member is required to start receiving their pension, which is December in the year the participant turns 71.
At the end of the Phased Retirement period the employee would receive a retiring allowance equivalent to 3 months of full time salary. This would normally be paid 50% from a central fund and 50% by the department.
To receive your first pension payment on time, normally the first of the month following your retirement date, the University of Toronto Pension Services must receive your completed forms at least 30 days prior to your retirement date.
Please use the return envelope provided. Completed forms should be submitted directly to the University of Toronto Pension Services at:
University of Toronto Pension Services
Box 7650, Station B
Toronto, Ontario M2K 3B5
As a retiree in receipt of an immediate monthly pension if you have at least 10 years of service and hired after July 1, 2015 as an appointed employee, you can participate in the retiree health & dental plans the month following your retirement. Retiree benefits are similar to, but not the same as, the benefits available to you prior to your retirement. For example, you do not have vision care in retirement, and the paramedical services are reduced. Further details are available in the Green Shield Pensioner’s benefit booklet you will receive with your retirement package. The monthly premium you pay for these retiree benefits will reflect these small differences in coverage. For questions on eligibility please contact Central Pension at 416.978.6260.
Should you reject any or all of the Green Shield coverage’s at the time of retirement, there is one enrollment date each year on July 1. University of Toronto Pension Services must be notified in writing by May 31 of the year in which you wish to be enrolled for coverage effective July 1.
When you retire, you may receive a pension from the Canada Pension Plan. You may also qualify for an Old Age Security benefit. This income is in addition to the income you receive from the University Pension Plan. Under current income tax rules, Old Age Security benefits start to be “clawed back” if a retiree’s net income exceeds ~$78,000.
The Canada Pension Plan normally provides a pension at age 65, but could start as early as age 60 (with reduction) or as late as age 70. The pension payable is dependent upon your length of participation and your salary/wages during the years you were a member of the Canada Pension Plan. Old Age Security may provide you with an additional retirement income at age 65, based upon residency in Canada prior to age 65, and your level of income after age 65. Please remember that a spouse or partner who is not employed may also be eligible to apply for OAS.
Your CPP and OAS benefits do not begin automatically. It is best to apply for these programs six months before you expect to start receiving benefits. To learn more about your entitlement to CPP and OAS and how to apply for these benefits contact Service Canada at 1-800-277-9914 or go to http://www.servicecanada.gc.ca/.
You can obtain a pension estimate by:
- Calling University of Toronto Pension Services at 1.888.852.2559 between 8:30 a.m. and 5 p.m., Monday to Friday;
- Accessing the Your Benefits Resource website.
You will need a PIN to be able to request an estimate or run an estimate on the website. If you don’t already have a PIN, you can request one by calling the University of Toronto Pension Services (UTPS) or through the website. Please note that it will take 5 to 7 days to receive your PIN in the mail.
The unreduced early retirement provision for retirement after attaining age 60 and the completion of 20 years of continuous service or a combination of over age 60 and age plus service greater than 80, and attaining age 60 and 15 years of pensionable service for PM 6-9. Once you reach your Normal Retirement Date (June 30 coincident with or next following the date the Member attains age 65), you will no longer have the option to take the commuted value out of the plan at termination. As announced in HR #51, the University of Toronto implemented an Early Retirement Bridge Benefit outside of the Pension Plan for retirements after January 1, 2016 up to and including December 31, 2016. This benefit is available to members who retire with an Unreduced Early Retirement Pension (PDF) under the early retirement provision of the Plan.
If you are planning to continue in employment past your Normal Retirement Date (NRD- June 30 coincident with or next following the date the Member attains age 65), you can request/ run a pension estimate for retirement following your NRD. Under the Income Tax Act, your pension must start no later than the December 1st of the year in which you turn age 71, even if you retire from the University after that date. You are responsible for ensuring that you do not enter a date beyond this required pension start date (on the website, you would enter “your last date of employment” as the November 30th of the year in which you turn age 71 and for the “date you begin receiving benefits”, you would enter the December 1st date.
For PM 6-9 there is no specific pension estimate for phased retirement. From a pension perspective, you earn full pension accrual during the phased retirement period, Therefore, if you want to estimate your pension at the end of the phased retirement period, you should request/run a pension estimate under the new unreduced early retirement provision as of the retirement date at the end of your phased retirement period.
If you have any questions regarding your pension estimates, please contact the UTPS at 1.888.852.2559.
Retirement doesn’t mean that your relationship with U of T has to end as there are a number of ways to stay connected to life on campus, such as the: Bulletin, U of T magazine, library and the Joint Membership Plan (PDF, 33 kB).