Transferring Pension from a Previous Employer
Recognizing that planning for retirement is an important part of employee wellbeing, Ryerson HR offers new pension plan members the possibility to transfer pension benefits from a previous employer into the Ryerson Retirement Pension Plan (RRPP) through a Commuted Value Transfer Process.
What is a 'commuted value transfer'?
A commuted value (CV) transfer is the process of transferring the CV of an eligible member’s pension benefit in a former employer’s pension plan to to the Ryerson Retirement Pension Plan (RRPP). This establishes additional pension service credit within the RRPP on behalf of the eligible member.
Who is eligible for the CV transfer process?
Under the CV transfer process, eligible plan members with pension benefits in a Canadian registered pension plan have the opportunity to transfer their pension benefits into the Ryerson plan.
What does this mean for new plan members?
If you are a new plan member, with a start date on or after July 1, 2013 and have not been a member of the RRPP for longer than six months, the following outlines the eligibility criteria for exploring the CV Transfer option:
- You will need to be a member of the Ryerson Retirement Pension Plan (RRPP). If you are a TERM employee, you will need to become a member of the RRPP at the earliest opportunity that you are eligible to do so, based on the date specified in your contract. If you decide not to join the RRPP at the earliest time available to you, the opportunity to transfer a former benefit into the RRPP will not be available.
- The existing pension benefit needs to still be with your former Canadian registered pension plan. For example, it can't have been transferred out to an RRSP or LIRA or cashed in.
- The existing pension benefit holder (for example, your former employer) needs to be willing to transfer the benefit to Ryerson.
- You will need to submit the specified form "Application for a Commuted Value Transfer" to Ryerson within six months of becoming a member of the RRPP.
How much of my existing pension benefit can I transfer?
Ryerson will permit the transfer of only the full commuted value of the benefit from the former plan, up to the maximum benefit that may be provided under the RRPP.
Additional monies will not be permitted to be transferred into the plan, such as amounts transferred from an RRSP, nor amounts to purchase additional service under the RRPP.
Service that is purchased using a CV transfer is not applicable to the Total Earning Supplemental Plan (TESP).
For more information about the TESP, see the Ryerson Pensions Plan Handbook.
When and how will the transfer show up on my pension statement?
Ryerson will adjust the member's pension records once a transfer is completed. The change will appear on the Annual Year-End Pension Statement relating to the year in which the transfer was completed. For example, any transfers completed in the calendar year 2014, would appear on the 2014 Year-End statement issued to members in June 2015.
This section provides detailed information on how to begin your CV Transfer Application. This step must be completed within six months of your enrolment in the RRPP.
This section describes the steps Ryerson will take to complete a transfer calculation to determine the amount that is available for transfer into the Ryerson Pension Plan.
This section provides members who received a returned CV Transfer Calculation step-by-step instructions on how to elect the CV Transfer. Please note that once a calculation is returned to an employee, the employee has 60 days to elect to transfer.
This section outlines the steps that will be taken by Ryerson if an employee elects to complete the Commuted Value Transfer.
Prior to completing any transfers, Ryerson will complete a calculation to confirm the RRSP room that was awarded to a plan member under a former pension plan does not change as a result of the benefit transfer to Ryerson. This section outlines the steps taken by Ryerson in the event that it does change.
Ryerson reserves the right as sponsor of the Ryerson Retirement Pension Plan to amend the plan from time to time either in accordance with applicable legislation, or when deemed warranted by the University.