Human Resources Services
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University of Windsor
Human Resources Services
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Section 9 - Normal And Optional Forms Of Pension - Normal And Optional Forms Of Pension- Normal And Optional Forms Of Pension
9.01 Pension Calculations According To Normal Form
The amount of pension provided under Section 7.01 or 7.04 is calculated according to the normal form of pension for the Member and is payable in that normal form of pension unless the Member elects an optional form of pension.
9.02 Normal Form Of Pension
The normal form of pension under the Plan is one which commences on the Member’s retirement date and is payable in monthly instalments during his/her remaining lifetime. If the Member should die within sixty months of retirement, the balance of the sixty monthly payments will continue to the Beneficiary.
9.03 Optional Form Of Pension
In lieu of the normal form of pension payable under the Plan in accordance with Section 9.02, and subject to the restriction under Section 9.04(2), a Member may elect prior to retirement to receive his/her pension in one of the optional forms of pension specified below. Such election can be made by the Member, filing with the University prior to his/her retirement date, on forms provided by the University for that purpose.
For the Member electing an optional form, the calculation of the pension benefit at retirement pursuant to Section 7 shall be the Actuarial Equivalent of
the pension based on the normal form. The adjustments to the pension benefit for each year after retirement shall be on the same basis as described in Section 7.02 and 7.03. The optional forms are:
(1) Life Guaranteed 5, 10 or 15 Years
Under the Life Guaranteed 5, 10 or 15 Years form of pension, the Member receives a pension payable for life in equal monthly instalments, with the guarantee that, if the Member dies before receiving 60, 120 or 180 months of guaranteed payments, the pension will continue to be paid to the Member’s Beneficiary until the remainder of the 60, 120 or 180 payments has been paid.
(2) Single Life Pension
Under the Single Life form of pension, the Member receives a pension payable in equal monthly instalments for his/her lifetime, with the last payment being the payment for the month in which the Member’s death occurs.
(3) Joint & Survivor Pension
(a) Under this option, a Member will receive a pension which will be payable in equal monthly instalments during the Member’s lifetime, with 100%, 75% or 60% of the pension being continued after his/her death to a joint annuitant designated in writing by the Member. The Member may only designate as a joint annuitant his/her Spouse or former Spouse.
(b) Benefit payments under this option shall terminate with the payment for the month in which the death of the Member occurs, or if the designated joint annuitant outlives the Member, 100%, 75% or 60% of the pension, as applicable, will be paid to the joint annuitant for the joint annuitant’s lifetime ending with the payment for the month in which the joint annuitant’s death occurs.
(c) If the designated joint annuitant dies before the Member’s pension commences, the election of this option shall be void, and the Member’s retirement benefit shall be payable as if such election had not been made.
9.04 Member With A Spouse
(1) Notwithstanding the provisions of Section 9.01, 9.02 and 9.03, a Member who retires and who has a Spouse shall receive a Joint and Survivorship pension which is the Actuarial Equivalent of the normal pension, payable during the Member’s lifetime and continuing after the Member’s death to the Member’s Spouse for her/his life in monthly instalments equal to 60% of the amount of each monthly instalment paid during the life of the Member.
(2) A Member who has a Spouse may elect to waive the Joint and Survivorship pension by completing the required election form and waiver. To be effective, a waiver of the Joint and Survivorship Pension shall be delivered to the Retirement Committee, within the 12 month period immediately preceding the date of the Member’s retirement date, and be written in the form prescribed under the Pension Benefits Act.
9.05 Cancellation Or Change Of Option
An election of an optional form under Section 9.03 above shall be cancelled only:
(1) if either the Member or his/her Spouse (under a joint and survivorship option) dies prior to the commencement of the Member’s retirement income; or
(2) if written notice of cancellation is received by the Retirement Committee from the Member at least three months prior to the date on which his/her retirement income is due to commence.
In such event, the normal form of payment under Section 9.02 above shall apply unless the Member makes another election of an optional form pursuant to Section 9.03 above.