Changes to Your Pension


Changes may occur to your pension depending on your situation. Any time there is a change, you will receive notification from TRAF.

Changing Your Plan Type or Integration

Once you receive your first pension payment you cannot change the plan or the integration option you selected at retirement.

Bridging Benefit

If an Early Retirement Penalty and bridging benefit were applied to your pension at retirement, the bridging benefit and related COLAs will stop at the earlier of age 65 or death, resulting in a decrease in your pension.

Integration

If, at retirement, you chose to integrate your TRAF pension with the Canada Pension Plan and/or Old Age Security, your TRAF pension will reduce at age 60 and/or 65 respectively.

Cost of Living Adjustment (COLA)

You are entitled to your first pro-rated COLA after you have received your pension for 13 months, and each July thereafter, based on the determined adjustment. There is no guarantee of a COLA.

Withholding Tax

Periodically, TRAF is required to adjust the amount of withholding tax based on changes in the provincial and federal tax credits.

Extended Health Insurance Premiums and other Group Insurance Premiums

Periodically, TRAF is required to adjust the monthly premiums on behalf of the related organizations. TRAF does not administer these benefits but simply deducts the required amount.

Death of the Member or Beneficiary/Partner

Depending on the plan type selected at retirement, your pension payment is affected when either the member or the beneficiary/partner passes away.

School Division Contract Settlements

TRAF contributions will be deducted from this retroactive amount if your school division had a salary settlement covering a period of employment prior to your retirement.

Your pension will be recalculated using the increased salary and will be paid retroactive to the effective date of your pension.

Depending when the information is sent to TRAF, it could take several months to adjust your pension amount.

Marriage/Common-Law Breakdown

If you and your partner break up permanently, your former partner is entitled to half the monthly pension earned from the date of marriage or common-law relationship to the date of separation. The monthly payment, including adjustments such as for a plan type, integration and cost of living, is split between you and your former partner.