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Payment options for buying service

OMERS offers several payment options for buying service; your options will be listed on your election form. You can:

  • Pay the full cost in one lump sum; or
  • Arrange to pay using OMERS monthly payment plan; or
  • Pay using a combination of a lump sum for a portion of the service and the monthly payment plan for the balance.

Pay the full cost in one lump sum

Type of lump-sum payment

Personal cheque payable to OMERS

OMERS will issue a tax receipt for the payment received.

Transfer from an RRSP or locked-in retirement account (LIRA)

Complete a form T2033 Direct Transfer according to the instructions on the form.

Transfer from another registered pension plan (RPP)

Contact the other pension plan to arrange for the transfer of funds to OMERS.

Transfer from a retiring allowance

Discuss the transfer to OMERS with your employer; OMERS will issue a tax receipt for the payment received.

Note: Transfers can take up to six weeks (or longer). Be sure to allow enough time to complete the process before the purchase deadline.

OMERS monthly payment plan

Monthly payments can make it easier to manage the cost of buying back service. Payments are made over 12, 24, or 36 months through pre-authorized debit withdrawals from your bank account. The service is credited as your monthly payments are received.

  • OMERS applies an annual interest rate and an administration fee (both fully tax-deductible) to ensure the cost to purchase the service is covered by the member, and not subsidized by the plan.
  • If you have to stop payments during the payment period, or if there is still service remaining at the end of the period, OMERS can recalculate the cost and set up a new monthly payment schedule for you.

CRA service purchase payment restrictions

CRA has some restrictions on how you can pay for buying service.

Type of service

When the service occurred

How you can pay

Previously refunded OMERS service (commuted value refund)

OMERS service after 1991

Cash or RRSP transfer.

OMERS service before 1992

Transfer funds from personal RRSPs.

Service with another public or private sector employer

Service after 1991 with a public or private sector employer

Cash, RRSP transfer, or registered pension plan transfer.

Service prior to 1992 with a public sector employer only

Direct transfer of pension benefits from the other plan to OMERS. If the service was refunded, you can’t buy it back.