If you leave your OMERS employer, you have several pension options available to you. Here, we explain what they are and the benefits of each.
When you leave your employer, you will receive a Your OMERS Pension Options package from OMERS.
Your OMERS pension is an important asset in your financial, retirement and estate planning. Review your options carefully. For specific financial advice, we recommend consulting an independent financial advisor.
Return the options form to OMERS as soon as you have made your decision about what to do with your pension.
If you need more information about your options or about Your OMERS Pension Options package please do not hesitate to contact OMERS Client Services.
An OMERS pension offers a number of portability and early retirement options. Depending on your situation, you may be able to:
If you keep your pension with OMERS (as a deferred pension) you are guaranteed a stream of retirement income for life. This is the pension you earned as an OMERS member.
If you choose to have a deferred pension with OMERS, be sure to keep your OMERS record up to date. You will continue to receive Member News and an annual Pension Report. If you have a new address or beneficiary information:
You may be able to transfer some or all of your OMERS credited service to your new employer's pension plan, if the plan accepts transfers, and if OMERS has a transfer agreement with the plan. This is the current list of plan transfer agreements.
You can transfer the commuted value of your OMERS pension as long as you have not reached your early birthday.
Your early retirement birthday is:
On/after your early retirement birthday, the CV option is not available. If you have this option, the amount and deadline will be in Your OMERS Pension Options package.
Important! If you transfer your commuted value out of OMERS, you end your OMERS membership and forfeit your rights to an OMERS pension and any other OMERS benefit. You become responsible for managing this money, including any investment risk and costs. You cannot reverse your decision.
What is a commuted value?
A commuted value is the “present-day” dollar value of your future pension. It is an actuarial estimate of the amount of money that must be put aside today to grow with investment earnings to provide for your future pension (including survivor benefits and inflation).
Elect a cash refund of the commuted value of your pension if your pension is less than 4% of $55,300*
You can take a cash refund of the commuted value of your benefit if the annual pension you have earned is less than 4% of $55,300*. You may also make a tax-deferred transfer of the cash refund to your RRSP.
*Year’s maximum pensionable earnings (YMPE) in the year you leave your OMERS employer – YMPE for 2017 = $55,300.