UofS – Sept 30 2019 Active Member Webinar


Sylvia Golebiowski: Good afternoon. Thank you for joining us for the CAAT Pension
Plan webinar on and introduction to DBplus for the University of Saskatchewan. My name is Sylvia Golebiowski and I will be
the moderator for today’s webinar. I will now hand it over to Steve to start
today’s webinar. Steve Hyland: Thank you very much, Silvia. I also would like to welcome everyone to today’s
introduction to DBplus information session for the University of Saskatchewan. My name is Steve Hyland and I’m the lead of
growth education for the CAAT pension plan. I have been with CAAT just under six years
and a big part of my job in the CAAT pension plan is informing and educating both new employers and members who are coming in to the CAAT pension plan. Talk about how the plan works, the procedures,
the provisions specifically in terms of the DBplus Pension Plan design. So DBplus is a Pension Plan design under the
CAAT pension plan. We’re going to focus on this throughout today’s
webinar. So this webinar specifically for the employees
who work for the University of Saskatchewan and are under The University of Saskatchewan
and Federated Colleges nonacademic Pension Plan. As of December 1st, 2019, these employees
will cease contributions to their University of Saskatchewan nonacademic Pension Plan and
start to contribute to the CAAT Pension Plan. You’ll continue to have a defined benefit
pension and you will now earn your future pension under the CAAT Pension Plan. So I’m very, very pleased to talk to you about
your pension security here today. So by the end of today’s preliminary session
we hope that you have a better understanding of the key aspects of DBplus and, of course,
get the answers to the questions that you may already have. So this is our agenda or our outline so to
speak. This is what we’re going to cover throughout
today’s webinar. We’ll discuss who we are, the CAAT pension
plan, and what we provide to our members and for those of you that don’t know, CAAT stands
for the Colleges of Applied Arts and Technology. But we mostly will be talking and focusing
on DBplus. What is it? Well, it is CAAT’s second plan design or plan
formula. In fact it is an award-winning plan design first
introduced back in 2018. CAAT has its regular plan design specifically
for people who work within the Community College system and DBplus is a more simplified design. It is the one that The University of Saskatchewan
will be going into. We’ll go over an example to show you how your
pension builds over time. I will discuss some key features of DBplus. We’ll get into the specific plan provisions. We’ll talk about early retirement and survivor
benefits. Finally, we’ll briefly touch on the option of purchasing additional pension with the CAAT Pension Plan Members will have the option down the road
to purchase more pension in DBplus. For example, let’s say you work for another
employer in the past other than The University of Saskatchewan and they had a pension plan. Well, you would have the option to purchase
more pension with CAAT which would also increase your pension at your future retirement date. So let’s jump right in and tell you all about
the CAAT pension plan. The CAAT pension plan or the Colleges of Applied
Arts and Technology Pension Plan was established back in the 60s. Specifically 1967. And it is originally put in place to provide
teachers in the Community College sector with a DB Pension Plan which in turn provides that
great benefit security. We provide guaranteed lifetime pensions for
our members. We have conditional enhancements like inflation
protection and survivor benefits as well. So we take great pride in fulfilling the pension
promise to all of our members. We are sustainable, multi-employer, modern,
JSPP plan. We love acronyms in the pension world. That stands for Jointly Sponsored Pension
Plan. What that means that is we have a Board of
Trustees and a Sponsors Committee who make decisions based on the best interests of all
of our plan members. How do we do this? Well, we have a very, very strong governance
structure or model which means that we have equal representation at that board level. Half the members on the board are members
represented by various union groups and the other half represent the employers. So that’s in essence what we mean when we
use that term jointly sponsored. The plan is governed by employers and members
alike. But over the years CAAT continues to expand. We currently have 56 employers and over 55,000
members. And that 56 number not only includes all 24
colleges in Ontario, but we do have other groups in the plan as we continue to grow. In fact growth has been an on-going activity
of the plan for quite a while now with several high-profile pension plan mergers already
occurring. Just to give you a few examples last year
Torstar joined with a 97% approval rate from its members all in DBplus and we also had
Postmedia join our plan as well. And our first new non-college affiliated employer
was the Royal Ontario Museum or ROM and that was back in 2017. The CAAT Pension Plan currently has about
140 dedicated staff with very specific aligned pension expertise. What this means we have a strict focus on
pensions. We’re not here to provide any health and welfare
benefits, we’re not here to provide a dental plan because again, our main focus is on providing
all of our members with monthly pensions for life. All our staff are aligned on delivering that
same pension goal. Our staff doesn’t receive any bonuses and
we’re a not-for-profit trust. This essentially means that we have a pension
fund and all the money or investments go towards paying people out their pensions. We have a pension administration team, communications
team, quality, risk management, and even an investment team. In terms of our investment management program,
we have $10.8 billion in net assets. We are 120% funded on a going concern basis
with $2.6 billion funding reserve. So we are currently in a surplus position. And when we refer to our $2.6 billion surplus,
what this essentially means that is for every dollar we need to pay out in pensions we have
$1.20 sitting in a bank backing that pension promise. This really speaks to the health of the plan
fund overall. At the end of 2018, you can see our five-year
average annual net return is 8.7%. Net meaning net of all fees. You can also see our longer term averages
our ten-year net return was 9.9% so just under the 10% marker. This is probably what is most important to
everyone listening in because after all we are in the business of paying people out their
lifetime pensions and not only for you, but for your spouse as well because we have great
survivor benefits in the plan. What else can members expect? Well, we briefly spoke about our great governance
model. It’s that 50/50 governance structure. Which again means we have that equal representation
at the board level. We believe that with this 50/50 governance
structure that it simply results in better decisions. If there is equal sharing in the decision-making
about costs and risks, it drastically improves the odds of better decisions being made. Our plan is also 50/50 cost sharing which means when
active members contribute $100 in the plan, your employer will also contribute an equal amount. They will match dollar per dollar. So The University of Saskatchewan will be
matching all contributions made by active members starting September 1, 2019. We also offer live education sessions. More and more people share passion want to
learn how the pension works here at CAAT. We hold regular information sessions or meetings
to educated and inform our membership. If you’d ever like to have CAAT come out
in the future to provide education session let’s say for planning for retirement for
example, we’d be more than happy to pay you a visit. CAAT also has very easy to understand communications. We have a user-friendly website, and everything
is posted to our website. For example, we post our annual reports, investment
highlights and even valuation reports. We also have plenty of retirement estimator
tools. All of our tools provide our members with
the information that they need in order to assist them in making well-informed decisions
when planning for their retirement. And lastly, our low operating cost means that
more contributions go directly towards paying benefits. Now let’s talk about DBplus. So what is it? Well, as I said earlier this is a plan design
that you would be going into. It is a simplified, modern defined benefit
pension design. And it has six contribution rates for both
you and your employer. Now a lot of people tend to ask me, what does
it mean a modern defined benefit plan. Typically defined benefit plans are service
based, usually find your best earnings, times the percentage. With DBplus you will see it is a lot more
straightforward and very easy to understand. In DBplus the pension benefits earned are a percentage
of the contributions being made. And the ancillary benefits which is something
that also makes it a modern plan. Or part two of the formula within DBplus,
so to speak, they’re based on the plans funded status. And were going to talk more
about what that means in just a second as well. As an employee participating in DBplus, all you
have to do is make those contributions. That’s it. And then you can enjoy watching your defined
benefit pension grow over your working lifetime. It will grow or you will grow a guaranteed
based pension year-over-year and you also build your pension with the ancillary benefits
based on the previous years pension. But I don’t really want to confuse anyone
at this point because again we are going to show you the plan formula in just a few slides
from now. From an employer’s perspective, it is very
much the same thing. All they really have to do is make their contributions
because they’re going to be matching dollar-for-dollar and that’s it. So they get to continue to offer a DB or a
defined benefit pension to all of their employees. And this is a great recruitment and retention
tool. So earning your pension year-over-year under
DBplus is a simple worry-free way to build your income for your future retirement. Your benefit that you accrue under DBplus
will be based on contributions so both your contribution and the employers. We also have valuable conditional adjustments
for wage inflation which are based on the funded status of the plan. And this is essentially growing your pension
a little bit more while you’re working. It is called AIW. But as you know, belonging to a defined benefit
plan CAAT your pension is not based on investment returns. There are no fees or complex investment decisions
to worry about like a DC plan, for example. In a defined benefit plan your pension at
retirement is defined. We know what it is going to be because it
is based on a set formula. That formula is going to be for everyone who’s
in the University of Saskatchewan’s nonacademic pension plan. So again with DBplus, you earn predictable
secure pension payable for life. Predictable because your pension is going
to be based on the DBplus pension formula and this formula will be the same for everyone. And secure simply because your pension is
going to be backed by a multi-employer Pension Plan such as CAAT. Now those conditional enhancements under DBplus
that you’re going to cover in more detail are based on the plans funded status. So what we really mean here is If the plan can afford the payment them, then
we will. Because the plan is currently in a healthy
position, we’re paying them to our current members. In fact, we’ve continued to pay them for
quite a while now because we are in that surplus position and we have been for a number of
years. Also, not only does CAAT have generous early
retirement benefits but we also have survivor benefits meaning where does the pension go
in the event of your passing. We’ll cover this in more detail once we get
into the specific features of DBplus. Let’s now focus on the contributions that
you’ll be paying. First off as you said earlier your contributions
are going to be matched dollar by dollar by The University of Saskatchewan. If you are putting in a dollar you can be
sure your employer is going to match the dollar. In DBplus the contributions are directly linked
to the benefits that you have earned. This means that contributions are a major
component of the pension formula. And both your contributions and your employers
that factor in when calculating your pension. And we’ll see that in an example that’s
coming up very shortly. So contributions are phased in meaning that
starting September 1st, 2019, your contribution rate will be 7% of your earnings right up
until December 31st, 2020. They’re phased in for the first year and starting
January 1st, 2021, they’re going to increase to 7.5%. Then they’re going to remain at 7.5% and thereafter. These contributions will be matched and they’re
also tax-deductible. The same as they were previously under your
University of Saskatchewan nonacademic pension plan. So they are subject to the Income Tax Act,
or the ITA. And just to give you an idea the after-tax
impact, I would like you to take a look at this chart. You can see here that based on these contribution
rates that we just went over, you can see what your weekly take-home pay will look like
depending on where your earnings fall. So on the left-hand side of the screen, in
the first column, we have earnings. Starting at $30,000 all the way to $100,000. The next column is 2019 marginal tax rate. The last two columns tell us how much is actually
coming off your pay on a weekly basis. So let’s start off by looking at the $30,000
example. So you can see here if your pensionable earnings
of $30,000 based on the 2019 tax rate that is a 7% contribution rate, you’re looking
at $32 coming off your paycheck on a weekly basis after tax. And then when they jump up to 7.5% in 2021,
it would be an additional two dollars for a total of $34. If we want it to look at say the $50,000 example. If you look to the middle of the screen, you’d
see the weekly after-tax impact on that pension earnings is about $47 per week. And then when it jumps up to 7.5% an additional
three dollars for a total of $50. So hopefully this weekly after-tax chart is
very helpful to you. So here what is the DBplus pension formula
actually looks like. This is basically how we take those contributions
that you’re paying, and we turn them into an annual pension. As you can see there are two parts to the
pension formula. So let’s start with part one. In the top box here, you can see that we take
the total contributions that you make so that would be yours and The University of Saskatchewan
and we multiply the total by our annual pension factor which is currently 8.5%. This makes up a member’s annual base pension
or their guaranteed base pension. So you can see it is very, very straightforward
and simple to calculate. It’s the total contributions times annual
pension factor of 8.5%. Then if you look at Number 2 or the second part
of the formula these are the enhancements to the pensions that were already earned or
credited each year, but they are conditional on the plans funded status. We’re also going to grow your pension as long as
our funds permit. To do this we take the The total pension earned in the previous year
and multiply by the AIW enhancement rate. I mentioned AIW earlier but AIW stands for
Average Industrial Wage. It is the measure in which wages in Canada
increase year-over-year. I like to think of AIW increases pre-retirement
indexing. So these are increases you get while you’re
working. Let me give you an example. Last year the AIW was 2.7%. So this would then be multiplied by a member’s
total pension earned in the previous year. And we do this year-over-year as long as our
funded ratio permits. Now in general, the average AIW is about 2 to
2.5% each year. But this is the number that is set by the
government more specifically STATs Canada. CAAT does not set this number at all. So I’ll show you an example. Hopefully this will give you a better understanding
how this all works. This is Philip. He’s 45 years old. He has pensionable earnings of $55,000. His earning increase at 2% per year. And Philip and his employer both contribute
at 7% of pay. So Philip’s contribution in year one is 7%
times $55,000. So his pensionable earnings of $55,000 times
the contribution rate of 7%. And that equals $3850. But remember the employer also is contributing
3850 for a total of $7700. We’re going to take those total contributions,
multiply them by our annual pension factor and Philip is going to earn an annual pension
in year one of $655. So you can see very, very straightforward
to calculate. So when Philip is 45 years old, there is his
655 annual earned pension in year one. And then when he’s 46 in year two, that number
is going to actually go up. That is because he’s getting a little 2% earnings
increase. That jumps from 655 to $699. But now what we’re going to do is we’re going
to take the previous year’s pension and we’re going to move it over. We’re going to stack it on top of the 699. But we won’t stop there. Now we’re going to add AIW. That’s what that little sliver on the top
there represents. We’re going to take the previous year’s pension
of 655 and we’re going to add AIW to that. That’s about $14 of AIW that presents. Once you add 699 plus 655 and then the AIW
in year two Philip earned annual pension of $1368. And in year three when he’s 47 it’s the
same concept. His 699. Turns into 730 and that is based on a 2% earnings
increase. But now bringing the entire pension that he
accrued when he was 46 years old and are moving that over. So the total of 1368 and now we’re going to
add AIW to that amount. So you can see how that AIW compounds year-over-year. It is AIW for that specific amount is actually
$30. So once we add the 30 plus the 1368 and the
730 in year three Philip will earn annual pension of $2128. What if we look at the rest of his working
life? Phillip’s pension continues to build right
through to retirement. This graph shows how the pension grows year-over-year
from age 45 right up until age 65. Now he’s shown guaranteed based pension that
he built. That is the big bottom part of the triangle
in dark blue, but we’ve added the AIW enhancement increases which are sitting on top. You can see how they really start to add up
through Philip’s working life. In fact, over the 20 years between ages 45
and 65, AIW can add more than 21% to Philip’s pension. Even though the granting of the AIW enhancement
is conditional upon our funded status continuing to be strong, once it is granted it can’t
be taken away. It actually forms a part of the guaranteed
based pension. So you can see that we have shown it here
separately so you can easily see how it adds to his pension. And now it is also important to note that
we have included in the assumption in this calculation and that is that our annual pension
factor increases to 9.5% starting in 2023. And this is due to the fact that our funded
status is very healthy, and it is anticipated that it continues to grow the same as it has
over the last few years. So again, we are in that surplus position
and as I said earlier, we continue to trend up as our surplus has been steadily increasing
each year. And finally, at the end, you can see that
over the 20-year period, at age 65, Philip will have contributed about $99,860 to DBplus. So why is that important? Well, let’s now look at Philip’s expected
pension payments. So Philip’s 20 years of contributions are
kind of smashed to the left there between ages 45 and 65. And then you can see his pension starts at
age 65. It starts at around the $23,000 per year. When it does his pension doesn’t stop building. Also going to grow in retirement with conditional
inflation enhancements otherwise known as post-retirement indexing and inflation is
paid out at 75% of the Consumer Price Index or CPI. You can see we’ve shown them here in the light
blue triangles sitting on top of a guaranteed lifetime pension. So you can see that his pension starts around
23,000 but by the time he’s reached age 90 his pension has grown to around $34,000. This is simply due to inflation enhancements. So a couple of things to mention here. You can see just how valuable the AIW enhancements
can be for your working lifetime and how much additional pension conditional inflation enhancements
can bring you in retirement. But a couple of other things to note here
is that when we mentioned the contributions that he’s paid in through his working life,
remember that was around $99,860. You can see here that by age 70, Philip would
have already had recovered everything that he’s paid in. This is indicated by the dotted line that
you see here on the screen. That is in fact why we have a guaranteed five-year
payment period. So from a member’s perspective you’re never
going to get anything less out of the plan than what you paid in. And another take away that is there is a very
quick return in retirement on what you’ve paid in, in contributions. So if you take a look at that other box there
on the right-hand side of the screen, if we assume to be age 90 which is a reasonable
expectation of life for someone retiring at age 65, then when he dies with a survivor
pension continuing for three years, he can expect to receive 792% of his contributions
in total pension payments. This is his return on his $99,000 in contributions. So you can ask how likely it is conditional
inflation enhancements are paid or good chance they will be granted? The answer is yes. For starters CAAT has not missed payment since
it was first introduced back in 2007. We still continue to pay it for our retirees
even in 2008. That was the market crash year. Also, CAAT has done a number of modeling and
projections out as far as 20 years into the future. Using various economic scenarios and in a
very high number of cases in fact 99% of all cases, the CAAT pension plan remains in surplus,
even 20 years out. So there is a very high likelihood these conditional
enhancements will be paid. If there is ever a year where our funded position
drops down and we cannot grant these conditional enhancements our plan has is what called a
catch-up provision so that when our plan returns to the strong financial position, any enhancement
that was not granted will be made whole. In other words, we can make up any missed
inflation increases. Now that we’ve shows you an example how
your pension builds over time. Let get into the other features of DBplus. So if your employment ends before retirement
age, here are the options that are available to you. Retirement age starts at age 50. If you were to leave your employer before
the age of 50, here are your options. Please keep in mind that what you’ve earned
is yours. So again, you have a few options. You can defer your pension, transfer your
pension to another pension plan or elect to take your benefit with you. Or cash out your benefit to invest it as you
see fit. Deferring your pension is the first option. You can leave your pension in the plan and
you will be — I’m sorry and we will be responsible for it. You can start to take it any time after the
age of 50. If you leave your pension in the plan it is
like you’re parking your benefit with CAAT and it stays frozen so to speak, until you’re
ready to draw on it. Maybe later at age 65 for example. So your benefit is not necessarily growing
but it is increasing with inflation. If you decide to take your pension from a
deferred status before the age of 65, it would be reduced by 5% per year up until the age
of 65. If you don’t want to leave your pension in
the plan, you have the option of transferring the lump sum commuted value of your benefit
out of the plan. And if you do that then you are responsible for investing it and growing
it through your investment terms. The option to transfer out your lump sum is
available provided you terminate before you become retirement eligible. And remember retirement eligibility in our
plan is currently at age 50. If you were to choose this option, you are
responsible for investing your retirement benefit with financial institution of your
choosing. And, it’s for your retirement it is subject
to ITA or Income Tax Act. Also, we have what is called an extension
of membership provision. This is essentially a 24-month waiting period
in which you’d have to wait before you can access that lump sum commuted value. The third option is, let’s say you decide
to transfer your benefit out to another pension plan at your newer employer for example and
that pension plan agrees to accept that transfer then we’ll transfer that lump sum value of your pension to that new employer. This option is more straightforward and easier
to understand. Let’s circle back to that lump sum option
or commuted value. The commuted value or CV for short is the
lump sum equivalent to a series of future pension payments. Or it is the lump sum monetary value of all
your future pension payments. The calculation is highly prescribed in legislation,
including assumptions about future interest rates, survival prospects, pension commencement
age. So it is not something that easily calculated. In fact actuaries do these types of calculations
and they have to use the aforementioned assumptions. Another thing to keep in mind is that some
of these rates or interest rates actually fluctuate. Meaning that they change month-to-month. So commuted values tend to go up and down
depending on when a member would terminate or resign. They’re not very easy to predict. Now, the lump sum commuted value calculation
also reflect future indexing and survivor pensions. So let’s switch gears a little bit and talk
about early retirement. What if you want to retire before the age
of 65? 65 is normal retirement age in DBplus. So in DBplus, you can retire early but your
pension is going to be reduced by 3% per year. Currently at that 3% marker but can be anywhere
between 3 to 5% per year. That reduction factor is simply there to reflect
the fact that you’re starting your pension earlier and therefore it is likely to be paid
for a longer period of time. So right now because our funded position is
so strong, we’re offering the smallest reduction that we have under DBplus which is that 3%
option. This is actually the lowest that we can apply
as per the income tax allows us to. I’ll give you an example. Let’s say you wanted to retire at age 60. You’re five years away from 65. At a 3% per year reduction factor. You would be looking at a 15% reduction. Five years times that 3%. It is 15%. Some people may refer to this as a penalty. I don’t like that term. I actually hate that term. This is actually a subsidy. If we wanted to actuarially or truly reflect
or statistically reflect the true reduction that should be applied to your pension to
reflect the fact it is going to be paid for a longer period of time that would be 6% per
year. Yes there is a reduction, but it is smaller
compared to one you would apply actuarially. When you compare this reduction to Canada
Pension Plan or CPP, well with CPP it is 7.2% per year if you wanted to take your CPP early. So in comparing it to CPP if you wanted to
take it at 60, you’re looking like at a 36% reduction in your Canada Pension Plan. Now let’s talk about survivor benefits. As mentioned earlier your pension includes
survivor benefits. In other words, if something happen to you
in retirement where is that benefit going? There’s a big difference between pre-retirement death
and post-retirement death benefits. We look at a situation where you were to die
prior to commencing your pension. We’ll look at that first and then we’re going
to split that in two where you have a spouse and where you don’t have a spouse. On the left-hand side let’s assume that you
passed away prior to retirement and you are survived by a spouse. Your spouse would then be entitled to a lump
sum payment and that lump sum payment is otherwise known as a commuted value or CV like we spoke
about it earlier. It’s the lump sum value of your pension. It is calculated at the date of death. If he or she likes to take it there are no
further benefits payable after the fact. But let’s say your spouse does not want to
take that CV. He or she has the option to convert it to
an immediate pension payable for their lifetime. Or if your spouse does not want it straightaway
it can also be deferred until they turn 65. There are three options available to your
spouse for a pre-retirement death. The lump sum payment, an immediate pension
or a deferred pension. If you don’t have a spouse, the benefit would
be paid to your designated beneficiary in a lump sum form of payment which is why it
is very important to designate a beneficiary and not just under DBplus in the CAAT pension
plan but all participating pension plans. Very, very important. So what about the situation where you were
to pass way after retiring? Well, again it depends on whether you have
a spouse, or you don’t have a spouse. So in a situation where you do have a spouse,
as I mentioned before, you’ve a built-in survivor pension. It’s called a joint survivor 60% pension. What we mean by built-in is that you will
have a no cost survivor pension. Whereas your spouse will receive 60% of your
pension for the rest of his or her lifetime should you pass away. That’s at no cost to the member. In other words, the member’s pension would
not reduce as a result of him or her choosing this option. You could also choose to increase that up
to 75% and elect a joint survivor 75% pension. Let’s say you wanted to provide your spouse
about a little bit more than you could. That means that he or show would receive 75% of
your pension upon the member’s passing. But in this case, that does mean that your
pension would reduce slightly when you elect this option. So here there is a cost. The reduction is around I would say a 2 to
3% reduction in the membership’s pension, approximately. And this is all chosen of course at the time
of retirement on your option forms. Now, without a spouse, any eligible children
would receive 60% of the member’s pension up until the age of 18 which is our definition
of eligible children; or we have what is called a minimum 60 monthly payment guarantee and
this equates to five years. So let’s say you had a beneficiary and you
have been retired for over ten years and there would be nothing left over for your beneficiary. You surpass those 60 payments. But if something happens to you let’s say
in the first two years of retirement and then your beneficiary would receive the remainder
of the 60 monthly payments paid out in a lump sum form. So with survivor benefits, it really depends
first of all when the member passes away and secondly who is there at that time. Now not only does CAAT have that no cost survivor
pension but we also have a unique feature. So, for example, let’s say that you are single
at retirement and you were to get married in retirement then your new spouse would automatically
be eligible for the joint survivor 60% pension. That means he or she would receive 60% of
your pension for the rest of his or her life. Again this is at no cost to the member. This is very unique. I haven’t seen it in too many other pension
plans that I have worked in, but it is a very, very generous feature. Now let’s briefly talk about purchasing additional
pension. Under DBplus you have the option to purchase
more pension to eventually give you a larger monthly pension payment when you retire. But it does have to be with another employer
other than The University of Saskatchewan. So as long as it is tied to employment and
it is the period with another employer when you participated in it’s registered pension
plan, cannot be a group RRSP. This is something where you can start to think
about your past employment. Specifically your past employment history. In other words, where did you work before
The University of Saskatchewan? And did they have a pension plan? Because if they did you can definitely explore
how you could potentially increase your pension for retirement. Now, the process is relatively straightforward. But it’s important to realize that when
a member purchases pension, those funds used for the purchase must come from a registered
tax-sheltered vehicle such as a defined contribution plan or even an individual RRSP. So again this is an option you will have available
to you to increase your future pension. But the funds must not come from any after
tax vehicle. No cash, TSFA, no money from your bank account
or no after-tax investments. Just to reiterate a few key messages, DBplus
offers a predictable, secure, lifetime pension. DBplus has a very high probability of remaining
fully funded. We talked about that we were in that surplus
position. We talked about our conditional inflation
enhancements. You’re also going to receive enhancements
while you’re working and even in retirement. We talked about our no cost survivor pension
and options that you will have in the event of your passing. And in DBplus you can retire as early as age
50 with an early start adjustment. That adjustment which we spoke about is 3% per year
up until the age of 65. So this concludes our webinar for today. But before we go, I definitely like to point
you to the resources that we have available to you. You can see that we’ve got a hotline where
you can call in for any questions. If you have a question that you would like
to put in writing, you can always send us an e-mail at the e-mail address that you see
on the screen. At the bottom of the screen there we have
a microsite which is available to all members who belong to The University of Saskatchewan’s
nonacademic pension plan. This is a microsite — a microsite specifically
designed for you and it will cater to all your needs. everything pension. Steve Hyland: What I’ll do then is I’d
like to do is thank everyone for joining us For this introduction to DBplus webinar. Again if you have any questions that you didn’t
think of today and I’ll put that number back up on the screen. Or you can send us an e-mail. Please, please, please visit the microsite. There is lots of information on www.dbplus.ca/uofs. Thank you for joining us and have a great
day.

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