Pension Options

The Normal Form

The normal form of pension (Single Life, with a Five-Year Guarantee) is payable monthly for as long as you live, and includes a guarantee that if you die before you have received 60 monthly payments (five years of payments), payments will continue in the same amount to your beneficiary(ies) or estate until the end of the guarantee period.

Factors are applied to the normal form of pension to determine the pension amounts for the other pension options. Although the monthly pension amounts for the other pension options are different, they have the same value as the pension payable in the normal form.

Which Option is Best for You?

Your pension option choice should reflect your personal situation. Think about the level of protection you want for your pension partner or consider the length of time that you want your pension guaranteed for your beneficiary(ies). Other things to consider are your:

• age and your pension partner’s age,
• health,
• family and financial situation,
• income needs and future lifestyle plans in retirement,
• other sources of income, and
• dependants (if applicable).

Remember, you can always speak to an ATRF pension counselor if you have any questions.

Single Life Pension Options

1. Single Life, No Guarantee
   Payments stop on your death regardless of the number of payments made.
2. Single Life, 5-Year Guarantee
   Payable for your lifetime or to the end of the 5-year guarantee period, whichever is longer.
3. Single Life, 10-Year Guarantee
   Payable for your lifetime or to the end of the 10-year guarantee period, whichever is longer.
4. Single Life, 15-Year Guarantee
   Payable for your lifetime or to the end of the 15-year guarantee period, whichever is longer. 

You may change beneficiaries at any time until the end of the guarantee period (unless a Family Property Order is filed with ATRF that prevents you from making a change). No one else may change your beneficiary(ies), even after your death. 

Single Life Guarantee Period

The guarantee period starts from the effective date of the pension. If you die before the end of the guarantee period chosen, the pension will continue in the same amount to your named beneficiary(ies) or estate until the end of the guarantee period. 

For example, if you selected the Single Life, 5-year Guarantee option and you die three years after your pension begins, your beneficiary(ies) or estate will continue to receive your pension payments for the remaining two years of the guarantee period. 

Conversely, if you die twenty-three years after your pension begins, your pension is paid for your lifetime, but your beneficiary(ies) or estate will not receive any pension payments after your death because pension guarantee period has expired. 

If there is time left on the guarantee period, please keep the contact information for the named beneficiary(ies) up to date. 

Joint and Survivor Pension Options

1. Joint Equal 
   If your nominee dies first, the pension payments stay the same and continue to you for your lifetime. If you die first, the pension payments stay the same and continue to your nominee for their lifetime.
2. Joint Reducible by One-Third
   If your nominee dies first, the pension payments reduce by one-third and two-thirds of the pension continues to you for your lifetime. If you die first, the pension payments reduce by one-third and two-thirds of the pension continues to your nominee for their lifetime.
3. Joint 100/60
   If your nominee dies first, the pension payments stay the same and continue to you for your lifetime. If you die first, the payment reduces to 60% of the pension and 60% of the pension continues to your nominee for their lifetime. 

Joint and Survivor Guarantee Period

All Joint and Survivor pensions effective after September 1, 1995 have a five-year guarantee period. If both you and your nominee die before the end of the guarantee period, the remaining pension payments will be paid to the named beneficiary(ies) or estate of the last survivor until the end of the guarantee period.

Your pension will not stop being paid to you or your nominee at the end of the guarantee period. 

For example, if you selected the Joint Equal, 5-year Guarantee option and your nominee dies two years after your pension begins and you die one year later, your beneficiary(ies) or estate will continue to receive your pension payments for the remaining two years of the guarantee period. 

Conversely, if your nominee dies twenty-three years after your pension begins and you die two years later, your pension is paid for your lifetime, but your beneficiary(ies) or estate will not receive any pension payments after your death because the pension guarantee period has expired. 

Similarly, if you selected the Joint 100/60, 5-year Guarantee option and you die two years after your pension begins and your nominee dies one year later, your nominee will receive 60% of the pension for their lifetime and your nominee’s beneficiary(ies) or estate will continue to receive the 60% of the pension payments for the remaining two years of the guarantee period. 

If there is time left on the guarantee period, please keep the contact information for the named beneficiary(ies) up-to-date.