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Terminating Your Contract

Resignation or Terminat​​ion

If you resign from your contract or your contract is terminated, your active participation in the plans ceases and you must decide what to do with your ATRF benefit. Your benefit choices depend on your age and whether you have enough pensionable service to be eligible for pension.

Determine Your Eligibility

To determine if you have enough pensionable service to be eligible for pension, review your Plan Member Statement in MyPension or contact ATRF to receive a copy.

Leave Funds on Deposit​​

When you leave your funds on deposit, you may make a different choice at a later date. If you return to actively participating under the plans with an ATRF employer, you will continue to accrue benefits in the plans.

Transfer Service

While you are a contributing active member of ATRF or if you become a member of another pension plan with which ATRF has a reciprocal agreement, you may be eligible to transfer Pensionable Service. 

More information can be found here: Transferring Service.

Deferred Pension

Enough Service to be Eligible for Pension and Under Age 55

To begin receiving your pension, you should contact ATRF not more than four months before your 55th birthday.

Enough Service to be Eligible for Pension and Over Age 55

Once you reach age 55, you are entitled to an immediate pension and are no longer eligible to apply to withdraw your funds from the plans. You must elect to receive an immediate pension. See the Pension Eligibility section.

More information can be found here: Retirement.

Withdraw Your Funds

Not Enough Service to be Eligible for Pension

The benefit is equal to your contributions with interest and may be:

  • transferred directly to a Registered Retirement Savings Plan (RRSP), with no income tax deducted. This direct transfer will not affect your RRSP deduction room. Or,
  • paid to you in cash, with income tax deducted.

Enough Service to be Eligible for Pension

If you are entitled to a deferred pension, the benefit is different for Pensionable Service before and after September 1, 1992.

The benefit payable for Pensionable Service before September 1, 1992 is equal to your contributions with interest and may be:

  • transferred directly to a Registered Retirement Savings Plan (RRSP), with no income tax deducted. This direct transfer will not affect your RRSP deduction room. Or,
  • paid to you in cash, with income tax deducted.

The benefit payable for Pensionable Service after August 31, 1992 is the greater of:

  • your contributions with interest, or
  • the commuted value of your pension. The commuted value is a lump-sum amount in today's dollars which equals the value of your future pension payments.

This benefit must be transferred directly to a Locked-In Retirement Account (LIRA) up to the maximum permitted in accordance with the Income Tax Act. LIRAs are restricted RRSPs that require that funds be used to provide income on or after age 50 but, at the latest, by the end of the calendar year in which you turn age 71. Most financial institutions offer LIRAs. A list of these financial institutions is available on the Employment Pensions website.

Income tax will not be deducted from the direct transfer to your LIRA and it will not affect your RRSP deduction room.

Any benefit above the maximum permitted to be transferred to a LIRA in accordance with the Income Tax Act will be paid to you in cash, with income tax deducted.

No Further Benefits

When you withdraw your funds from the plans, the pensionable service that those contributions represented is no longer to your credit and you will not be entitled to a pension from the plans. You may reinstate that service if you join the plans again in the future. The cost of purchasing prior service is the value of the increase to your pension benefit as calculated on the date of application and may be greater than the termination benefit you originally received.

You can view the the application form here: Benefits at Termination.

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