Administrators > Administration Manual > Section 12 Pre-retirement death > Death of Active Vested Member with Spouse

Death of Active Vested Member with Spouse

Forms Checklist:

TRD Pension Claim (pdf) (Word)

Pre-Retirement Death Benefit Option Document

TD1 (Federal and Provincial) (if choosing an immediate pension)

T2151 (if choosing a lump sum payment to an RRSP)

When an Active Plan Member dies

Supporting Documents:

Proof of age of Spouse

Death Certificate

Void cheque (from Spouse's account, if choosing an immediate pension)

Definition / Eligibility:

A Member with a Spouse who has at least two years of Plan membership or two years of Pensionable Service whose death occurs before starting a pension. The Spouse can choose an immediate pension, Deferred Pension or lump sum payment equal to the Commuted Value of the Member's accrued pension.

College Responsibilities:

Send the CAAT Pension Plan a completed and signed TRD Pension Claim. The Spouse must complete Section F, "Marital Status".
Confirm the information on the Pre-Retirement Death Benefit Option Document, and forward it to the Spouse for completion.
If the Spouse chooses an immediate or deferred pension, tell them that they may designate a Beneficiary, on the Pre-Retirement Death Benefit Option Document, to receive the balance of any payments due under the 60 Months Pension Guarantee.

CAAT Pension Plan Responsibilities:

Send a Pre-Retirement Death Benefit Option Document to the College.
Contact the Spouse about 75 days after the Option Document is issued to remind them that the lump sum payment option is time limited.
If the Spouse does not respond within 90 days of the issuing of the Option Document, begin payment of immediate pension.

Spouse Responsibilities:

Complete the TRD Pension Claim and the Pre-Retirement Death Benefit Option Document and return with supporting documents to the CAAT Pension Plan.
If the Spouse chooses:
- an immediate pension purchased with the Commuted Value of the Member's pension, they should complete the TD1s.
- a Deferred Pension (payable when the Spouse reaches age 65) purchased with the Commuted Value of the Member's pension, there are no extra forms to complete until the pension payments are to start.
- a lump sum payment (either in cash or a transfer to an RRSP) of the Commuted Value of the Member's pension, they must complete a CRA form T2151. The Spouse must respond to the Plan within 90 days if choosing the lump sum payment.
The Plan requires proof of age of the Spouse.

Plan Text Reference: 12.03(1)

May 2009