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FAQ - Transferring service

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Transferring service

Member Handbook -
Can I transfer in service?
Reciprocal transfer

Transferring Service

Why would I transfer service from one pension plan to another?

A CAAT Plan Member who joins another Canadian registered plan can transfer pension credits to the new employer's plan, and vice versa, subject to the approval of the other employer and the CAAT Plan Board of Trustees. Transferring service allows employees to build a larger pension and have it paid from a single source, rather than from multiple sources.

How would I know if I have service that can be transferred?

If you are coming into the CAAT Plan from a public sector environment such as a university, federal or provincial government, or the CBC or are a teacher, hospital worker or municipal worker, you may have service that can be transferred. Check with the Human Resources Department at your new employer for more information.

How do I transfer service into the CAAT Plan?

When you are enrolled in the CAAT Plan with service that can be transferred, the new employer must inform the CAAT Plan by sending a letter with the name of your former employer, former pension plan and date of termination from the former plan. The CAAT Plan will prepare the necessary paperwork and provide it to you.

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How do I transfer service out of the CAAT Plan?

If you are leaving the CAAT Plan, your employer will receive the termination election form and pass it on to you. You must then choose your option(s), sign the form and return it with supporting documents as soon as possible. You can then decide to transfer all, some or none of your service to the new employer's plan.

What is a "reciprocal transfer agreement"?

Reciprocal transfer agreements allow employees to transfer their service simply, by defining the cost, the amount of service that will be granted in the new plan and the time limits.

The CAAT Plan has several reciprocal agreements with various employers such as universities, the federal government, the CBC and some public sector pension plans of other provinces. We are also part of a multi-party transfer agreement known as the MOPPs (Major Ontario Pension Plans) Agreement. It includes the larger plans such as Hospitals of Ontario Pension Plan, OMERS, OPSEU Pension Trust, Ontario Teachers' Pension Plan and the Workplace Safety and Insurance Board, among others.

Remember that time limits apply and each agreement has its own requirements. Additional contributions may be needed to give you equivalent service in the new plan. Contact your new employer or new plan to proceed as soon as possible with the transfer.

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What are MOPPs Plans and the MOPPs Agreement?

Some of the biggest pension plans in Ontario have entered into a multi-party Reciprocal Transfer Agreement more commonly known as the MOPPs (Major Ontario Pension Plans) Agreement. They are:

CAAT Pension Plan
Electrical Safety Authority
Hospitals of Ontario Pension Plan (HOOPP)
Hydro One Inc.
Independent Electricity Market Operator
OMERS (Ontario Municipal Employee's Retirement System)
OPSEU Pension Trust ( Ontario Public Service Employees Union)
Ontario Pension Board
Ontario Power Generation Inc.
Ontario Teachers' Pension Plan
Providence Centre
Ryerson Polytechnic University
St. Joseph's Health Centre
Sisters of St. Joseph
Workplace Safety and Insurance Board (WSIB)

This Agreement came into effect January 1, 1993 to facilitate the transfers of pensions between the MOPPs' signatory plans. These plans have agreed on a method for calculating the transfer value of a pension by using a common set of assumptions. In order to do so, each plan uses a common software program developed by Watson Wyatt Canada, which is updated each time there are changes in legislation or in the terms of one of the plans.

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I am transferring from one Ontario College to another. Will this affect my pension?

Since the CAAT Plan is a multi-employer pension plan, we do not distinguish employment at one College from employment at another in terms of your membership and service in the Plan. Employment at any of Ontario's Colleges (as well as at Ontario College Application Services and the CAAT Pension Plan itself) counts equally. If you transfer directly from one of these employers to another, and have not reached age 71, your contributions and Plan membership will continue. By law, at age 71 you must start receiving CAAT pension payments whether you are working at a College or not.

The College you are leaving will provide you with the forms you need to complete. This will include a TRD Pension Claim and a Termination Option Document. On the latter, you would choose the option to transfer your pension credits to another College.

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I left my job at an Ontario College 2 years ago and I will start working at another College soon. What will happen to my pension?

If you left your employment and are now thinking of returning, either to the same College or to a different one, your alternatives will depend on what you were entitled to when you left and what pension options you chose.

If, when you left, you received a refund of your contributions (available only if you had been a Plan Member for less than two years), or you had transferred the Commuted Value of your pension out of the Plan, your service relating to those periods is Purchasable Service. When you return to College employment, you will have the option, but not the obligation, to buy this service back. A buyback would increase your Pensionable Service and consequently the size of your ultimate pension. To estimate the cost of purchasing service, and the possible effect on your overall pension, visit our Commuted Value, Pension and Service Buyback Estimator.

If, instead, you chose a Deferred Pension and you returned to work before January 1, 2001, your pension credits automatically transferred to your new College. In this instance, you are not entitled to a Deferred Pension and all of your pension credits will be considered together the next time you leave employment.

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January 2009