TO: Boards and Administrators of Participating Schools
FROM: Howard Van Mersbergen, Executive Secretary-Treasurer
Enclosed with this Communique are two updated copies of the Canadian Christian School Pension Plan book. Please give one copy to the Board Treasurer and retain one copy at the school for future reference. The book includes the Plan provisions as of September 1, 1998. Please note these recent improvements:
Selecting a Payment Option
You no longer need to select a payment option a year before retiring. You may now choose a payment option right up to the time that your pension benefits begin.
Participation with Past Service Credit
The Plan has been amended to allow a school to join the Plan retroactive to an earlier date. If a school wishes to do this, it must make a full payment of pension contributions plus interest back to that date.
Final Average Earnings When Final Year is a Partial Year
The final average earnings calculation determines what your pension benefit will be.
The Plan has been amended to clarify what happens when a person’s final working year is a partial year. In that case the final average earnings is the larger of:
a) the annual average compensation during the 36 consecutive months before the person stops working, or
b) the annual average compensation during the best 3 consecutive full Plan Years out of the last 20 years (up to and including the Plan Year immediately prior to the one in which the person stops working).
The Plan currently provides that this calculation can include time periods up to August 31, 2000.