Long Term Disability Pension FAQ's
I understand my pension plan contributions continue while I am on Long Term Disability (LTD). Who makes these payments?
Your portion of contributions is deducted from your LTD benefits, with a matching amount being submitted by your employer. This allows you to continue to accumulate years of pensionable service even though you are on LTD.
What income amount is my pension contribution based on?
Your pension contributions are based on your salary prior to disability.
Your pension contribution amount will change as the base salary for your pre-disability job changes. Whenever there is an increase in this base salary, your pension contribution amount will increase as well. This ensures the pension amount you receive at retirement is the same as if you had continued to work at your job for the entire disability period.
I am receiving LTD benefits and soon will reach the 80 factor. Am I required to apply for my service pension at that time?
No. If you have reached the 80 factor, applying for your pension is not mandatory. However, if you are receiving CPP disability benefits it may be financially beneficial for you to retire: The combination of Pension income plus CPP disability benefits may exceed LTD minus CPP income, with minimal impact on pension income at age 60 or 65.
I have applied for my pension from the Public Service Superannuation Plan. How will this affect my LTD benefits?
Your LTD benefits will terminate upon your retirement.
The Claims Administrator has advised me that I no longer qualify for LTD. While I'm disabled from my own job, I am able to do other jobs. Is it possible
to continue to make contributions to the Public Service Superannuation Plan when my LTD has been terminated?
Firstly, your are entitled to appeal the Claims Administrator's decision. If your appeal is denied, you should contact the Public Service Superannuation Plan to determined your status under the pension plan.