Plan Features

TTCPP is a defined benefit pension plan. This means that when you retire, you will receive a pension calculated through a formula based on your best four years of pensionable earnings. You can count on receiving this pension for your entire life, which means you never have to worry about outliving your pension.

Who can join?

If you’re a full-time employee who has completed six months of continuous service, you automatically become a member of TTCPP. You begin to accrue credited service  as soon as your employer deducts pension contributions from your pay.

If you’re a part-time or temporary employee, membership in TTCPP is optional. You can choose to join after you’ve completed six months of continuous service. To enrol, complete the Plan Enrolment for a Part-time or Temporary Employee form and send it to membercare@ttcpp.ca.

How do contributions work?

As a Plan member, you contribute a percentage of your earnings each pay period to the Plan, and these contributions are matched by your employer—essentially doubling your contribution. The amount you contribute is based on a percentage of your earnings and are tax deductible. You pay no income tax on the matching portion that your employer contributes.

When you become a member of TTCPP, as soon as you start contributing to the Plan, your entitlements are vested, which means you have now earned a right to receive a pension benefit.

What does it cost?

Your contribution is based on the year’s maximum pensionable earnings (YMPE) formula:

of your earnings up to the YMPE

of your earnings up to the YMPE

How much pension will you receive?

The basic formula for calculating your pension uses your years of service and your best four years of pensionable earnings in the Plan. The more time you spend as a contributing member of the Plan, the higher your pension will be.

The formula consists of two parts: the base-period calculation and the non–base-period calculation. Although it’s important to note that you do receive credit for the entire period of time you have been contributing, the base-period portion of your calculation has the largest impact on how much pension you will receive.

How to calculate your annual pension

Part 1: Base period

Includes your best four years of pensionable earnings and credited pension service up to December 31st of the
Board-approved base year. Your best four years do not have to be consecutive.

Average earnings up to YMPE

1.6%

Average earnings up to YMPE

2%

Credited service up to base year

Average best four years

Part 2: Non–base period

Includes your pensionable earnings every year after the base period. Your pensionable earnings are the gross earnings
on which you have made TTCPP contributions.

Sum of earnings up to YMPE

1.6%

Sum of earnings above YMPE

2%

Base Period

Non–base period

Annual pension

Starting your pension before age 65?

If your pension starts prior to age 65, you will also automatically receive the bridge benefit, which is a benefit payable to you each month until age 65 or death, whichever occurs first. Learn more about this key feature of the Plan below.

Pension calculation example*

Rohit is a member who completed 30 years of service. His average best four years of earnings up to the base period when he retires is $79,125, and his average Canada Pension Plan (CPP) earnings in the same four years is $56,825.

His annual basic pension would be $40,151.60, plus he would receive an annual bridge benefit to age 65 of $6,776.53. That means the combination of his basic pension plus his bridge benefit would be $46,928.13 annually until age 65. After age 65, he would receive the annual basic pension of $40,151.60.

*This example and calculation are for illustrative purposes only.

Your pension calculation

If you’re an active member, your pension is detailed in your Annual Entitlement Statement, which is issued every year by the end of the year. You can also learn more about your projected pension anytime by visiting the Online Pension Estimator.

Small pension rule

If your annual pension at age 60 is calculated to be less than 4% of the year’s maximum pensionable earnings (YMPE) or the commuted value is less than 20% of the YMPE in the year you terminate your membership, the small pension rule would apply to you. This generally occurs for members with short credited service in the Plan.

If applicable, this rule unlocks the commuted value and allows the pension to be transferred out in cash, less withholding tax, or to a registered retirement savings plan (RRSP), up to the maximum transfer value.

What are the key features of the Plan?

Here are a few of the key features and benefits you enjoy as a TTCPP member.

Read the full Plan text

The TTCPP Bylaws is the governing document that sets out the terms of the Plan. Download the full text of the Bylaws below.

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