Sentences with phrase «commuted value of my pension»

I had always assumed that the penalty ruled out early retirement for me, but the bank planner pointed out that if I acted quickly and withdrew the commuted value of my pension before turning 55, I would have a decent - sized nest egg that I could invest myself.

If the commuted value of your pension is quite small — say only $ 10,000 or $ 20,000 — you may want to commute purely for convenience.

If you've not yet begun to start receiving the Sears pension, an option is to take the so - called Commuted Value of the pension, rolling a lump sum payment over into your RRSP so you have complete control of the assets.

Not exact matches

However, it did recommend the creation of an Ontario Pension Agency to provide a home for commuted values of DB pensions that are transferred from EPPs.

«My worst financial move was taking the commuted value of my public service pension instead of just leaving it there till retirement,» he recounts.

Many retirees face the choice of taking monthly payments from their employer's pension plan or transferring the commuted value into an investment account.

If the source of funds is a DB plan, the plan's actuaries will calculate the commuted value of the plan — that is, the amount that is equivalent to the present value of the pension payments you could have elected to wait and receive in the future.

Regardless, it's not uncommon to be given a choice between taking a lump - sum payment in lieu of your future monthly pension (known as a commuted value) or otherwise taking your calculated monthly pension payment in retirement.

You may even lose your job at some point; experience a disability; retire early, transfer a commuted value lump - sum payment from your pension into a locked - in RRSP; or decide to defer your pension start date at retirement — all things that could create a year or number of years where your income is significantly lower and strategic RRSP withdrawals could be made at a lower tax rate than today.

(3) The commuted value of a member's early retirement pension must be not less than the commuted value of the member's pension benefit under the pension plan.