However, if you leave the job before you reach early retirement age — often 55 — many plans allow you to take out the lump sum
equivalent value of your pension.
Not exact matches
It represents the cumulative
value of contributions that is fiscally
equivalent to the current
pension plan, showing that the cumulative
value of pension contributions exceeds
pension wealth until age 50.
Space limits an extended discussion here, but we note two conclusions from a 2012 article by Economic Policy Institute researcher Monique Morrissey, who explains that «the logical implication
of Richwine and Biggs's [
pension] position is that public employers and taxpayers would be indifferent between current
pension funding practices and investing in Treasury securities, even though this would triple the cost
of pension benefits» and that R & B «selectively alternate between the cost
of benefits to employers and the
value to workers, and inappropriately equate the latter with the often much higher cost to individuals
of obtaining
equivalent benefits.»
The
equivalent lump sum
value of a
pension at the start date.
12 % to 20 % RCMP employee Average age at retirement: 54 Years
of service: 31 Years collecting a
pension: 32 Estimated value of pension at retirement: $ 820,000 to $ 990,000 (based on a projected real return of 2.8 % to 4.3 % a year) Amount of pension currently contributed by the employee: 31 % Pension benefit is equivalent to what percentage of worker's
pension: 32 Estimated
value of pension at retirement: $ 820,000 to $ 990,000 (based on a projected real return of 2.8 % to 4.3 % a year) Amount of pension currently contributed by the employee: 31 % Pension benefit is equivalent to what percentage of worker's
pension at retirement: $ 820,000 to $ 990,000 (based on a projected real return
of 2.8 % to 4.3 % a year) Amount
of pension currently contributed by the employee: 31 % Pension benefit is equivalent to what percentage of worker's
pension currently contributed by the employee: 31 %
Pension benefit is equivalent to what percentage of worker's
Pension benefit is
equivalent to what percentage
of worker's salary?
Federal government worker Average age at retirement: 58 Years
of service: 26 Years collecting a
pension: 27 Estimated value of pension at retirement: $ 560,000 to $ 660,000 (based on a projected real return of 2.8 % to 4.3 % a year) Amount of pension currently contributed by the employee: 33 % Pension benefit is equivalent to what percentage of worker's
pension: 27 Estimated
value of pension at retirement: $ 560,000 to $ 660,000 (based on a projected real return of 2.8 % to 4.3 % a year) Amount of pension currently contributed by the employee: 33 % Pension benefit is equivalent to what percentage of worker's
pension at retirement: $ 560,000 to $ 660,000 (based on a projected real return
of 2.8 % to 4.3 % a year) Amount
of pension currently contributed by the employee: 33 % Pension benefit is equivalent to what percentage of worker's
pension currently contributed by the employee: 33 %
Pension benefit is equivalent to what percentage of worker's
Pension benefit is
equivalent to what percentage
of worker's salary?
Ontario schoolteacher Average age at retirement: 59 Years
of service: 26 Years collecting a
pension: 30 Estimated value of pension at retirement: $ 650,000 to $ 840,000 (based on a projected real return of 2 % to 4 % a year) Amount of pension currently contributed by the employee: 50 % Pension benefit is equivalent to what percentage of worker's
pension: 30 Estimated
value of pension at retirement: $ 650,000 to $ 840,000 (based on a projected real return of 2 % to 4 % a year) Amount of pension currently contributed by the employee: 50 % Pension benefit is equivalent to what percentage of worker's
pension at retirement: $ 650,000 to $ 840,000 (based on a projected real return
of 2 % to 4 % a year) Amount
of pension currently contributed by the employee: 50 % Pension benefit is equivalent to what percentage of worker's
pension currently contributed by the employee: 50 %
Pension benefit is equivalent to what percentage of worker's
Pension benefit is
equivalent to what percentage
of worker's salary?
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.
In Martin - Dye the district judge, it was thought by the Court
of Appeal, had treated the
pension cash
equivalent transfer
value (CETV) as cash.
Ask your
pension provider for a statement that will give you the «cash
equivalent transfer
value» for the
pension at the date
of separation.