Sample Pension Calculations

Sample 1

Retirement Date: December 31, 2008
Age at Retirement: 60
Credited Service until January 1, 1998: 25 years
Credited Service from January 1, 1998: 11 years

Year Earnings Employee Contributions
1999 $42,016 $1,681
2000 $42,436 $1,697
2001 $42,860 $1,714
2002 $44,146 $1,766
2003 $44,587 $1,783
2004 $45,032 $1,801
2005 $45,482 $1,819
2006 $45,936 $1,837
2007 $46,395 $1,856
2008 $46,858 $1,874
TOTAL $445,748 $17,828

Pension Calculation

  1. For service TO December 31, 1998 25 x $46.50 = $1,162.50

  2. For service AFTER December 31, 1998
    Greater of  1.4% x $445,748 / 12 = $520.04
    OR             10 x $46.50 = $465.00

  3. Minimum Benefit from Employee Contributions
    15% x $17,828 / 12 = $222.25
    (NB - Member could have transferred amount in Employee Contribution Account to an approved locked-in vehicle in lieu of receiving additional monthly pension of $222.25 from the plan)

  4. TOTAL PENSION AT AGE 60: $1,162 + $520.04 + $222.25 = $1,905.39

Additionally, the Member will receive a bridge benefit of $100 per month until age 65.

Sample 2

Retirement Date: September 30, 2008
Age at Retirement: 50
Credited Service until January 1, 1998: 20 years
Credited Service from January 1, 1998: 9.75 years

Year Earnings Employee Contributions
1999 $42,016 $840
2000 $42,436 $849
2001 $42,860 $857
2002 $44,146 $883
2003 $44,587 $892
2004 $45,032 $901
2005 $45,482 $910
2006 $45,936 $919
2007 $46,395 $928
2008 $35,143 $703
TOTAL $434,033 $8,682

Pension Calculation

  1. For service TO December 31, 1997 20 x $46.50 = $930.00

  2. For service AFTER December 31, 1997
    Greater of  1.4% x $434,033 / 12 = $506.37
    OR             9.75 x $46.50 = $453.38

  3. Minimum Benefit from Employee Contributions
    15% x $8,682 / 12 = $108.53
    (NB - Member could have transferred amount in Employee Contribution Account to an approved locked-in vehicle in lieu of receiving additional monthly pension of $108.53 from the plan)

  4. Pension: $930 + $506.37 + $108.53 = $1,544.90
    Reduced by 45% for Early Retirement: ($695.20)

  5. TOTAL PENSION AT AGE 50: $1,544.90 - $695.20 = $847.70

The Member will not receive an additional bridge benefit as he/she has not reached age 55 on his/her date of retirement.