Are you a part of the Teamsters Canadian Pension Plan?
To improve your retirement income and to make every one of your hard-earned dollars count
– the TCPP is the pension plan that works.
Message from the Chairman
Teamsters has been serving its members for over a century to provide fair opportunities in the workplace, equality and security. As part of our commitment, it is of paramount importance that our members have access to a pension during their retirement years. This is what Unions do – to represent our members’ best interests – now and into the future!
Are you a part of the TCPP?
Formed with just 500 members in 1981, The Teamsters Canadian Pension Plan (TCPP) is a good plan and a powerful arrangement allowing any size group to maximize its retirement benefits to members while providing many advantages. To improve your retirement income and to make every one of your hard-earned dollars count – the TCPP is the pension plan that works.
The structure of the TCPP
The principal components of the structure are the Board of Trustees, the Divisional Retirement Committees and the professional consulting organizations that are called upon by the Board and the Committees to help carry out their activities. The Board can create subcommittees on an ad hoc basis to deal with specific issues that require in-depth analysis.
Ready for Retirement
Joint and Survivor and Other Monthly Pension Payment Options
Upon retiring from the Teamsters Canadian Pension Plan, you can choose among various payment options that offer different levels of protection to you and to your spouse/beneficiary. With each option, the monthly amounts will be different, but the overall value of the benefit is the same. Understanding your monthly pension payment options prior to retirement is key: once the monthly payments commence, changes cannot be made.
The various payment options are described below to assist you in your choice.
Life Only Pension
This pension is payable monthly for as long as you live with the last payment being made in the month of your death.
Joint and Survivor Pension
This pension is payable monthly for as long as you live. After your death, if your Spouse is still living, pension payments of a percentage of the amount you were receiving will continue for your Spouse’s remaining lifetime. Joint and Survivor options, such as 50%, 60%, 75% and 100%, may be offered. Since the overall value of your pension under all options are the same, the higher the percentage to be attributed to your spouse’s lifetime amount, the lower the monthly amount will be for your lifetime. In addition, the difference in age between you and your spouse will have an impact on the amount you receive (e.g. if your spouse is younger this will lower your monthly amount as they are expected to live longer).
For example, you have elected a Joint and Survivor 60% option and your monthly pension is $1,000 for your lifetime. Should your spouse outlive you, your spouse will receive $600 (i.e. $1000 x 60%) per month for their remaining lifetime.
Under a Joint and Survivor 100% option you may receive something like $950 per month for your lifetime and $950 (i.e. $950 x 100%) per month payable after your death for your spouse’s lifetime.
If you have a spouse at your date of retirement, you will be required to elect a Joint and Survivor 60% (or higher) pension option, unless your spouse waives their right and allows you to choose from any of the other options provided.
Life Pension with a Guaranteed Period
This pension is payable monthly for as long as you live. If you die before receiving the guaranteed monthly payments, pension payments in the same amount as you were receiving will continue to be paid to your beneficiary for the balance of the guaranteed months, or a one-time lump sum amount equal in value to the remaining guaranteed payments will be paid to your beneficiary or estate. Guaranteed Periods of 5, 10, or 15 years may be offered. The more years that payments are guaranteed, the lower the monthly amount will be.
For example, you have elected a Life Pension with a 5 Year (60 Month) Guarantee Period and your monthly pension is $1,000 for your lifetime. Should you die before the 60th monthly payment has been made, your beneficiary will receive $1,000 per month until the 5th anniversary of your retirement. Alternatively, your beneficiary or estate could receive a one-time lump sum amount equal in value to the remaining guaranteed payments.
Under a 10 Year Guaranteed Period option you may receive something like $980 per month for your lifetime. This pension is guaranteed for 10 years (120 months).
The overall expected value of the pension options will be the same, no matter what option you elect. Your personal situation will help you determine which option might be more suitable for you.
Deciding when to retire is a personal and important decision, so we encourage you to seek financial advice. And as always, the Divisional Administrator is here to help explain your options.
- Ready for Retirement (Video)
- Joint & Survivor and Other Monthly Pension Payment Options
- Evaluating the Health of the Plan (Video)
- Choosing your Retirement Age
- Investments (Video)
- 5 Reasons Why Your Plan Provides More Than an RRSP
- Employment Changes (Video)
- You Asked (FAQ)
- Part 5: Replacement Ratio
- Financial Position of the Plan (Video)
The TCPP is the pension plan that works.
Improve your retirement income and make every one of your hard-earned dollars count.
Get information about the Teamsters Canadian Pension Plan and other retirement related information