A deferred annuity becomes payable when the contributor reaches age 60. Contributors who are entitled to a deferred annuity may request payment of an annual allowance at any time between ages 50 and 60, when they leave the Public Service. An annual allowance is a reduced pension benefit payable as early as age 50 to contributors who retire with at least 2 years of pensionable service and are not eligible for an immediate annuity. An annual allowance is a pension that is reduced to take into account the early payment of benefits. You will no longer be entitled to a return of contributions and other pension options will become available to you.
Integration affects both contributions and benefits.
If you are re-employed in a position that does not require you to contribute to the Public Service Pension Plan, you can receive both your pension and also the salary of your new position. Re-employment as a contributor will also affect the indexing on your former entitlement. When you cease to be employed again, your indexing benefit will be based on the amount of your basic pension at that time. Your retirement date for determining the annual percentage increase will be the most recent retirement date. If you are contemplating employment in a contributory position, you should consider carefully how this would affect your total pension benefits.