In this Pensions Update
- FSRA is consulting on the proposed Administration of Pension Benefits upon Marriage Breakdown Guidance
- Leading Practices Guidance for Defined Benefit Multi-Employer Pension Plans now available
- Missing Pension Plan Members Data Collection becomes mandatory September 1
- FSRA announces members of Employment-Based Vibrant Pension Pillar Technical Advisory Committee
- DC Wind-up Applications are moving to the Portal
- Reminder: PBA Exemption and Consent Forms for Individual Pension Plans and Designated Plans now available
- Q4 Solvency Report
- Defined Benefit Asset Transfer Webinar – video replay, transcript and Q and As are now available
- FSRA has moved!
- On the horizon
We want to hear from you! FSRA is now consulting on the proposed Administration of Pension Benefits upon Marriage Breakdown Guidance
FSRA is consulting on proposed Interpretation and Approach guidance regarding the processes for the valuation and division of pensions upon marriage breakdown. This guidance is intended to support plan administrators’ compliance with their legal obligations.
FSRA is inviting sector stakeholders and the general public to submit feedback on the proposed guidance. The consultation period is open until May 3, 2021: Consultation 2021-002 - Proposed Guidance on the Administration of Pension Benefits Upon Marriage Breakdown.
For pension members and their spouses, FSRA is releasing a guide that provides a practical overview of the process of valuing and dividing a member’s pension upon marriage breakdown: Pensions and Marriage Breakdown – a Guide for Members and their Spouses.
Please provide your members with quick access to the family law member’s guide by sharing the link on your website.
Leading Practices for DB MEPPs
As of March 2021, more than 1 million Ontarians participate in DB MEPPs. These pension plans provide security and peace of mind to their plan beneficiaries, and families and communities across Ontario.
FSRA recently issued Leading Practices guidance for DB MEPP trustees and their advisors to consider as they evaluate their current practices.
Read more: Defined Benefit Multi-Employer Pension Plans – Leading Practices
Missing pension plan members data collection becomes mandatory September 1, 2021
In August 2020, FSRA began collecting information about missing members on a voluntary basis. FSRA also announced that the data collection would become mandatory in 2021. Effective September 1, 2021, FSRA will require plans to provide missing members data when filing their Annual Information Summary.
The data collection will:
- help us evaluate the effectiveness of the new Guidance documents, Principles and Practices Regarding Missing Members and Waiver of Biennial Statements for Missing Former and Retired Members;
- inform future initiatives; and
- help us understand the number of missing members and their pension entitlements.
The data collection is intended to provide FSRA with the scope of the missing members issue for plans – best estimates and approximate figures are sufficient.
Mockup for missing member questions on the AIR filing profile
Image
Missing member data capture for DEFINED BENEFIT type plans
Are there any missing or unlocatable former members, retired members, spouses or other beneficiaries with entitlements under this plan?
[ ] Yes [ ] No
4If the user clicks 'Yes', then the following table must be completed.
Note: The data is being collected to inform potential future policy development initiatives and FSRA's regulatory focus, and to provide a measure of success to the work effort undertaken by FSRA's Technical Advisory Committee for Missing Members.
All answers should be positive values or zero. Approximate or estimated answers are acceptable.
For the data gathered here, "missing member" means a former member, retired member, spouse or other beneficiary with an entitlement under this plan, who the plan administrator is unable to locate or communicate with, and for whom the administrator reasonably believes it does not have a valid address.
| Number of Missing Members | Total estimated value of benefits ($) | Estimated Average Monthly Pension (per missing member) ($) | |
|---|---|---|---|
| All missing members | $ | $ | |
| Missing DB members over age 100 | $ | $ | |
| Missing DB members at or above earliest retirement age | $ | $ | |
| Missing DB members with “small benefits” | $ | $ | |
| New missing DB members identified this reporting period | $ | $ | |
| Approximate date of this data: | <date entry field> | ||
Missing member data capture for DEFINED CONTRIBUTION type plans
Are there any missing or unlocatable former members, retired members, spouses or other beneficiaries with entitlements under this plan?
[ ] Yes [ ] No
4If the user clicks 'Yes', then the following table must be completed.
Note: The data is being collected to inform potential future policy development initiatives and FSRA's regulatory focus, and to provide a measure of success to the work effort undertaken by FSRA's Technical Advisory Committee for Missing Members.
All answers should be positive values or zero. Approximate or estimated answers are acceptable.
For the data gathered here, "missing member" means a former member, retired member, spouse or other beneficiary with an entitlement under this plan, who the plan administrator is unable to locate or communicate with, and for whom the administrator reasonably believes it does not have a valid address.
| Number of Missing Members | Total estimated value of benefits ($) | Estimated Average Monthly Pension (per missing member) ($) | |
|---|---|---|---|
| All missing members | $ | Not required | |
| Missing DC members over age 100 | $ | Not required | |
| Missing DC members at or above earliest retirement age | $ | Not required | |
| Missing DC members with “small benefits” | $ | Not required | |
| New missing DC members identified this reporting period | $ | Not required | |
| Approximate date of this data: | <date entry field> | ||
Missing member data capture for all COMBINATION benefit type plans
Are there any missing or unlocatable former members, retired members, spouses or other beneficiaries with entitlements under this plan?
[ ] Yes [ ] No
4If the user clicks 'Yes', then the following table must be completed.
Note: The data is being collected to inform potential future policy development initiatives and FSRA's regulatory focus, and to provide a measure of success to the work effort undertaken by FSRA's Technical Advisory Committee for Missing Members.
All answers should be positive values or zero. Approximate or estimated answers are acceptable.
For the data gathered here, "missing member" means a former member, retired member, spouse or other beneficiary with an entitlement under this plan, who the plan administrator is unable to locate or communicate with, and for whom the administrator reasonably believes it does not have a valid address.
|
|
Number of Missing Members
|
Total estimated value of benefits ($)
|
Estimated Average Monthly Pension (per missing member) ($)
|
|---|---|---|---|
| All missing members | $ | $ | |
| Missing DB members over age 100 | $ | $ | |
| Missing DB members at or above earliest retirement age | $ | $ | |
| Missing DB members with “small benefits” | $ | $ | |
| New missing DB members identified this reporting period | $ | $ | |
| Missing DC members over age 100 | $ | Not required | |
| Missing DC members at or above earliest retirement age | $ | Not required | |
| Missing DC members with “small benefits” | $ | Not required | |
| New missing DC members identified this reporting period | $ | Not required | |
| Approximate date of this data: | <date entry field> | ||
Welcome to the new Technical Advisory Committee members for the Employment-Based Vibrant Pension Pillar in Ontario
FSRA is pleased to announce the 13 members of the special-purpose Technical Advisory Committee. The committee members will work together with the public to identify how to support the vibrancy of workplace pensions within the regulatory framework.
The committee will begin its work on May 14, 2021. Visit our website for a listing of Committee members and to read the Terms of Reference: FSRA Announces new TAC members for the Employment-Based Vibrant Pension Pillar in Ontario.
DC Wind-up Applications are moving to the portal starting March 22, 2021
To improve regulatory efficiency, we are pleased to announce that our work to move the DC Wind-up Application process to the Pension Services Portal (PSP) is now complete.
Effective March 22, 2021, all DC Wind-up Applications should be submitted through the PSP. This includes attaching all required documentation.
This system enhancement will streamline the application process, reducing review and approval timelines. Complete and compliant applications will move quickly through the review process. A complete and compliant application is the best way to ensure an expedited approval.
If you have any questions while completing your application on the PSP please contact us at [email protected].
This is the first of many applications that FSRA will be moving to the PSP, better leveraging technology, and improving regulatory effectiveness and efficiency.
Stay tuned for future updates!
Reminder: PBA exemption and consent forms for IPPs and DPs are now available
Employers who wish to exempt their Individual Pension Plans or Designated Plans from the PBA must complete and submit a PBA Exemption Election Form and the applicable consent forms.
IPPs with outstanding FSRA pension assessments are expected to remit payment. FSRA intends to pursue all collections regardless of whether the pension plan is now exempt from the PBA.
See PBA Exemption Election Form and Consent Forms for an Individual Pension Plan or Designated Plan
Q4 Solvency Report
In case you missed it, FSRA’s Q4 solvency report is now available on our website at: Quarter update on Estimated Solvency Funded Status of Defined Benefit Pension Plans in Ontario as at December 31, 2020.
Defined Benefit Asset Transfer webinar
On February 17, 2021, FSRA hosted a webinar on the final Supervisory Approach to Defined Benefit Asset Transfers guidance.
The webinar helped to support the sector's understanding of the guidance. It focused on the purpose of the new guidance, the application and review process and key insights on decisions.
Over 250 attendees participated in the webinar and had the opportunity to ask questions directly to our FSRA team.
The video replay of the Asset Transfer Guidance webinar and the Q&As from the session are now live on our website at: Asset Transfer Webinar.
FSRA has moved!
Please note effective February 1, 2021, FSRA is now located at:
25 Sheppard Avenue West
Suite 100
Toronto, ON M2N 6S6
Please direct all correspondence to this address. If you have any questions, please contact FSRA at:
Tel: 416-250-7250 | 1-800-668-0128
Email at: [email protected]