Acts and Regulations

91-195 - General

Section 31
Disposition versions

Full text
Revaluation of contributions and pension benefit
31(1)If the commuted value of the benefit of a member or a former member referred to in subsection 29(1) is divided under section 44 of the Act, the contributions and money referred to in subsection 29(1) shall be revalued in accordance with subsections (2) and (3) on the date on which the spouse’s portion or the common-law partner’s portion
(a) if the spouse or common-law partner is a member of the same plan, is credited to the spouse or common-law partner under the pension plan, or
(b) if the spouse or common-law partner is not a member of the same plan, is transferred or used for a purchase under section 36 or 44 of the Act.
31(2)Employer contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
E = e - (r × s)
where
E =
revalued employer contributions;
 
e =
total of employer contributions, including any surplus money allocated to those contributions, before division on the breakdown of a marriage or common-law partnership;
 
r =
the proportion that employer contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on the breakdown of the marriage or common-law partnership; and
 
s =
the spouse’s portion or the common-law partner’s portion.
31(3)A member’s or former member’s contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
M = m - (r × s)
where
M =
revalued member’s or former member’s contributions;
 
m =
total of the member’s or former member’s contributions, including any surplus money allocated to those contributions, before division on the breakdown of a marriage or common-law partnership;
 
r =
the proportion that the member’s or former member’s contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on the breakdown of the marriage or common-law partnership; and
 
s =
the spouse’s portion or the common-law partner’s portion.
31(4)If the contributions with interest made by a member who would not be entitled to a deferred pension under a pension plan are divided under section 44 of the Act, the member’s contributions with interest shall be revalued by deducting from them the spouse’s portion as of the date on which the spouse’s portion or the common-law partner’s portion as of the date on which the common-law partner’s portion
(a) if the spouse or common-law partner is a member of the same plan, is credited to the spouse or common-law partner under the plan, or
(b) if the spouse or common-law partner is not a member of the same plan,
(i) is transferred or used for a purchase under section 36 or 44 of the Act, or
(ii) is paid out in cash to the spouse or common-law partner.
31(5)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act, the pension or deferred pension to which the member is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member would have been entitled at that time had the division not been made, less the portion of the deferred pension to which the member’s spouse or common-law partner is entitled on the date of the breakdown of the marriage or common-law partnership, including any escalated adjustment, between the date of the breakdown of the marriage or common-law partnership and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of the breakdown of the marriage or common-law partnership.
31(6)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act and the member’s spouse or common-law partner is a member of the same plan, the pension or deferred pension to which the member’s spouse or common-law partner is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member’s spouse or common-law partner would have been entitled at that time had the division not been made, plus the portion of the deferred pension to which the member’s spouse or common-law partner is entitled on the date of the breakdown of the marriage or common-law partnership, including any escalated adjustment, between the date of the breakdown of the marriage or common-law partnership and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of the breakdown of the marriage or common-law partnership.
31(6.1)A revaluation under subsection (5) or (6) shall be done based upon the normal form of the pension as defined by the pension plan, before any actuarial adjustments are made for retirement before the normal retirement date under the pension plan or for receipt of the pension in any form different from the normal form.
31(7)Subsections 19(4) and (5) apply with the necessary modifications to a member’s pension benefit after it has been revalued under subsection (5) or (6).
31(8)If the commuted value of the pension or deferred pension of a former member under a defined benefit plan referred to in subsection 29(3) is divided under section 44 of the Act, the pension or deferred pension to which the former member is entitled shall be revalued
(a) if the survivor benefits under the plan are not dependent on the former member’s having a spouse or common-law partner, by deducting the amount of the pension or deferred pension to which the former member’s spouse or common-law partner is entitled from the amount of the pension or deferred pension to which the former member was entitled before the division, or
(b) if the survivor benefits under the plan are dependent on the former member’s having a spouse or common-law partner, by multiplying the amount determined under paragraph (a) by an annuity factor including survivor benefits and by dividing it by an annuity factor that excludes survivor benefits, where both annuity factors are based on the same actuarial and economic assumptions used to determine the commuted value of the pension or deferred pension under subsection 29(3).
31(9)If the commuted value of a benefit described in subsection 29(2) or (3) of a member or a former member is divided under section 44 of the Act, the contributions with interest made by the member or former member shall be revalued as of the date of the termination of employment, retirement or cessation of membership of the member or former member by deducting from them an amount calculated in accordance with subsection (10) as of the date of the breakdown of the marriage or common-law partnership.
31(10)The amount to be deducted in a revaluation under subsection (9) shall be calculated using the following formula:
A
=
a
 × m × p
b
where
A =
amount to be used in revaluation;
 
a =
the number of years, including parts of a year, included in “b” that were credited to the member or former member in the period between the date of marriage and the date of marriage breakdown, inclusive, or between the date of common-law partnership and the date of the breakdown of the common-law partnership, inclusive, including past service credited to the member or former member during that period;
 
b =
the total number of years, including parts of a year, of employment credited to the member or former member under the pension plan for which benefits were earned by the member or former member, including past service;
 
m =
the total contributions with interest made by the member or former member; and
 
p =
the proportion that the spouse’s portion or the common-law partner’s portion bears to the portion of the commuted value of the benefit computed under section 28.
31(11)Despite any provision of the Act or this Regulation, if pension benefits have been paid to a former member or his or her beneficiary after the breakdown of the marriage or common-law partnership but before revaluation in accordance with subsection (5) or (8), the pension fund shall not be liable to the former member’s spouse or common-law partner for the spouse’s portion or the common-law partner’s portion of the benefits paid between the breakdown of the marriage or common-law partnership and revaluation.
31(12)If pension benefits have been paid in the circumstances set out in subsection (11), a domestic contract or a decree, order or judgment of a competent tribunal may direct the administrator of a pension plan to deduct from any future benefit payments to the former member or his or her beneficiary an amount equivalent to the spouse’s portion or the common-law partner’s portion, as the case may be, of the benefits so paid and to pay that amount to the former member’s spouse or common-law partner, subject to the provisions of the Income Tax Act (Canada).
94-78; 2003-87; 2011-60
Revaluation of contributions and pension benefit
31(1)If the commuted value of the benefit of a member or a former member referred to in subsection 29(1) is divided under section 44 of the Act, the contributions and money referred to in subsection 29(1) shall be revalued in accordance with subsections (2) and (3) on the date on which the spouse’s portion or the common-law partner’s portion
(a) if the spouse or common-law partner is a member of the same plan, is credited to the spouse or common-law partner under the pension plan, or
(b) if the spouse or common-law partner is not a member of the same plan, is transferred or used for a purchase under section 36 or 44 of the Act.
31(2)Employer contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
E = e - (r × s)
where
E =
revalued employer contributions;
 
e =
total of employer contributions, including any surplus money allocated to those contributions, before division on the breakdown of a marriage or common-law partnership;
 
r =
the proportion that employer contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on the breakdown of the marriage or common-law partnership; and
 
s =
the spouse’s portion or the common-law partner’s portion.
31(3)A member’s or former member’s contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
M = m - (r × s)
where
M =
revalued member’s or former member’s contributions;
 
m =
total of the member’s or former member’s contributions, including any surplus money allocated to those contributions, before division on the breakdown of a marriage or common-law partnership;
 
r =
the proportion that the member’s or former member’s contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on the breakdown of the marriage or common-law partnership; and
 
s =
the spouse’s portion or the common-law partner’s portion.
31(4)If the contributions with interest made by a member who would not be entitled to a deferred pension under a pension plan are divided under section 44 of the Act, the member’s contributions with interest shall be revalued by deducting from them the spouse’s portion as of the date on which the spouse’s portion or the common-law partner’s portion as of the date on which the common-law partner’s portion
(a) if the spouse or common-law partner is a member of the same plan, is credited to the spouse or common-law partner under the plan, or
(b) if the spouse or common-law partner is not a member of the same plan,
(i) is transferred or used for a purchase under section 36 or 44 of the Act, or
(ii) is paid out in cash to the spouse or common-law partner.
31(5)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act, the pension or deferred pension to which the member is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member would have been entitled at that time had the division not been made, less the portion of the deferred pension to which the member’s spouse or common-law partner is entitled on the date of the breakdown of the marriage or common-law partnership, including any escalated adjustment, between the date of the breakdown of the marriage or common-law partnership and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of the breakdown of the marriage or common-law partnership.
31(6)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act and the member’s spouse or common-law partner is a member of the same plan, the pension or deferred pension to which the member’s spouse or common-law partner is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member’s spouse or common-law partner would have been entitled at that time had the division not been made, plus the portion of the deferred pension to which the member’s spouse or common-law partner is entitled on the date of the breakdown of the marriage or common-law partnership, including any escalated adjustment, between the date of the breakdown of the marriage or common-law partnership and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of the breakdown of the marriage or common-law partnership.
31(6.1)A revaluation under subsection (5) or (6) shall be done based upon the normal form of the pension as defined by the pension plan, before any actuarial adjustments are made for retirement before the normal retirement date under the pension plan or for receipt of the pension in any form different from the normal form.
31(7)Subsections 19(4) and (5) apply with the necessary modifications to a member’s pension benefit after it has been revalued under subsection (5) or (6).
31(8)If the commuted value of the pension or deferred pension of a former member under a defined benefit plan referred to in subsection 29(3) is divided under section 44 of the Act, the pension or deferred pension to which the former member is entitled shall be revalued
(a) if the survivor benefits under the plan are not dependent on the former member’s having a spouse or common-law partner, by deducting the amount of the pension or deferred pension to which the former member’s spouse or common-law partner is entitled from the amount of the pension or deferred pension to which the former member was entitled before the division, or
(b) if the survivor benefits under the plan are dependent on the former member’s having a spouse or common-law partner, by multiplying the amount determined under paragraph (a) by an annuity factor including survivor benefits and by dividing it by an annuity factor that excludes survivor benefits, where both annuity factors are based on the same actuarial and economic assumptions used to determine the commuted value of the pension or deferred pension under subsection 29(3).
31(9)If the commuted value of a benefit described in subsection 29(2) or (3) of a member or a former member is divided under section 44 of the Act, the contributions with interest made by the member or former member shall be revalued as of the date of the termination of employment, retirement or cessation of membership of the member or former member by deducting from them an amount calculated in accordance with subsection (10) as of the date of the breakdown of the marriage or common-law partnership.
31(10)The amount to be deducted in a revaluation under subsection (9) shall be calculated using the following formula:
A
=
a
 × m × p
b
where
A =
amount to be used in revaluation;
 
a =
the number of years, including parts of a year, included in “b” that were credited to the member or former member in the period between the date of marriage and the date of marriage breakdown, inclusive, or between the date of common-law partnership and the date of the breakdown of the common-law partnership, inclusive, including past service credited to the member or former member during that period;
 
b =
the total number of years, including parts of a year, of employment credited to the member or former member under the pension plan for which benefits were earned by the member or former member, including past service;
 
m =
the total contributions with interest made by the member or former member; and
 
p =
the proportion that the spouse’s portion or the common-law partner’s portion bears to the portion of the commuted value of the benefit computed under section 28.
31(11)Despite any provision of the Act or this Regulation, if pension benefits have been paid to a former member or his or her beneficiary after the breakdown of the marriage or common-law partnership but before revaluation in accordance with subsection (5) or (8), the pension fund shall not be liable to the former member’s spouse or common-law partner for the spouse’s portion or the common-law partner’s portion of the benefits paid between the breakdown of the marriage or common-law partnership and revaluation.
31(12)If pension benefits have been paid in the circumstances set out in subsection (11), a domestic contract or a decree, order or judgment of a competent tribunal may direct the administrator of a pension plan to deduct from any future benefit payments to the former member or his or her beneficiary an amount equivalent to the spouse’s portion or the common-law partner’s portion, as the case may be, of the benefits so paid and to pay that amount to the former member’s spouse or common-law partner, subject to the provisions of the Income Tax Act (Canada).
94-78; 2003-87; 2011-60
Revaluation of contributions and pension benefit
31(1)If the commuted value of the benefit of a member or a former member referred to in subsection 29(1) is divided under section 44 of the Act, the contributions and money referred to in subsection 29(1) shall be revalued in accordance with subsections (2) and (3) on the date on which the spouse’s portion
(a) if the spouse is a member of the same plan, is credited to the spouse under the pension plan, or
(b) if the spouse is not a member of the same plan, is transferred or used for a purchase under section 36 or 44 of the Act.
31(2)Employer contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
E = e - (r × s)
where
E =
revalued employer contributions;
 
e =
total of employer contributions, including any surplus money allocated to those contributions, before division on marriage breakdown;
 
r =
the proportion that employer contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on marriage breakdown; and
 
s =
the spouse’s portion.
31(3)A member’s or former member’s contributions referred to in subsection 29(1) shall be revalued under subsection (1) using the following formula:
M = m - (r × s)
where
M =
revalued member’s or former member’s contributions;
 
m =
total of the member’s or former member’s contributions, including any surplus money allocated to those contributions, before division on marriage breakdown;
 
r =
the proportion that the member’s or former member’s contributions, excluding any surplus money allocated to those contributions, bear to the total of all contributions referred to in paragraph 29(1)(a) before division on marriage breakdown; and
 
s =
the spouse’s portion.
31(4)If the contributions with interest made by a member who would not be entitled to a deferred pension under a pension plan are divided under section 44 of the Act, the member’s contributions with interest shall be revalued by deducting from them the spouse’s portion as of the date on which the spouse’s portion
(a) if the spouse is a member of the same plan, is credited to the spouse under the plan, or
(b) if the spouse is not a member of the same plan,
(i) is transferred or used for a purchase under section 36 or 44 of the Act, or
(ii) is paid out in cash to the spouse.
31(5)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act, the pension or deferred pension to which the member is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member would have been entitled at that time had the division not been made, less the portion of the deferred pension to which the member’s spouse is entitled on the date of marriage breakdown, including any escalated adjustment, between the date of marriage breakdown and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of marriage breakdown.
31(6)If the commuted value of the benefit of a member under a defined benefit plan referred to in subsection 29(2) is divided under section 44 of the Act and the member’s spouse is a member of the same plan, the pension or deferred pension to which the member’s spouse is entitled on termination of employment, on retirement or on cessation of membership shall be revalued so that it represents the pension or deferred pension to which the member’s spouse would have been entitled at that time had the division not been made, plus the portion of the deferred pension to which the member’s spouse is entitled on the date of marriage breakdown, including any escalated adjustment, between the date of marriage breakdown and the date of termination of employment, retirement or cessation of membership, calculated in accordance with the formula provided under the plan on the date of marriage breakdown.
31(6.1)A revaluation under subsection (5) or (6) shall be done based upon the normal form of the pension as defined by the pension plan, before any actuarial adjustments are made for retirement before the normal retirement date under the pension plan or for receipt of the pension in any form different from the normal form.
31(7)Subsections 19(4) and (5) apply with the necessary modifications to a member’s pension benefit after it has been revalued under subsection (5) or (6).
31(8)If the commuted value of the pension or deferred pension of a former member under a defined benefit plan referred to in subsection 29(3) is divided under section 44 of the Act, the pension or deferred pension to which the former member is entitled shall be revalued
(a) if the survivor benefits under the plan are not dependent on the former member’s having a spouse, by deducting the amount of the pension or deferred pension to which the former member’s spouse is entitled from the amount of the pension or deferred pension to which the former member was entitled before the division, or
(b) if the survivor benefits under the plan are dependent on the former member’s having a spouse, by multiplying the amount determined under paragraph (a) by an annuity factor including survivor benefits and by dividing it by an annuity factor that excludes survivor benefits, where both annuity factors are based on the same actuarial and economic assumptions used to determine the commuted value of the pension or deferred pension under subsection 29(3).
31(9)If the commuted value of a benefit described in subsection 29(2) or (3) of a member or a former member is divided under section 44 of the Act, the contributions with interest made by the member or former member shall be revalued as of the date of the termination of employment, retirement or cessation of membership of the member or former member by deducting from them an amount calculated in accordance with subsection (10) as of the date of marriage breakdown.
31(10)The amount to be deducted in a revaluation under subsection (9) shall be calculated using the following formula:
A
=
a
 × m × p
b
where
A =
amount to be used in revaluation;
 
a =
the number of years, including parts of a year, included in “b” that were credited to the member or former member in the period between the date of marriage and the date of marriage breakdown, inclusive, including past service credited to the member or former member during that period;
 
b =
the total number of years, including parts of a year, of employment credited to the member or former member under the pension plan for which benefits were earned by the member or former member, including past service;
 
m =
the total contributions with interest made by the member or former member; and
 
p =
the proportion that the spouse’s portion bears to the portion of the commuted value of the benefit computed under section 28.
31(11)Notwithstanding any provision of the Act or this Regulation, if pension benefits have been paid to a former member or his or her beneficiary after marriage breakdown but before revaluation in accordance with subsection (5) or (8), the pension fund shall not be liable to the former member’s spouse for the spouse’s portion of the benefits paid between marriage breakdown and revaluation.
31(12)If pension benefits have been paid in the circumstances set out in subsection (11), a marriage contract, separation agreement or court order may direct the administrator of a pension plan to deduct from any future benefit payments to the former member or his or her beneficiary an amount equivalent to the spouse’s portion of the benefits so paid and to pay that amount to the former member’s spouse, subject to the provisions of the Income Tax Act (Canada).
94-78; 2003-87