Important update to private-sector pension plans
Solvency Funding Relief for Private-Sector Pension Plans Extended - 2016 Measures
On June 3, 2016, Ontario Regulation 161/16 made under the Pension Benefits Act was filed. It comes into force on July 1, 2016. The regulation provides an extension of the temporary solvency relief measures for private sector pension plans enacted by the government in 2009 and in 2012.
This extension applies to the first valuation report filed with a valuation date on or after December 31, 2015 and before December 31, 2018. The measures include:
- consolidation of existing solvency special payments into a new five year schedule; and,
- extension of the solvency special payment to a maximum of 10 years for new solvency deficiencies determined in the report, subject to the consent of the plan members.
For more information consult Solvency Funding Relief Measures posted by FSCO.