Information Bulletin - January 2010

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SUPPLEMENTARY RETIREMENT BENEFITS (SRB) - PART III OF THE CANADIAN FORCES SUPERANNUATION ACT (CFSA)

1. Part III of the CFSA provides for increases to annuities and annual allowances payable under the CFSA to:

  1. all widows and children in receipt of an annual allowance, regardless of age;
  2. annuitants who are under 60 years of age and were released from the Canadian Forces due to disability;

    (Note: Those annuitants who were released under Item 3(b), qualify for the increase only if they were released on or after 1 April 1991. Those released prior to 1 April 1991 are not automatically entitled to the increase and must qualify under paragraph 1(c) or 1(d) below.)
  3. persons who are under 60 years of age and since retirement have become disabled to the extent that they are incapable of regularly pursuing any substantially gainful occupation;
  4. persons whose number of complete years of pensionable service when added to their age totals 85 commencing at:
    1. age 55, if pension is based on 30 or more years of pensionable service,
    2. age 56, if pension is based on not less than 29 years of pensionable service,
    3. age 57, if pension is based on not less than 28 years of pensionable service,
    4. age 58, if pension is based on not less than 27 years of pensionable service,
    5. age 59, if pension is based on not less than 26 years of pensionable service,
    6. age 60, if pension is based on less than 26 full years of pensionable service.

2. Except for persons who qualify under 1(c) above, or who are eligible under 1(d) above on the date of retirement, escalation of annuities and pensions takes place automatically effective the first day of the month in which they become eligible.

3. Annuities and pensions of persons eligible under 1(d) above on date of retirement will be escalated automatically on 1 January of the year immediately following the year of release.

4. Pensioners who consider themselves to qualify under paragraph 1(c) above, may request consideration of their situation by writing to National Defence Headquarters, Ottawa, Ontario, K1A 0K2, Attention: Directorate of Canadian Forces Pensions Services (5).

5. For those persons who became entitled to an annuity or pension before 22 June 1982, the following table illustrates the gross percentage increase to annuities or pensions applicable at 1 January 2009. For those persons who became entitled to an annuity or pension on or after 22 June 1982, please refer to paragraph 7 below.

Note: Indexing factor is shown in parentheses for retirement year 1982 onward.

Year of Retirement Total % Increase
As of 1 Jan. 2010
Year of Retirement Total % Increase
As of 1 Jan. 2010
Year of Retirement Total % Increase
As of 1 Jan. 2010
1977 249.9 1988 68.3 (4.1) 1999 25.4 (1.5)
1978 226.4 1989 61.7 (4.7) 2000 23.6 (2.5)
1979 199.1 1990 54.5 (4.8) 2001 20.5 (3.0)
1980 174.7 1991 47.4 (5.8) 2002 17.0 (1.6)
1981 150.4 1992 39.3 (2.1) 2003 15.2 (3.3)
1982 123.2 (6.5) 1993 36.4 (1.9) 2004 11.5 (1.7)
1983 109.6 (5.5) 1994 33.9 (0.6) 2005 9.6 (2.2)
1984 98.6 (4.6) 1995 33.1 (1.6) 2006 7.3 (2.3)
1985 89.9 (3.9) 1996 31.0 (1.6) 2007 4.9 (1.8)
1986 82.8 (4.1) 1997 28.9 (1.9) 2008 3.0 (2.5)
1987 75.6 (4.3) 1998 26.5 (0.9) 2009 0.5 (0.5)

6. On 22 June 1982, Part III of the CFSA was amended to provide for the pro-rating of the first cost of living increase authorized following termination of a member’s service, where an immediate annuity or survivors benefit is awarded.

7. The first indexing adjustment authorized in respect of those persons who became entitled to a benefit after 21 June 1982, will be pro-rated to reflect the number of full months remaining in the year after the month in which the first annuity payment commenced. For example, if entitled to indexing on 1 January 2009 and released 25 June 1982, the amount of indexing applicable with respect to 1982 would be 6/12ths of 6.5 per cent (indexing factor) and the balance of indexing applicable would be based on the retirement year of 1983, 108.5 per cent.

Note: SRB increases to CFSA annuities and DSPCA pensions are based on the average increase to the Consumer Price Index for the twelve month period ending 30 September each year. The increase established 30 September is payable effective 1 January of the following year to those eligible.

General Pension Inquiries
National Defence Headquarters
Directorate of Canadian Forces
Pensions Services
Toll Free 1-800-267-0325
Local Calls 996-7980

Cheque/Deduction Inquiries/Change of Address
Public Works and Government Services Canada
Toll Free 1-800-267-0350
Local Calls 952-9933

DND-Fed-Comp-01/10-01