How The Pbgf Is Funded
The PBGF is funded by certain employers who sponsor defined benefit pension plans and qualify for this coverage. They are responsible for making yearly payments into the PBGF, based on the pension plans financial status and the number of Ontario plan beneficiaries who are part of the pension plan.
It is important to know that the PBGF does not cover:
The Grb Platform System
The GRB Platform provides you with information about retirement and your benefits. It offers a self-service tool that allows you to view a personalized statement of your benefits and it has a retirement calculator that you may use to perform what-if scenarios. It also provides access to a comprehensive reference library and informational seminars on topics related to benefits, retirement, and financial planning.
New GRB Platform users must complete a one-time registration processes before access is granted. Watch this video for a brief introduction to the GRB Platform and instructions on how to create your account.
Administration Of The Plan
The Ontario Retirement Pension Plan Administration Corporation will begin contacting Ontario employers in early 2016 toverify their existing pension plans and assess the coverage offeredto employees.
Footnotes
1 Ontario Bill 56, Ontario Retirement Pension Plan Act,received Royal Assent on May 5, 2015.
2 As part of its federal election platform, the Liberalshad noted that the government intended to work with the provincesto “enhance” the CPP.
3 Such that benefits equal or exceed the benefits beingoffered under the ORPP.
The content of this article is intended to provide a generalguide to the subject matter. Specialist advice should be soughtabout your specific circumstances.
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Divorce And Pension Valuation
Today, divorces frequently require the distribution of retirement and/or survivor benefits to an employees former spouse. Both Federal and State laws can apply in these matters. Determining an equitable distribution of benefits between the parties to a divorce and drafting a “qualified court order” that will meet OPMs requirements and accomplish exactly what is intended by the “order” or property settlement agreement generally requires the assistance of an expert.
GRB can provide assistance to employees, spouses of employees, and attorneys with respect to the valuation and division of pension benefits in divorce cases, including testifying in court as a qualified expert witness.
Phase In Of Contribution Rate By Type Of Employer
Benefits will be indexed to increases in wages and the cost ofliving, and will start to be paid in 2022. Benefits will generallystart at age 65 however, similar to the CPP, individuals will havethe option to receive adjusted retirement income as early as 60 oras late as 70.
Note: The ORPP cannot cover self-employed workers because thefederal Income Tax Act does not allow self-employed people toparticipate in a registered pension plan. Ontario has asked thefederal government to consider changing the Act to allowself-employed workers to join the ORPP.
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Va Updates Rfi For Grb Full Platform Now National Recruitments Solution
This RFI amendment has been created to change the title from GRB retirement to National Recruitments Solution only.
Posted March 4, 2022
Notice ID: 36C77622Q0203
Scope: The Contractor shall provide a Retirement and Benefits production software and training/test environment with an integrated suite of web-based software modules specifically for the Federal security, which combines tools and capabilities for human resource specialists, managers, and employees into a common system. The Software must contain a flexible, bi-directional interface to communities with VAs payroll/human resource information system , third-party providers, and any outside parties with secure electronic file transfer protocols for electronic file to export and log transactions as necessary. The Software must be certified and/or accredited under FIPS 199 and NIST 800-60. The Software shall provide HR Specialists with a suite of tools for assisting employees with their retirement decisions which increases productivity and lowers cost by providing a single framework for organizing and managing high-volume caseloads.
The Software must be capable of using Personally Identifiable Information , which will be provided through the DFAS payroll system and VA HR Smart system employee information. DFAS serves as the data collection for the employment and compensation data. The Software must be capable of electronically submitting retirement packages to the DFAS office.
Government Retirement And Benefits Inc
Since 1986, Government Retirement & Benefits, Inc. has been helping Federal agencies administer their retirement and benefits programs through IT solutions, direct support services, and educational programs. GRB is a visionary leader with a long-term investment in innovative and enterprise solutions for the world of Federal retirement and benefits.
Services:
GRB Shared Services GRB Shared Services is a combination of the GRB Platform and HR services offered on a subscription basis for unlimited use. GRB Shared Services is a solution specifically developed for the Federal sector. As an approved provider of the Retirement and Benefits Management core function of the HR Line of Business , GRBs shared services include full retirement counseling and processing as well as complete benefits administration. System applications include comprehensive employee self-service tools for retirement and benefits information and related transactions.
Personal Reitrement Counceling GRB provides one-on-one counseling to federal employees who are looking for support in understanding their federal benefits and guidance when making important decisions about their future. GRB provides retirement counseling for Federal employees who are planning to retire or separate from Government service, or who require assistance in deciding between CSRS and FERS retirement coverage.
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How To Run A Retirement Estimate Using Grb Platform
1. . Click on the Retirement Thumbnail to open the Retirement Landing Page.
2. The retirement Landing Page is broken into 5 sections:
3. Current Information: The information displayed in this section is what the system will use to calculate your estimate.
- The Retirement SCD is used to determine how much creditable service you have toward meeting the retirement eligibility requirement. The rules for calculating Retirement SCDs and Leave SCDs differ, so they may not match. The SCDs can vary based on different types of service, such as:
- Military service
- Redeposit Service: Civilian Service in which you received a refund of your retirement contributions
- Deposit Service: Civilian Service in which you never contributed to the retirement fund
- The estimated High-3 Salary in current information is not an actual high-3 calculation. It is an estimate based on 96% of your current salary. It will not capture prior periods of higher salary, if applicable however, there is a tool for you to calculate a more accurate high-3 average salary.
- Once you have confirmed the Current Information is correct, you are ready to begin running an estimate.
- If you believe your information is incorrect, please review the Retirement Calculator FAQ and the Limitations of the Retirement Calculator links for important explanations. After reviewing those documents, if you still believe there is an error, please email the Retirement Calculator Helpdesk at .
4. Estimated Monthly Retirement Benefits:
The Pension Benefits Guarantee Fund
If you belong to a defined benefit pension plan and your employer becomes insolvent or bankrupt, there may not be enough money in the pension fund to pay all of the pension benefits that were promised to you. The Pension Benefits Guarantee Fund may then apply to guarantee payment of certain benefits from your pension plan.
The PBGF is a special fund that was established by the Government of Ontario to cover pension benefits for certain defined benefit pension plans if they are wound up, because the employer is insolvent and there is a funding shortage.
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Background On The Orpp
The ORPP is a mandatory pension plan for residents of Ontariowho are employees, but who don’t have “comparable”workplace pension plans. A “comparable plan” is definedas a registered pension plan, subject to federal and provincialregulation, that meets the following minimum thresholds:
- provides people with a predictable stream of income inretirement for life
- provides people with security
- requires contributions by employers to ensure fairness
- aims to replace up to 15 percent of a person’spre-retirement income
Workplace defined benefit or defined contribution pension planswill meet the comparability test, provided that certain specificconditions are first met.3 Group Registered RetirementSavings Plans and Deferred Profit Sharing Plans will not beconsidered comparable plans for this purpose.
Employers that offer a registered workplace plan thatdoesn’t meet the above minimum thresholds will have until 2020to decide if they want to adjust their plans or enrol theiremployees in the ORPP.
How Will It Work
The ORPP will be a supplement, and very similar in design, tothe existing CPP. When fully phased in, it will require equalcontributions from employees and employers . This compares to thecurrent CPP regime which requires employer and employeecontributions of 4.95 percent each . The biggestdifference between the ORPP and the CPP is that CPP contributionscurrently max out at an income level of $54,900 , whereasthe ORPP will max out at an income level of $90,000, subject toindexation for inflation.
For both the CPP and ORPP, the basic exemption amount is set at$3,500 .
ORPP contributions will be phased in. For large employers with500 or more employees, contributions will start January 1, 2017,and will be increased each year until 2019. For medium-sizedemployers, contributions will begin January 1, 2018, withcontributions phased in to their maximum by 2020. Small employerswith fewer than 50 workers will start contributing on January 1,2019, with contributions phased in to their maximum by 2021. Othersemployers will start to make contributions on January 1, 2020.These phase-in rules are summarized in the table below.
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