Just FYI, my financial advisors (two separate ones, one for my spouse and one for me) said the buyback was very Pricey for the capital outlay. I am still on the fence.
Sent from my iPad
On Jul 25, 2022, at 4:13 PM, Suzanne Norman <snorman@sfu.ca> wrote:
There is another buy back period next spring - it should be one year from the time of mail out this year. However, you will have to pay for tthe cost estimate.
From: Erin Barley <ebarley@sfu.ca>
Sent: July 25, 2022 4:09:55 PM
To: Cheryl Prophet; Steve Kates
Cc: Anke Kessler; Oliver Schulte; academic-discussion@sfu.ca
Subject: Re: Transferring Funds from Sunlife DC plan to College DB plan using an app?
Folks,
The buy back rates that we've been given expire in October. My understanding is that it is still possible to buy back years of service after October, but that the costs would likely increase. However, given that markets (and the value in our defined benefit
accounts) are currently down, it could theoretically be beneficial to wait and buy back later.
Can anyone confirm that we could buy back at a later date? Does anyone know who to ask for further details on this?
Erin
From: Cheryl Prophet <cheryl_prophet@sfu.ca>
Sent: Monday, July 25, 2022 3:55 PM
To: Steve Kates
Cc: Cheryl Prophet; Anke Kessler; Oliver Schulte; academic-discussion@sfu.ca
Subject: Re: Transferring Funds from Sunlife DC plan to College DB plan using an app?
Hello Steve,
This is what I learned in my many conversations with my Sun Life advisor and with CPP reps. It has been quite a journey and not at all straight forward.
Before filling out the CPP purchase-service-years forms, I spoke to a CPP rep who confirmed that, yes, you can choose fewer years than the amounts indicated on the form. You can decide how much you want to move out of the Sun Life funds into the
BC CPP. You are under no obligation to move all your Sun Life DCP funds to them. (Although I expect they would love it if you did).
CPP provides an Excel calculator to help you decide how much you want to invest in CPP and how much you will receive in a monthly pension.
I hope this is helpful.
Cheryl
Hello colleagues.
I just spoke to a Sunlife representative and she told me that if we do nothing, SFUs arrangement with Sunlife continues until we retire or leave SFU.
Anke, I was careful to specify our situation but this sounds like different advice than what you received.
Comments?
Also - will the College pension allow us to buy fewer years than what they specify in their communications to us, or do we have to buy exactly the amount they state? Does anyone know?
who would be a good person to talk to at the college pension plan to answer this question?
Thanks. Take care, everyone.
Steve
Hello Anke,
I’m responding to your email regarding buying back partial service years and the issue of what happens with the remaining money in the Sun Life DCP Fund. I received different advice from my Sun Life financial advisor. I was informed that after
purchasing service years, any remaining money in the DCP can remain in this fund until the end of the year in which I turn 71. Then it must be transferred to a LIF or RRIF fund.
I have already done some of this. To explain, my retirement began last fall, before the buy-back details were available. Because I needed some funds while I was waiting for the offer, I moved some of my funds from the DCP into a LIF fund.
I have now completed the process of buying back some service years. I filled out the forms and Sun Life mailed them and issued a cheque to the CPP. There are still funds remaining in my DCP. I now have the option of moving them into a LIF or
RRIF within SunLife, or leaving them where they are until the end of the year in which I turn 71.
I hope this makes sense.
Cheryl Prophet
Hello Oliver
I just talked to a Sun Life agent. He told me that, yes, you can submit the documents through the app. Scan or take a picture.
If there is any issue, they would get back to you.
Everyone - also note: even if you only buyback partial service, you have to take all of the remaining money out of the SFU Pension Plan (your RRSP is unaffected by this rule as far as I know).
Anke
Anke Kessler (she/her)
Professor and Department Chair | Department of Economics
Simon Fraser University | West Mall Complex
8888 University Dr.. Burnaby, B.C. V5A 1S6
http://www.sfu.ca/~akessler/
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Located
on territories of the Tsleil Waututh (səl̓ilw̓ətaʔɬ), Kwikwetlem (kʷikʷəƛ̓əm), Squamish (Sḵwx̱wú7mesh Úxwumixw) and Musqueam (xʷməθkʷəy̓əm) Nations.
Hi all,
as you know we can now buy past years of service by asking Sunlife to transfer funds from our old Defined Contributions Plan to our new BC College Defined Benefit Plan. The College Plan has sent us forms to effect this transfer. I've heard that
instead of filling in paper forms and snail mailing them to Sunlife, it's possible to request the transfer using the Sunlife App.
Has anyone managed to do the transfer using the App?
Regards,
Oliver
P.S. Apropos the pension, I'd like to thank our pension plan trustees for all their hard work towards our community.
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