Whether it’s to redeem pension credits for years of past service or to improve a pension plan, the offer you have received must be unique and time-limited. If the offer you received qualifies you to transfer your RRSP+, you must first liquidate any investments you hold elsewhere.
Requirements:
The shareholder must have received a single, time-limited offer to improve pension plan benefits if the offer was not already mentioned in the plan
ORmust have received a single, time-limited offer to improve pension plan benefits, in the following circumstances:
- enrollment in a new employer plan
- job change
- change in employment status
must show that the proceeds of the purchase will be used to acquire pension credits for years of past service
ANDmust have used up all redeemable investments (including RRSPs and LIRAs) to improve pension plan benefits, the purchase of the shares being the last resort.
Documents required:
The Fonds de solidarité FTQ form
ANDa copy of the redemption offer for years of past service
ANDproof of acceptance by the pension plan administrator
ANDproof that all redeemable investments have been transferred in the pension plan or that they are not transferable.
Eligible shares:
Except for the exception mentioned below, the minimum holding period of 730 days, provided in the Act, for the application of redemption criteria relating to retirement, phased retirement and shareholders who have reached 65 years of age Fonds de solidarité FTQ share redemptions will be gradually extended as follows:
Date of redemption | Before June 1, 2027 | Between June 1, 2027, and May 31, 2029 | Between June 1, 2029, and May 31, 2031 | After May 31, 2031 |
---|---|---|---|---|
Minimum holding period | 2 years | 3 years | 4 years | 5 years |
Exception : Shareholders who are or will turn, during a year, 71 years of age may redeem their Shares without a minimum holding period.
Subsequent share acquisition:
At any time.
Disbursement terms and conditions:
This criterion can only be invoked once by the shareholder. The cheque is issued to the pension fund and direct transfer to the pension plans is permitted. Total authorizations under this criterion cannot exceed 10% of the annual limit set for the Fonds de solidarité FTQ by the Québec Taxation Act.