If you are an employee aged 50 or over and have contributed to the Québec Pension Plan for at least one year, phased retirement could be an excellent option for you. Phased retirement allows you to:
Make a smooth transition from work to retirement
Continue earning work income while receiving pension income
Remain active while putting your expertise to use
Given the labour shortage, your employer may encourage you to phase your retirement. Depending on your age, you will be entitled to one or more of the phased retirement measures provided by the Quebec Pension Plan as well as to your pension benefits.
You can request to redeem your Fonds de solidarité FTQ shares as soon as you begin your phased retirement. The amount eligible for redemption will be the lesser of the following:
the salary loss for the year
the balance in the account divided by the number of years to full retirement
Example: As a result of taking a phased retirement, your salary decreases by $20,000. You are eligible to redeem $40,000 of shares and you have four years remaining to full retirement. The amount eligible for redemption will be $10,000.
Practical information on phased retirement: