FAQs for working members

We’re aiming to complete all work related to retroactive salary increases due to Bill 124 and new collective agreements by the summer of 2025, with steady progress starting in the fall of 2024. This will take some time because the high volume of adjustments, on top of our regular service commitments, is unprecedented.

Sign in to your account to check the status of your retroactive salary increase. Read our News story to learn what your status means.

There are several steps and timelines to the Bill 124 payment process, which will impact when your accounts can be updated: 

1. Ministry of Education provides funding to employers 
2. Employers make payments to employees impacted by Bill 124 
3. Employers report required information to us 
4. We process retroactive salary increases and pension recalculations where applicable 

Our contact centre won't have any further information to share with you about retroactive adjustments at this time, so there’s no need to call or email.

No. Whether you’re thinking about retiring this year, or recently submitted your application, we’ve got you covered!

If you worked during the school years affected by Bill 124 and/or new collective agreements, we’ll receive your updated salary information from your employer. Once we receive and process the revised salary information, we’ll update your account. If those years are in your best-five years of salary, they’ll increase the pension you’re eligible to receive when you retire.

To help you plan, read our News story for an example of how we calculate the increase and how you can estimate your increased salary.

Many teachers have long-term income protection (LTIP) agreements with their employers that may provide pensionable coverage during a period of long-term disability (LTD). We calculate the amount of pensionable LTIP salary and credit based on your pre-LTIP salary and credit, which is what you would’ve earned in the school year you started LTIP.  

Started LTIP during Bill 124 period?

If you started receiving LTIP benefits anytime in the 2019-2020, 2020-2021 or 2021-2022 school years, we’ll recalculate the pre-LTIP salary in the year you started LTIP.

Example:

• Started LTIP in 2019-2020 school year
  
• Pre-LTIP salary was $100,000
  • 2019-2020 increase → $100,000 x 0.75% = $100,750

We’ll also be reviewing your pensionable salary outside of the LTIP period to see if there are any applicable retroactive increases from either Bill 124 or due to the new collective agreements. This may take some time as the high volume of adjustments, on top of our regular service commitments, is unprecedented.

Started LTIP in 2022-2023 school year or later?

Your pre-LTIP salary adjustment will only include an increase due to your new collective agreement. Your service prior to the 2022-2023 school year (i.e. before your started LTIP) will include any applicable retroactive salary increases for the Bill 124 period.

What does this mean for me?

Your pensionable salary will increase for the affected school years if you worked or received LTIP in those years. This will increase your pension benefit if it falls within your best-five years' average salary. For years that you were on LTIP, you won’t be required to top-up contributions as a result of the increase(s). For years worked, your employer remits contributions on your behalf.

Not directly impacted by Bill 124 retroactive adjustments?

Bill 124 only directly impacts publicly-funded school boards. You won’t receive the retroactive Bill 124 salary increase if you were employed at a designated private school or designated organization in the affected school years identified above.

Any other pensionable retroactive payments will still be assessed once they’ve been reported. Given the unprecedented volume of the Bill 124 related adjustments, on top of our regular service commitments, these will take additional time to process. 

Our contact centre won't have any further information to share with you about retroactive adjustments at this time, so there’s no need to call or email.

The administration of retroactive salary increases due to Bill 124 and new collective agreements for eligible members involves significant effort, representing more than five times the volume of change we typically process each year. We anticipate changes and challenges along the way while we review and process files for:

• More than 160,000 working members with benefit service within the retroactive period
• More than 22,000 pensions put into pay within the retroactive period

We ask for your patience as we work through them all.

Our contact centre won't have any further information to share with you about retroactive adjustments at this time, so there’s no need to call or email.

In June 2019, the Ontario government introduced Bill 124, Protecting a Sustainable Public Sector for Future Generations Act. This legislation capped salary increases for public sector workers to one per cent a year for three years.

In November 2022, an Ontario court declared the legislation unconstitutional. The government appealed the court’s decision. On February 12, 2024, the Ontario Court of Appeal released a decision on the appeal.   

The government has also been in settlement discussions and binding arbitration with various federations and unions to address salary implications of Bill 124. As plan administrators, we’re not part of the negotiation process.

Our contact centre won't have any further information to share with you about retroactive adjustments at this time, so there’s no need to call or email.

Please read our News stories for updates and keep an eye on this page. We’ll update both pages when we have new information to share with you.

Our contact centre won't have any further information to share with you about retroactive adjustments at this time, so there’s no need to call or email.

2-step verification provides an extra layer of security for your account. To verify your identity, you’ll receive a one-time security code by text message or call. The code helps ensure you’re the only person accessing your pension information.

It’s fast and easy.

Step 1: Sign in with your account number or email address and your password.  

Step 2: Enter your phone number to receive a six-digit code by text message or call. The code will be valid for five minutes.

Simply enter the code on the screen to continue to your account. Make sure your phone is nearby at this step.

Protecting your personal information is important to us. Like many organizations, Ontario Teachers' is using 2-step verification to add an extra layer of security to your account.

Signing in with a second verification step helps ensure you’re the only person accessing your pension information, so you can have greater peace of mind.

No, you can’t sign in to your account without 2-step verification. You won’t have online access to your pension information or our convenient tools and resources.

If you have questions about your pension benefits, you’ll still be able to reach us by phone or email.

You can use a landline to receive your six-digit security code by phone call. When you're asked how you want to receive your code, choose the "call" option.

It's easy to reset your password.

Step 1: When you sign in and are prompted to enter your password, click ‘Forgot password?’.

Step 2: Enter your email address or account number to receive instructions on creating a new password. If you don’t see the email, check your spam or junk folder.

Step 3: In the email, click ‘Reset password’. It'll take you back to our website. 

Step 4: Create a new password, then click ‘Reset password’.

Choose a unique password with at least eight characters, including any three of the following: 

• Uppercase letter
• Lowercase letter
• Number
• Special character

Keep your password confidential and don’t share it with anyone, including family members.

No, we require a unique email address for every account. This added layer of protection helps ensure your personal information is safe and enhances the security of our online services.

Use your personal email since you likely won’t have access to your work email after you change jobs or retire. To update your email address, contact us.

It depends on whether or not the strike or work stoppage is considered legal.

In a legal strike or lockout, your time away from work is pensionable. Your employer will report a loss of salary, but not your absence. This means, you will continue to receive credit. 

This loss of salary affects your future pension only if:

• it occurs within your best five years of salary (these are typically your last five years before retirement), or
• you’re applying for a lump sum benefit from the plan (i.e. terminating from the plan)

What do you need to do?

Nothing. Once you apply for your benefit, we’ll notify your affiliate. They may top up contributions on your behalf. If they don’t, we’ll contact you directly and give you the option to contribute for the loss of salary yourself. You’d pay your contributions and the employer matching contributions, plus interest.

If the work stoppage is not a legal strike or lockout, your time away from work is not pensionable. Your employer will report a loss of salary and credit. There's no opportunity to buy back this credit.

No, you don’t have to wait to apply for your pension. If you’re retiring in June, you can apply for your pension as early as March 1. We’ll calculate your pension based on the information we have on file.

Once an agreement is reached and your employer reports the revised contract information, we’ll recalculate your pension. If the new amount is different than the original amount, we’ll adjust your pension and credit you with the difference, retroactively and with interest, to ensure there’s no adverse effect.

What do you need to do?

Nothing. We'll work directly with your affiliate and your employer.

In a legal strike or lockout, your time away from work is pensionable. Your employer will report a loss of salary, but not your absence. This means you’ll continue to receive credit.

What do you need to do?

Nothing. If a strike day(s) occurs within your best five years of salary, we’ll notify your affiliate. They may top up contributions on your behalf. If they don’t, we’ll contact you directly, and give you the option to contribute for the loss of salary yourself. You’d pay your contributions and the employer matching contributions, plus interest. By doing so, your salary for the strike period remains whole, and there’s no adverse effect on your pension.

If you’re working on contract or on a long-term occasional (LTO) basis, a strike day counts as a work day. 

• In a legal strike, your time away from work is pensionable. Your employer will report a loss of salary, but not your absence. This means, you will continue to receive credit. 

• If it’s not a legal strike, your time away from work is not pensionable. Your employer will report a loss of salary and credit. There's no opportunity to buy back this credit.  
  

If you only work occasionally and aren't guaranteed to work on any particular day, strike days aren't considered a work day.

If you tell us you intend to pay for your leave before the deadline, you won’t need approval from the Canada Revenue Agency (CRA).

We’ll calculate a pension adjustment (PA) for each calendar year of your leave. This will reduce your RRSP contribution room, whether you pay for all, some or none of your leave. If the amount of your PA is greater than your RRSP contribution room, your contribution room will go to zero the following calendar year.

Because the expected improvement to the future value of your pension is greater than the actual cost of your leave.

If you’re like many full-time teachers with a salary of about $85,000 and your leave costs about $10,000, your PA will be about $15,000.

When you’re working and contributing to the plan, the T4 you receive from your employer every year includes a PA.

Once you tell us you plan to pay for your leave (or you make a payment), we’ll send you an additional PA for each calendar year of your leave. We’ll issue this as a T4A within 30 to 60 days.

If you’ve already filed your taxes for the year of your leave, you’ll need to fill out the T1 Adjustment Request form and file it with the CRA.

If you missed the deadline and still want to pay for your leave:

1. Call us at 1-800-668-0105 to tell us you’d like to pay.
2. We’ll prepare what’s called a past service pension adjustment (PSPA) and submit it to the CRA for approval. The CRA will compare the amount of this PSPA to your available RRSP contribution room.

If your RRSP contribution room is greater than the value of your PSPA, they’ll likely approve the PSPA. We’ll send you a letter to let you know.

If your RRSP contribution room is less than the value of your PSPA, they likely won’t approve the PSPA and will send you a letter to let you know. You’ll need to call us so we can talk about your options (make sure to have your letter from the CRA with you when you call). We may need to refund payments you've made for your leave.

If your PSPA is less than your RRSP contribution room:

• You’ll have enough contribution room to pay for your leave.
• The CRA will reduce your contribution room by the size of your PSPA and you can go ahead and pay.

If your PSPA is greater than your RRSP contribution room:

• You may have still some wiggle room. You can generally go over your RRSP contribution room by up to $8,000 before the CRA will deny your PSPA.
• If the CRA doesn’t approve your PSPA and you want to pay for at least a portion of your leave, consult a professional financial advisor to discuss your options.

It depends on how you pay.

Paying in cash (online or by cheque)

When you pay with personal, non-registered funds – whether online or by cheque – you’re eligible for a tax deduction. This deduction can potentially reduce your taxable income.

You’ll receive a tax receipt in February for payments you made in the previous calendar year. You can use the information on this receipt to apply the deduction when you file your taxes. Keep in mind, you can only apply it to the year in which you made your payments.

Your ability to deduct the full cost of your leave will depend on your taxable income in the year you make your payments. If the cost is greater than your taxable income, for example, you won’t be able to deduct the full amount.

If you pay in cash:

• You’ll receive a tax receipt to claim a deduction when you file your taxes.
• You can’t carry forward non-deducted amounts to the following tax year.
• There may be a greater tax benefit by paying in cash once you’ve returned to work and your taxable income is possibly higher.
• It’s a good idea to consult a professional financial advisor about the optimal timing of cash payments.

Paying with RRSPs

When you pay with RRSPs, you’re moving funds from one kind of tax-sheltered retirement plan to another. As a result, you aren’t eligible for the same tax deduction had you paid in cash.

If you pay with RRSPs: 

• There’s no tax deduction.
• You don’t regain RRSP contribution room.
• Your financial institution may charge you administration fees.
• You can’t withdraw the funds from your pension later. Once you transfer RRSP funds, you won’t see them again until you retire.
  

We’re continuing to process retroactive adjustments as we receive payments and information from employers. If you worked during the school years affected by Bill 124 and/or new collective agreements, your statement may not reflect what you’ve accumulated toward your pension to the end of the 2023-2024 school year.

No, we won’t be generating new statements for the 2023-2024 school year. 

The two dates reflect two different scenarios:

• The first date (in the blue box on page 1) reflects the earliest you can start receiving an unreduced pension if you keep working.
• The second date (on page 2) reflects the earliest you can start receiving an unreduced pension if you stopped working after the current school year.

If you’re still eligible to transfer the commuted value (CV) of your pension, visit the Commuted value section of your account to see your estimated value.

Make sure to review these five important things before finalizing your decision. Contact us to discuss your options if you’ve stopped working in education.

When thinking of your pension, it’s important to remember:

• long-term performance counts for pension plans, and
• your pension is part of a defined benefit plan.

Unlike RRSPs or defined contribution plans, pensions paid under a defined benefit plan are based on a formula of service and salary, not on the fund’s value on the day a person retires.

We have rigorous processes in place, shaped by robust governance and risk frameworks, and a team dedicated to serving the needs of our members. We’re confident our strong foundation and long-term investment strategy will see us through periods of uncertainty and change. 

Sign in to your Buyback Centre. Make sure to review the cost, tax implications and deadlines before making any payments.

The annual statement is a snapshot of your pension based on information up to the end of the most recently completed school year. For an up-to-date pension estimate, sign in and create custom scenarios using your pension calculator.

Sign in to your account. Go to your Profile and update your info in the Contact Information and Phone Numbers sections. Make sure to click Save to confirm your changes.

Keeping your address, email and phone number up to date ensures you’ll always receive info and updates about your pension.

Do we have your current personal email and phone number on file? You likely won’t have access to your work email or phone numbers after you retire.

Sign in to your Document Centre in your online account to view your T4A(s) or tax receipt.

We’ll issue tax receipts for payments made in 2023 by the end of February 2024.

Go to your Document Centre in your online account to view your tax receipt.

You received a T4A because you either told us you intend to pay for a leave or made payments toward a leave in 2023. In these circumstances, we're required to report a pension adjustment (PA) for the buyback on the T4A form. If the period of credit you’ve bought back falls in more than one calendar year, we’ll issue a T4A for each year affected.

Canada Revenue Agency uses PAs to calculate your RRSP contribution room. CRA’s website has information on how to report your PA and how this information is used by CRA.

If the word “amended” appears at the top of your T4A, or if you’ve received a T4A for a year for which you’ve already filed a tax return, you must file a T1 Adjustment Request (T1-ADJ) with CRA for each year covered by the T4A.

Check out CRA’s FAQs about reporting your PA or T1 adjustments.

If you have questions about your tax situation, consider talking to a professional advisor or contact CRA.

You may be entitled to claim a deduction for your contributions to the registered pension plan. Please consult CRA’s website for more details.

If you have questions about your tax situation, consider talking to a professional advisor or contact the CRA.

No, your pension won't begin automatically. To receive your pension, you must apply for it online. If you apply after your resignation date, you may lose pension payments.

You can apply online up to four months before your pension start date. For example, if you're retiring in June, you can apply as early as March 1. Keep in mind, you should apply for your pension no later than the month following your last date of employment.

No, you can apply for your pension before you resign. Make sure you give your employer a resignation letter before your resignation date. If you're worried about us informing your employer about your resignation before you officially resign, don't be. Unless you're receiving long-term income protection (LTIP) benefits, or if you're currently on a leave, we won't contact your employer.

To ensure you don't lose any pension payments, we encourage you to apply for your pension before you resign with your employer. If you apply after your resignation date, you may lose pension payments. And remember, the resignation date on your pension application must be the same date you include in your resignation letter.

For more information on your membership with the Ontario College of Teachers, visit the College's website

No. However, you can use RRSP funds to buy back credit for an eligible leave of absence. Acquiring more credit will increase the size of your pension. 

Gratuities are an employer benefit, not a pension benefit. Please contact your employer for information. 

Yes, provided you work more than 10 days during the year and start your pension at the end of the school year. However, if you begin to receive your pension before the end of the school year, you'll receive a partial qualifying year up to the date your pension starts. If you're considering retiring during the school year, sign in to your account to get a pension estimate.

If you're close to retirement and teaching on a part-time contract, supplementing your income with an occasional supply-teaching assignment may reduce your pension. In some instances, this can result in hundreds of dollars less in pension per year.

The rate of pay for occasional teaching can be significantly less than the rate for part-time contract work. This can lower your annualized pensionable salary because both rates are used when determining your annual rate for that school year. Although the extra days increase your credit, if you're nearing retirement this can reduce your average best-five years' salary and result in a smaller pension.

If you're close to retirement, our advice is to be cautious. Contact us before accepting an occasional teaching job to see how it could affect your pension.

If you plan on working, your arrangement to return to work in education has to be made after your pension starts.

A resignation is considered valid only if:

• Your employer confirms acceptance of your resignation without condition,
• No arrangement has been made to return to work in education, and
• You have either received or arrangements have been made to pay any applicable gratuity.

For some, it's better to retire in June than to wait and retire at their 85 factor a few months later. By doing this, you'll take a reduction to your pension. However, you'll gain extra months of pension income in July, August and September.

Use the pension calculator to help you chart the right path to retirement.

You don't have to wait until August to retire. If you choose to retire in June, you'll continue to receive your salary throughout those last two months – it will have no effect on your pension. But remember, you must submit your resignation letter before June 30, and ensure your June 30 resignation date is also stated in your letter.

If you have no eligible spouse when you receive your first pension payment, you're automatically entitled to a 10-year pension guarantee at no cost. This means if you die before you've received 10 years' worth of pension payments, we'll pay the balance of the 10 years as a survivor pension to any dependent children or as a lump sum to your estate.

If you die before retirement with no eligible recipients, your contributions plus interest before 1987 are paid to your estate together with a lump-sum payment representing the commuted value of the pension you accumulated from 1987 until your death.

Yes. Reductions for survivor pensions greater than 50% are permanent, even if your spouse predeceases you.

Not automatically. If a former spouse remains eligible, you can't designate a new spouse for a survivor pension. If you don't have an eligible former spouse, you can apply for a new survivor pension and your pension will be reduced to pay for it.

No. We're legally obligated to pay survivors directly. If the dependent child is 18 or older, the survivor pension will flow directly to him or her. If the child is a minor, we deposit payments with the Accountant of the Ontario Court (General Division) until the child reaches the age of 18, unless someone has become the child's legal guardian.

The 10-year pension guarantee and survivor pension are different post-retirement death benefits and should be considered separately.

The 10-year pension guarantee only provides a benefit in the event of your death prior to receiving 10 years' worth of pension payments and then only for the remainder of the term. The survivor's pension is payable for the life of your spouse and for as long as your children remain dependents. The survivor pension represents a percentage of your pension.

We provide a bridge benefit, which is intended to supplement your retirement income until age 65 when you're eligible for an unreduced CPP pension. The month after you turn 65, or immediately if you start a CPP disability pension, the bridge benefit ends and your pension is adjusted. 

Your pension will still be adjusted the month after you turn age 65, even if you take your CPP early. There are some conditions for taking CPP early, so be sure to review the CPP website for more information.

Your Ontario Teachers' pension adjustment takes effect before age 65 only if you die or begin to collect a CPP disability pension.

For more information about your CPP pension, we recommend you go directly to the source. Visit the CPP website or call 1-800-277-9914.

Your Ontario Teachers' pension will be adjusted when you start a CPP disability pension. If you go on a disability pension, make sure to contact us and let us know immediately so we can make the necessary adjustments to your pension.

Your heirs could save time and money. Funds are paid directly to the beneficiary, without the delays or probate fees associated with the processing of an estate. Estate taxes are also avoided, although your heirs will pay tax on your death benefit.

You can designate or change your beneficiary through your account.

If you choose to name multiple beneficiaries, any pre-retirement death benefit payable, for service that accrued after 1986, will be divided equally among your beneficiaries.

In the absence of a designated beneficiary, any death benefit payable, after survivors have been taken into account, will go to your estate.

You can name a minor as your designated beneficiary. A child aged 18 or older receives survivor benefits directly, while payments for a minor child are provided to the court-appointed guardian of the child's property. If there's no guardian, benefits are paid into court until the child reaches age 18.

If you don't have an eligible spouse, dependent children or a designated beneficiary when you die, any benefits will be payable to your estate.

If you don't have an eligible spouse at the time of your death, a designated beneficiary receives a lump-sum payment equal to the commuted value of the pension you accumulated after 1986, minus the value of any child's pension that may be payable. Any death benefits payable for service before 1987 are paid to your estate, not your beneficiary.

A designated beneficiary exists only for pre-retirement death benefits. Post-retirement benefits are paid to your eligible spouse or, if you don't have one, to your dependent children and/or estate.