How to buy arrears
Find out how to buy arrears if there was a period when you and your employer should have contributed to the plan but didn't.
Arrears are a period when you and your employer should have contributed to BC's College Pension Plan, but did not. There are two kinds of arrears: enrolment and payroll.
Enrolment arrears occur when you were not enrolled in the plan, but should have been, and were therefore not contributing to the plan.
Payroll arrears occur when you were enrolled in the plan, but your employer did not deduct and forward the required contributions to the plan on your behalf.
Do you have a period of arrears?
You may have enrolment arrears if there was a period when you did not contribute because you were not correctly enrolled in the plan.
You may have payroll arrears if your employer did not deduct pension contributions from your paycheque, even though you were correctly enrolled in the plan.
You may want to check your pay stub regularly (especially after a leave) to make sure your pension contributions are being deducted. If you aren't sure whether your employer has made (or is making) contribution payments on your behalf, follow up with your employer.
Your current employer, former employer or the pension plan may identify a period of arrears.
- If enrolment arrears are identified, we will send you and your employer a statement of cost. Your employer is required to immediately pay their share. You may choose whether to pay for your portion. If you choose to do so, you must apply to buy arrears by the deadline.
- If payroll arrears are identified, the employer you worked for during the arrears period will be billed for the whole cost. Your employer will ask you to pay the employee portion of the cost directly to them.
You may wish to pay for an arrears period as soon as possible, because the cost is based on your salary and contribution rate at the time you are applying to buy arrears. If your salary or contribution rates increases, it may cost you more to buy arrears.