How pension contributions work
You contribute to your pension through automatic payroll deductions. Your employer also contributes to your pension.
Will my contribution rate increase?
It is possible that the contribution rates may increase.
At least once every three years, an independent actuary (a specialist in financial modelling, the laws of probability and risk management) assesses the financial position of BC's College Pension Plan.
This assessment examines the plan's ability to pay all current and future pensions based on a series of economic and demographic assumptions (such as interest rates and life expectancy of members). It also reviews the current contribution rates to see if they are sufficient to fund the plan. Under the College Pension Plan Joint Trust Agreement, trustees may adjust contribution rates when needed to meet the plan's funding requirements.
If the actuary's assessment determines there is a funding shortfall, both your contribution rate and your employer's contribution rate may increase to meet the plan’s funding requirements. Contribution rate increases are shared equally by members and employers.
The inflation adjustment account contribution rate may increase when the annual pay increase(s) negotiated between the unions and the Post-Secondary Employers' Association is one per cent or larger. This increase applies to all plan members, both unionized and non-unionized.