An Act to provide retiring allowances on a contributory basis to persons who have served as Members of ParliamentMembers of Parliament Retiring Allowances ActMembers of Parliament Retiring Allowances20228
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M-5Short Title
Short titleThis Act may be cited as the Members of Parliament Retiring Allowances Act.R.S., c. M-10, s. 1
Interpretation
DefinitionsThe following definitions apply in this Act.annual allowance means an annual allowance payable to a member under section 62, 62.3 or 62.4 of the Parliament of Canada Act or payable to a member under an appropriation Act as Deputy Chair or Assistant Deputy Chair of a committee. (indemnité annuelle)average annual pensionable earnings, with respect to any member, means the average annual pensionable earnings received as a member during any five-year period of pensionable service selected by or on behalf of the member, or during any period so selected consisting of consecutive periods of pensionable service totalling five years. (moyenne annuelle des gains ouvrant droit à pension)average annual sessional indemnity, with respect to any member, means the average annual sessional indemnity received as a member during any five year period of pensionable service selected by or on behalf of the member, or during any period so selected consisting of consecutive periods of pensionable service totalling five years. (moyenne annuelle de l’indemnité de session)average maximum pensionable earnings, with respect to any former member, means the average of the Year’s Maximum Pensionable Earnings, as defined in subsection 2(1) of the Canada Pension Plan, for the earlier of the years referred to in paragraphs (a) and (b), and for each of the four years preceding that earlier year,the year in which the former member ceased to be a member, andthe year in which the former member becomes entitled to receive a retirement pension under the Canada Pension Plan or under a similar provincial pension plan. (moyenne des maximums des gains ouvrant droit à pension)Chief Actuary means the Chief Actuary of the Office of the Superintendent of Financial Institutions. (actuaire en chef)child means a child or stepchild of — or an individual adopted either legally or in fact by — a member or former member whois less than eighteen years of age, oris eighteen years of age or older but less than twenty-five years of age, and is in full-time attendance at a school or university within the meaning provided for that expression by the regulations, having been in such attendance substantially without interruption since the child reached eighteen years of age or the member or former member died, whichever occurred later. (enfant)Compensation Arrangements Account means the Members of Parliament Retirement Compensation Arrangements Account established by section 27. (compte de convention)defined benefit limit meansin respect of a calendar year before 1995, $1,722.22, andin respect of the 1995 calendar year and any subsequent calendar year, the amount prescribed. (plafond des prestations déterminées)earnings limit, in relation to a member in respect of one or more sessions in any calendar year, meansfor any calendar year before 2016, the amount in respect of which benefits may be accrued during that calendar year for the purposes of a registered pension plan within the meaning of the Income Tax Act, determined by dividing the defined benefit limit in respect of that calendar year by 0.02, andfor 2016 and subsequent calendar years, the amount determined by the following formula, rounded to the next highest multiple of $100:[(A – (B × C)) / 0.02] + CwhereAis the the amount determined for the calendar year in accordance with the definition defined benefit limit in subsection 8500(1) of the Income Tax Regulations,Bis the number fixed by the Chief Actuary under subsection (6), andCis the amount of the Year’s Maximum Pensionable Earnings, as defined in subsection 2(1) of the Canada Pension Plan, for that calendar year. (gains maximums)former Act means this Act as it read on December 31, 1991. (version antérieure)joint and survivor benefit[Repealed, 2000, c. 12, s. 176]member means a member of the Senate or House of Commons. (parlementaire)Minister means the President of the Treasury Board. (ministre)pensionable earnings, with respect to any member in respect of any calendar year, means the aggregate of his or her sessional indemnity for the year,any annual allowance payable to him or her in respect of the year, andany salary payable to the member in respect of the year. (gains ouvrant droit à pension)prescribed means prescribed by regulation. (Version anglaise seulement)reduction factor, with respect to any former member, means the number determined by the calculation referred to in the description of D in subsection 37.3(2). (facteur de réduction)Retiring Allowances Account means the Members of Parliament Retiring Allowances Account continued by section 3. (compte d’allocations)salary means a salary payable to a member pursuant to section 4 or 4.1 of the Salaries Act or section 60, 61, 62.1 or 62.2 of the Parliament of Canada Act, or payable to a member pursuant to an appropriation Act as a minister of state or a minister without portfolio. (traitement)session means a session of Parliament. (session)sessional indemnity means in relation to a period before October 8, 1970, the allowances payable to a member under section 55 and subsection 63(3) of the Parliament of Canada Act, as that subsection read immediately before the coming into force of this paragraph,in relation to a period after October 7, 1970 and before July 8, 1974,in the case of a member of the Senate, five sixths of the allowance payable to the member under section 55 of the Parliament of Canada Act, andin the case of a member of the House of Commons, the allowance payable to the member under section 55 of the Parliament of Canada Act, andin relation to a period after July 7, 1974, the allowance payable to a member under section 55 or 55.1 of the Parliament of Canada Act. (indemnité de session)survivor, in relation to a member or former member, meansa person who was marriedin the case of a member or former member, to the member or former member immediately before his or her death, andin the case of a former member, to the former member immediately before the time when he or she ceased to be a member, ora person who establishes that the person was cohabiting in a relationship of a conjugal naturein the case of a member or former member, with the member or former member for at least one year immediately before his or her death, andin the case of a former member, with the former member before he or she ceased to be a member. (survivant)Calculation of average annual sessional indemnityFor the purposes of calculating a member’s average annual sessional indemnity, any period during which he or she is, by virtue of paragraph 12(1)(b) or (c) or 34(1)(b), as it read immediately before January 1, 2013, prohibited from contributing in respect of the sessional indemnity payable to him or her is deemed to be a period of pensionable service to the member’s credit.Calculation of average annual sessional indemnityFor the purposes of calculating a member’s average annual sessional indemnity, any period during which he or she is required to make contributions under subsection 12(2) or would be required to contribute under that subsection if he or she were under 71 years of age is deemed to be a period of pensionable service to the member’s credit.Calculation of average annual pensionable earningsFor the purposes of calculating a member’s average annual pensionable earnings, any period during which he or she is required to make contributions under subsection 12(2.1) or would be required to contribute under that subsection if he or she were under 71 years of age is deemed to be a period of pensionable service to the member’s credit.Application of Parts I to V to members of SenateFor the purposes of Parts I to V, except section 58, a member of the Senate or a Senator means a person who was summoned to the Senate after June 1, 1965.Ceasing to be memberFor the purposes of this Act,a person does not cease to be a member of the House of Commons by reason only of a dissolution of the House of Commons; anda person who, immediately before a dissolution of the House of Commons, was a member of that House ceases to be a member on the day on which the general election next following the dissolution is held, unless that person issummoned to the Senate before that general election, orelected as a member at that general election.When allowances payableFor greater certainty, every allowance, other than a withdrawal allowance, payable to a person under this Act is an annuity that begins to be payable to the person immediately on that person becoming entitled to the allowance.Power to fix numberThe Chief Actuary may, taking into account the percentage fixed for the purposes of subsection 17.1(2), fix a number for the purpose of the description of B in paragraph (b) of the definition earnings limit in subsection (1).R.S., 1985, c. M-5, s. 2; 1992, c. 46, s. 81; 1995, c. 30, s. 1; 1999, c. 34, s. 224; 2000, c. 12, s. 176; 2001, c. 20, s. 14; 2005, c. 16, s. 14; 2012, c. 22, s. 22022, c. 10, s. 244
Election to Continue or Come Under Act
Continuing under ActA member of the House of Commons in the thirty-fifth Parliament who is contributing under subsection 9(1) or (2), 11(1), 12(2), 31(1), (2) or (3), 33(1) or (2) or 34(2) or section 47 on the coming into force of this section may, within sixty days after the day on which this section comes into force, elect in accordance with subsection 56(2) to continue to contribute under all those provisions under which the member is contributing at the time of the election.Coming under ActA person who, after the coming into force of this section, becomes a member of the House of Commons in the thirty-fifth Parliament may, within sixty days after the first day on which that House is sitting after that person becomes a member, elect in accordance with subsection 56(2) to contribute, from the day on which the person becomes a member, under such of subsections 9(1) and (2), 12(2), 31(1), (2) and (3) and 34(2) and section 47 as are otherwise applicable to the person.ExceptionSubsection (2) does not apply to a person who was entitled to make an election under subsection (1) and did not do so.IrrevocableAn election under this section is irrevocable.Deemed electionFor the purposes of this Act,a member who, being entitled to make an election under subsection (1), dies before doing so is deemed to have elected immediately before the death to continue to contribute under all those provisions under which the member was contributing at that time; anda person who, being entitled to make an election under subsection (2), dies before doing so is deemed to have elected immediately before the death to contribute under such of the provisions of this Act as would otherwise be applicable to the person.1995, c. 30, s. 2
Application of Act to members making electionThis Act continues to apply to a member who makes an election under section 2.1.1995, c. 30, s. 2
Application of Act to members not making electionSubject to this section and sections 2.4 and 2.5, this Act ceases to apply to a member who, being entitled to make an election under section 2.1, does not do so.Withdrawal allowanceThere shall be paid to a member referred to in subsection (1) a withdrawal allowance, in a lump sum, equal to the aggregate ofthe total amount of the contributions that the member has paid under this Act and Parts I, III and IV of the former Act, andthe interest on those contributions that the member has paid under section 11 or paragraph 33(1)(c) or (2)(d) of this Act or under section 23 of the former Act.ReductionThe withdrawal allowance payable to a member who was a member for six or more years before October 25, 1993 shall be reduced by the amount of the contributions, and the interest thereon, that the member has paid in respect of pensionable service as a member before that date.InterestInterest shall be paid on the amount of the withdrawal allowance and shall be calculated in accordance with subsection 63(2) as if a reference to paragraphs (2)(a) and (b) were included in paragraph 63(2)(a) and as if the references in that subsection to “the year in which the person ceased to be a member” were references to “the year in which the allowance became payable”.1995, c. 30, s. 2
Application of Act to members not making election who become members againThis Act recommences to apply to a member referred to in subsection 2.3(1) who ceases to be a member and subsequently becomes a member in the thirty-sixth or any subsequent Parliament.[Repealed, 1998, c. 23, s. 9]1995, c. 30, s. 2; 1998, c. 23, s. 9
Application of Act to members not making election who were vestedSection 11, subsection 12(3), sections 13, 16, 17, 19 to 26, 33, 35 to 37, 39 to 46 and 48 to 55, subsection 56(2) and sections 57 to 63 of this Act and section 23 of the former Act continue to apply, with such modifications as the circumstances require, to a member referred to in subsection 2.3(1) who was a member for six or more years before October 25, 1993.PresumptionFor the purposes of applying the provisions referred to in subsection (1), the member is deemed to have received no sessional indemnity for any period after October 24, 1993.1995, c. 30, s. 2
Election to come under ActA member of the House of Commons who was entitled to make an election under section 2.1 and who did not do so may, within 90 days after the day this section comes into force, elect in accordance with subsection 56(2) to have this Act recommence to apply to the member.ApplicationSubsection (1) applies only in respect of members of the House of Commons who serve continuously in that capacity from the day this section comes into force until the day they make their election.IrrevocableAn election under subsection (1) is irrevocable.Application of Act deemed to be continuousThis Act is deemed to apply to a member of the House of Commons who makes an election under subsection (1) as if it had always applied to the member.Repayment of withdrawal allowance and payment of contributionsA member of the House of Commons who makes an election under subsection (1) shall, within 90 days after making the election, pay into the Consolidated Revenue Fund, in a lump sum, an amount equal tothe withdrawal allowance paid to the member under subsection 2.3(2);any interest on the withdrawal allowance paid to the member under subsection 2.3(4); andthe contributions that the member would have made had the Act not ceased to apply to the member.Crediting to accountsThe amount paid under subsection (5) shall be credited to the Retiring Allowances Account and the Compensation Arrangements Account in the appropriate amounts.Deemed contributionsThe portion of the amount paid under subsection (5) in respect of the withdrawal allowance mentioned in paragraph (5)(a) and the contributions mentioned in paragraph (5)(c) are for all purposes deemed to be contributions made by the member.Non-payment cancels electionAn election under subsection (1) is deemed not to have been made if the amount required to be paid under subsection (5) is not paid in the time provided, but subsection 57(2) applies if the member who made the election dies before the time expires.1998, c. 23, s. 10
Contribution Rates
Obligation to fix ratesThe Chief Actuary shall fix contribution rates for the purpose of the provisions of this Act that require contributions to be made at the applicable contribution rate.No distinguishing based on House membershipThe Chief Actuary shall not distinguish between members of the Senate and members of the House of Commons when fixing contribution rates for the purpose of any provision of this Act.[Repealed, 2015, c. 36, s. 94]Contribution rate for purpose of paragraph 31.1(1)(a) — 2013 to 2015Despite subsection (1), but subject to subsection (9), the applicable contribution rate for the purpose of paragraph 31.1(1)(a) for the calendar years 2013 to 2015 is 4%.Contribution rates for purpose of paragraph 31.1(1)(b) — 2013 to 2015Despite subsection (1), the applicable contribution rates for the purpose of paragraph 31.1(1)(b) for the calendar years 2013 to 2015 arefor 2013, 4%;for 2014, 5%; andfor 2015, 6%.Contribution rates for purpose of paragraphs 31.1(1)(c) and (2)(a) and (b) — 2013 to 2015Despite subsection (1), but subject to subsections (7) to (9), the applicable contribution rates for the purpose of paragraphs 31.1(1)(c) and (2)(a) and (b) for the calendar years 2013 to 2015 arefor 2013, 8%;for 2014, 9%; andfor 2015, 10%.Contribution rate for certain members — 2013 to 2015Despite subsection (1), the applicable contribution rate for the purpose of paragraph 31.1(1)(c) for the calendar years 2013 to 2015 for members who are required to contribute under subsection 12(2) is 4% in respect of the portion of salary or annual allowance that is payable to them that exceeds their earnings limit for the calendar year.Contribution rates for certain members — 2013 to 2015Despite subsection (1), the applicable contribution rates for the purpose of paragraph 31.1(1)(c) for the calendar years 2013 to 2015, in respect of salary or annual allowance, for members who are required to contribute under subsection 12(2) arefor 2013, 4%;for 2014, 5%; andfor 2015, 6%.Contribution rate for certain members — 2013 to 2015Despite subsection (1), the applicable contribution rate for the purpose of paragraphs 31.1(1)(a) and (2)(a) for the calendar years 2013 to 2015 for members who are required to contribute under subsection 12(2) and members who would be required to contribute under subsection 12(2) if they were under 71 years of age is 1%.Publication of ratesThe Minister shall cause to be published in the Canada Gazette the contribution rates fixed under subsection (1) as soon as feasible after they are fixed.2012, c. 22, s. 3; 2015, c. 36, s. 94
ObjectiveIn fixing contribution rates, the Chief Actuary’s objective is to ensure that, as of January 1, 2017, the total amount of contributions to be paid by members under Parts I and II will meet 50% of the current service cost in respect of the benefits payable under Parts I, II and IV.2012, c. 22, s. 3; 2015, c. 36, s. 95
Suspended Member
Exclusion — pensionable serviceIf a member is suspended from the Senate or House of Commons, as the case may be, by a majority vote of that House, the member’s pensionable service is not to include the period that begins on the day on which the suspension starts and ends on the day fixed by a majority vote of that House for the reinstatement of the member’s entitlement to accrue pensionable service.2014, c. 20, s. 166
Effect of suspensionDespite any provision of Part I, Part II or Part V, no contribution shall be paid by a member under those Parts in respect of any period referred to in section 2.9.2014, c. 20, s. 166
No election while suspendedNo election shall be made under Part I or Part II by a member during any period that begins on the day on which the suspension referred to in section 2.9 starts and ends on the later of the day on which a majority vote is passed by the Senate or House of Commons, as the case may be, which reinstates the member’s entitlement to accrue pensionable service and the day fixed by that vote for that reinstatement.Subsections 10(1) and 32(1)The period referred to in subsection (1) is not to be included in the determination of the time limit for making an election under subsection 10(1) or 32(1).No election — period of suspensionNo election shall be made under this Act in respect of any period referred to in section 2.9.2014, c. 20, s. 166
Account Continued
Members of Parliament Retiring Allowances Account continuedThe Members of Parliament Retiring Allowances Account, established in the accounts of Canada by section 4 of the former Act, is hereby continued.Prime Minister’s contributions transferred to Compensation Arrangements AccountOn January 1, 1992 there shall be charged to the Retiring Allowances Account and credited to the Compensation Arrangements Account such portion of the balance to the credit of the Retiring Allowances Account on that day as may reasonably be estimated to be attributable to the aggregate ofthe contributions credited to the Retiring Allowances Account pursuant to paragraph 4(1)(a) of the former Act on account of contributions paid pursuant to section 18 of that Act,the amounts equal to those contributions credited to the Retiring Allowances Account pursuant to paragraph 5(a) of the former Act, andthe interest credited pursuant to paragraph 5(c) of the former Act on such portion of the balance to the credit of the Retiring Allowances Account as may reasonably be estimated to be attributable to the amounts referred to in paragraphs (a) and (b).R.S., 1985, c. M-5, s. 3; 1992, c. 46, s. 81
Members of Parliament Retiring AllowancesInterpretation
Credits to AccountThere shall be credited to the Retiring Allowances Accountthe contributions paid under sections 9, 9.1, 11 and 11.1 on or after January 1, 1992 and contributions made under subsections 21(7) and 22(3) of the former Act that are paid on or after that date;the interest paid under sections 11 and 11.1; andthe amounts referred to in section 5.Allowances paid out of C.R.F. and charged to Retiring Allowances AccountAll allowances and other benefits payable under this Part and all supplementary benefits payable in respect of those allowances or benefits under Part IV shall be paid out of the Consolidated Revenue Fund and charged to the Retiring Allowances Account.R.S., 1985, c. M-5, s. 4; 1992, c. 46, s. 81; 2001, c. 20, s. 15; 2012, c. 22, s. 4
Amounts credited to AccountThe following amounts are required, pursuant to paragraph 4(1)(c), to be credited to the Retiring Allowances Account in each fiscal year:in respect of every month, an amount equal to the total amount estimated by the Minister to be required to provide for the costs of all allowances, supplementary benefits and other benefits that have accrued in respect of that month and that will become chargeable against the Retiring Allowances Account; andan amount representing interest on the balance from time to time to the credit of the Retiring Allowances Account, calculated and credited in accordance with subsection (2).Determination of amountThe amount referred to in paragraph (1)(b) is to be credited to the Retiring Allowances Account in respect of each quarter in each fiscal year on the last day of the quarter and is to be determined by multiplying an amount equal to the balance to the credit of the Account on the last day of the preceding quarter by the rate referred to in subsection (3).RateThe rate for the purpose of subsection (2) is the effective quarterly rate derived from the valuation interest rate for the fiscal year that is set out in the most recent valuation report for this Act that is laid before the Senate and the House of Commons under section 9 of the Public Pensions Reporting Act.R.S., 1985, c. M-5, s. 5; 1992, c. 46, s. 81; 2012, c. 22, s. 5
[Repealed, 2012, c. 22, s. 6]
Deficits for service before January 1, 1992 to be estimatedThe Minister shall estimate the total cost of all allowances and other benefits payable under this Part as of January 1, 1992.Deficits for pensionable service before January 1, 1992 to be amortizedThere shall be credited to the Retiring Allowances Account, at the time and in the manner determined by the Minister, such amounts as in the opinion of the Minister will, at the end of the prescribed period, together with the amount estimated by the Minister to be to the credit of that Account at that time, meet the total cost estimated pursuant to subsection (1).R.S., 1985, c. M-5, s. 7; 1992, c. 46, s. 81
Amounts to be credited to meet total costThere shall be credited to the Retiring Allowances Account, at the time and in the manner determined by the Minister, an amount that, in the Minister’s opinion, based on actuarial advice, together with the amount estimated by the Minister to be to the credit of that Account at that time, is necessary to meet the total cost of all allowances and other benefits payable under this Part and all supplementary benefits payable under Part IV in respect of those allowances or benefits.R.S., 1985, c. M-5, s. 8; 1992, c. 46, s. 81; 2012, c. 22, s. 7
Amounts to be debitedIf the Minister is of the opinion, based on actuarial advice, that the amount estimated by the Minister to be to the credit of the Retiring Allowances Account exceeds the total cost of all allowances and other benefits payable under this Part and all supplementary benefits payable under Part IV in respect of those allowances or benefits, there may be debited from that Account, at the time and in the manner determined by the Minister, an amount specified by the Minister.2012, c. 22, s. 7
Contributions
Contributions — January 1, 2001 to December 31, 2015During the period that begins on January 1, 2001 and ends on December 31, 2015, a member shall with respect to each calendar year, by reservation from his or her sessional indemnity, contribute to the Retiring Allowances Account 4% of that portion of that sessional indemnity that does not exceed his or her earnings limit for the calendar year.Non-applicationSubsection (1) does not apply to a member who is required to make a contribution under subsection 12(2).ContributionsDespite subsection 2.3(1), beginning on September 21, 2000 and ending on December 31, 2000, a member who was entitled to elect under sections 2.1 and 2.6 and who did not make an election shall, by reservation from the sessional indemnity of the member, contribute to the Retiring Allowances Account four per cent of the amount payable to the member by way of that sessional indemnity.Application of Act deemed to be continuousThis Act recommences to apply to a member referred to in subsection (1.1) as of the day on which this subsection comes into force and is deemed to apply to the member as if it had always applied to the member.Additional contributionsDuring the period that begins on January 1, 2001 and ends on December 31, 2015, a member to whom subsection 12(2) applies who is in receipt of a salary or an annual allowance shall with respect to each calendar year, by reservation from that salary or allowance, contribute to the Retiring Allowances Account an amount equal to 4% of that portion of that salary or allowance that does not exceed his or her earnings limit for the calendar year, unless he or she elects in respect of that salary or allowancenot to contribute under this subsection and has also elected before December 31, 2015 not to contribute under subsection 31(4) or (5) or paragraph 31.1(1)(c) or (2)(b); orto contribute at a lesser rate than that specified in this subsection.[Repealed, 2001, c. 20, s. 16]R.S., 1985, c. M-5, s. 9; 1992, c. 46, s. 81; 2000, c. 27, s. 3; 2001, c. 20, s. 16; 2003, c. 16, s. 1; 2012, c. 22, s. 8
Contributions — beginning on January 1, 2016Beginning on January 1, 2016, a member shall with respect to each calendar year, by reservation from his or her pensionable earnings, contribute to the Retiring Allowances Account at the applicable contribution rate in respect of any part specified by the Chief Actuary of the portion of the member’s pensionable earnings that does not exceed the member’s earnings limit for the calendar year.ExceptionSubsection (1) does not apply to a member who is required to make a contribution under subsection 12(2.1).2012, c. 22, s. 9
Election to contribute in respect of previous sessionsSubject to this section, where a person ceases to be a member and subsequently becomes a member, the person may, within one year after the first day on which Parliament is in session after that person subsequently becomes a member, elect in accordance with subsection 56(2) to contribute under this Part to the Retiring Allowances Account in respect of any previous session during which that person was a member.Election to contribute in respect of previous periodA member who is required to make contributions under subsection 9(1.1) may, within one year after the day on which this subsection comes into force, elect in accordance with subsection 56(2) to contribute under this Part to the Retiring Allowances Account in respect of the period that consists of the period during which that member was a member but was not required to make contributions and the period in respect of which that member was paid a withdrawal allowance under subsection 2.3(2).[Note: Subsection 10(1.1) in force September 21, 2000, on assent of 2000, c. 27.]Election for both plansNo election shall be made by a person under subsection (1) on or after January 1, 1992 in respect of any previous session unless the person makes an election in respect of that session at the same time to contribute under Part II to the Compensation Arrangements Account.Election for both plansNo election shall be made by a member under subsection (1.1) unless the member makes an election at the same time to contribute in respect of the same period under Part II to the Compensation Arrangements Account.Conditions of electionWhere a person ceases to be a member and subsequently becomes a member, the person may elect under subsection (1) to contribute under this Part in respect of a previous session only ifthe person previously contributed or elected to contribute in respect of that session under Part I or III of the former Act or under this Part and a withdrawal allowance in respect of that session became payable to that person under section 15 or 32 of the former Act or under section 18 of this Act, as the case may be;the person was, immediately before ceasing to be a member, eligible to make an election to contribute in respect of that session but did not do so;the person was not a member on the day on which this paragraph came into force and was a person to whom a withdrawal allowance under subsection 2.3(2) was paid and who did not subsequently elect under section 2.6 to have the Act recommence to apply to the person; orthe person was a person to whom a withdrawal allowance under subsection 2.3(2) was paid and who did not subsequently elect under subsection (1.1).[Note: Paragraph 10(3)(c) in force September 21, 2000, on assent of 2000, c. 27.]R.S., 1985, c. M-5, s. 10; 1992, c. 46, s. 81; 1998, c. 23, s. 11; 2000, c. 27, s. 4
Contributions in respect of previous sessions — election before January 1, 2016If a member elects before January 1, 2016 to contribute to the Retiring Allowances Account in respect of a previous session, he or she shall pay into the Consolidated Revenue Fundif the election is made on or after January 1, 2001 and the member’s sessional indemnity in respect of that previous session exceeds the member’s earnings limit for the calendar yeara contribution equal to four per cent of that portion of the sessional indemnity paid to the member in respect of that previous session that does not exceed the member’s earnings limit, andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity was made to the member in respect of that session to the day on which the election is made;if the election is made on or after January 1, 1992 and before January 1, 2001, or if the member’s sessional indemnity in respect of that previous session does not exceed the member’s earnings limit for the calendar year and the election is made on or after January 1, 2001,a contribution equal to four per cent of the aggregate of the amounts paid to the member in respect of that previous sessionby way of sessional indemnity, andby way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance, andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that session to the day on which the election is made; andin the case of an election made before January 1, 1992,where a member of the House of Commons made an election under subsection 22(1) of the former Act before August 1, 1981, or a member of the Senate made an election under that subsection, a contribution equal tosix per cent of the amount of the sessional allowance paid to the member under section 55 of the Parliament of Canada Act in respect of that session if it was held before the commencement of the 26th Parliament,seven and one-half per cent of the amount paid to the member as a member of the House of Commons, or six per cent of the amount paid to the member as a Senator, as the case may be, by way of sessional indemnity, in respect of that session if it was held after the 25th Parliament, andseven and one-half per cent of the amount paid to the member by way of salary or annual allowance in respect of that session if the member, by the election, elected to contribute thereon,minus the total amount of any contributions that the member paid or elected to pay under Parts I to V of the former Act in respect of those amounts and that were not repaid as a withdrawal allowance,where a member of the House of Commons made an election under subsection 22(1) of the former Act after August 1, 1981 and before January 1, 1992, or a member made an election under subsection 22(2) of that Act, a contribution equal to ten per cent of the amount paid to the member as a member of the House of Commons by way of sessional indemnity in respect of that session, minus the total amount of any contributions that the member paid or elected to pay under Parts I to V of the former Act in respect of those amounts and that were not repaid as a withdrawal allowance,where a member made an election under subsection 21(7) of the former Act in respect of a salary or an annual allowance, a contribution equal to two and one-half per cent of the amount paid to the member by way of that salary or allowance in respect of that session,where a member made an election under subsection 22(3) of the former Act in respect of a salary or an annual allowance, a contribution not exceeding ten per cent of the amount paid to the member by way of that salary or allowance in respect of that session,except in respect of the portion of that contribution specified in subparagraph (vi), interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that session to the day on which the election is made, andin respect of the portion of that contribution included in a withdrawal allowance paid under Parts I to V of the former Act, the interest on the aggregate ofthat portion of the contribution, andthe interest on that portion of the contribution that was included in the withdrawal allowance,calculated at a rate and in the manner prescribed from the day on which the payment of the withdrawal allowance was made to the day on which the election is made.Contributions in respect of previous periodIf a member elects under subsection 10(1.1) to contribute to the Retiring Allowances Account in respect of the period referred to in that subsection, the member shall pay into the Consolidated Revenue Funda contribution equal to four per cent of the aggregate of the amounts paid to the member in respect of that periodby way of sessional indemnity, andby way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance; andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that period to the day on which the election is made.Maximum contributionNotwithstanding clause (1)(a.1)(i)(B) or subparagraph (1.1)(a)(ii), where the aggregate of amounts paid to a person as a member in respect of one or more previous sessions, or in respect of a particular period, in a calendar year by way of sessional indemnity, salary or annual allowance exceedsthe earnings limit of the member for that calendar year, orwhere the person was not a member during the whole of that calendar year, that portion of the earnings limit of the member for that calendar year that the part of the calendar year during which the person is a member bears in relation to the whole of the calendar year, determined in accordance with the regulations,the member shall not, in respect of that previous session or particular period, contribute under that clause or subparagraph on the excess amount.R.S., 1985, c. M-5, s. 11; 1992, c. 46, s. 81; 2000, c. 27, s. 5; 2001, c. 20, s. 17; 2012, c. 22, s. 10
Contributions in respect of previous sessions — election made on or after January 1, 2016If a member elects on or after January 1, 2016 to contribute to the Retiring Allowances Account in respect of a previous session, he or she shall pay into the Consolidated Revenue Funda contribution, calculated at the contribution rates fixed for the purposes of section 9.1 that are in force on the day on which the election is made, in respect of the portion of his or her pensionable earnings during that previous session that does not exceed his or her earnings limit for the year during that previous session; andinterest on that contribution, calculated at a rate and in the manner prescribed, from the day on which the final payment by way of pensionable earnings was made to the member in respect of that session to the day on which the election is made.Earnings limit for part of yearFor the purpose of subsection (1), if the person was not a member during the whole of a calendar year, the earnings limit for that calendar year is determined by multiplying the member’s earnings limit for the calendar year by the ratio that the part of the calendar year during which he or she was a member is to the whole calendar year.2012, c. 22, s. 11
Limits on contributionsNotwithstanding anything in this Part, no contribution shall be paid by a member under this Partin respect of any session in the course of which the member ceases to be a Senator by reason of disqualification or was expelled from the House of Commons; orafter the member has reached 71 years of age.[Repealed, 2012, c. 22, s. 12]Contribution of 1%During the period that begins on January 1, 2001 and ends on December 31, 2015, a member who has not reached 71 years of age shall with respect to each calendar year, by reservation from his or her sessional indemnity, after the aggregate of the products obtained by multiplying the number of years of pensionable service to the member’s credit by the multipliers set out in subsection 16(1) and, as applicable, subsection 36(2) or (6) equals 0.75, contribute under this Part 1% of that portion of the sessional indemnity that does not exceed his or her earnings limit for the calendar year.Contributions on or after January 1, 2016Beginning on January 1, 2016, a member who has not reached 71 years of age shall with respect to each calendar year, by reservation from his or her pensionable earnings, after the aggregate of the products obtained under subsection (2) and the product obtained by multiplying the number of years of pensionable service on or after January 1, 2016 to the member’s credit by 0.02 equals 0.75, contribute under this Part at the applicable contribution rate in respect of the portion of the member’s pensionable earnings that does not exceed the member’s earnings limit for the calendar year.Exclusions from computation of contributionsIn a computation of the total amount that a member has contributed or elected to contribute under this Part and, where applicable, Parts I to V of the former Act, there shall not be includedany contributions in respect of which a withdrawal allowance has been paid;any contributions in respect of which the election of the member has been revoked; orany amount paid by way of interest.R.S., 1985, c. M-5, s. 12; 1992, c. 46, s. 81; 2001, c. 20, s. 18; 2003, c. 16, s. 2; 2012, c. 22, s. 12
Allowances
Payment of allowancesAn allowance or other benefit shall be paid in accordance with this Part to or in respect of a person who, being a member, ceases to be a member or, being a member or former member, dies.R.S., 1985, c. M-5, s. 13; 1992, c. 46, s. 81
Allowance on ceasing to be a member before January 1, 1992Subject to section 58, where a person ceased to be a member before January 1, 1992, having contributed or elected to contribute under Part I or III of the former Act as a member for at least six years, there shall be paid to that person during the lifetime of that person in respect of all those contributions, other than those made under subsection 21(5) or (7) of that Act, a retirement allowance equal to the average annual sessional indemnity of that person as a member, multiplied bywith respect to each year or portion of a year of pensionable service calculated in accordance with subsections (2) and (3), the aggregate ofthe number of years of pensionable service to the credit of that person as a result of contributions made under subsection 21(4) or subparagraph 23(a)(iii) of that Act multiplied by 0.02,the number of years of pensionable service to the credit of that person as a result of contributions made as a member of the House of Commons under Parts I and III of that Act, other than subsection 21(4) or subparagraph 23(a)(iii), multiplied by0.035, in the case of each of the first ten years,0.03, in the case of each of the next ten years, and0.02, in the case of each year thereafter, andthe number of years of pensionable service to the credit of that person as a result of contributions made as a Senator under Parts I and III of that Act, other than subsection 21(4) or subparagraph 23(a)(iii), multiplied by 0.03; andwith respect to each year and portion of a year of pensionable service calculated in accordance with subsections (4) and (5), the number of those years and portions of years multiplied by 0.05.Calculation of years of pensionable serviceFor the purposes of subsection (1), in respect of time spent as a Senator or time spent as a member of the House of Commons before August 1, 1981, and in respect of which no election under subsection 22(2) of the former Act was made, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that personfor each $240 contributed or elected to be contributed on the amount received as a member by way of sessional indemnity in respect of sessions of Parliament held before November 12, 1953;for each $480 contributed or elected to be contributed on the amount received as a member by way of sessional indemnity in respect of sessions of Parliament held after November 11, 1953 and before April 8, 1963;for each amount, equal to seven and one-half per cent of the sessional indemnity payable to a member of the House of Commons during any period of twelve months beginning on April 8, 1963, or on April 8 of any subsequent year, that the person has contributed or elected to contribute on the amount received as a member of the House of Commons by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months;for each amount, equal to six per cent of the sessional indemnity payable to a member of the Senate during any period of twelve months beginning on April 4, 1965, or on April 4 of any subsequent year, that the person has contributed or elected to contribute on the amount received as a member of the Senate by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months; andfor each amount, equal to the greater of $1,350 and seven and one-half per cent of the sessional indemnity payable to a member of the House of Commons, during any calendar year, that the person has contributed or elected to contribute in respect of any amount paid by way of salary or annual allowance during that calendar year.IdemWhere any amount that a person referred to in subsection (2) has contributed or elected to contribute under Parts I and III of the former Act, in respect of any sessions referred to in paragraph (2)(a), (b), (c) or (d) or in respect of any salary or annual allowance described in paragraph (2)(e), is less than the amount set out in that paragraph, the person is deemed to have to the credit of that person such portion of a year’s pensionable service as that lesser amount bears to the amount set out in that paragraph.IdemFor the purposes of subsection (1), in respect of time spent as a member of the House of Commons after July 31, 1981 and before 1992, or any period in respect of which an election under subsection 22(2) of the former Act was made, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to ten per cent of the sessional indemnity payable to a member of the House of Commons during any period of twelve months beginning on April 8 of any year, that the person has contributed or elected to contribute on the amount received as a member of the House of Commons by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months.Application of subsection (3)In the application of subsection (4), the deeming provision of subsection (3) in relation to a portion of a year’s pensionable service shall apply, with such modifications as the circumstances require.LimitationNotwithstanding anything in this section, the retirement allowance payable to a person under this section shall not exceed the average annual sessional indemnity of the person multiplied by 0.75.R.S., 1985, c. M-5, s. 14; 1989, c. 6, s. 15; 1992, c. 46, s. 81; 2012, c. 22, s. 13
Additional retirement allowance on ceasing to be a member before January 1, 1992Subject to section 58, where a person ceased to be a member before January 1, 1992, having contributed or elected to contribute under Part I or III of the former Act as a member for at least six years and has contributed pursuant to subsection 21(5) or (7) of that Act, there shall be paid to the person during the lifetime of that person an additional retirement allowance equal to the average annual sessional indemnity as a member multiplied by the number of years of pensionable service to the credit of that person calculated in accordance with subsections (2) and (3), multiplied by 0.05.Calculation of years of pensionable serviceFor the purposes of subsection (1), a person, on ceasing to be a member, is deemed to have one year of pensionable service to the credit of that person for each amount, equal to ten per cent of the sessional indemnity payable to a member of the House of Commons, during any calendar year, that the person has contributed or elected to contribute in respect of any amount paid by way of a salary or an annual allowance during that calendar year.Application of subsection 14(3)In the application of subsection (2), the deeming provision of subsection 14(3) in relation to a portion of a year’s pensionable service shall apply, with such modifications as the circumstances require.R.S., 1985, c. M-5, s. 15; 1992, c. 46, s. 81
Allowance on ceasing to be a member on or after January 1, 1992Subject to sections 58 and 59, where a person ceases to be a member on or after January 1, 1992, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years, there shall be paid to that person during the lifetime of that person in respect of all those contributions, other than those made under this Part in respect of any amount paid by way of salary or annual allowance or under subsection 12(2) of this Act or under subsection 21(5) or (7) of the former Act, a retirement allowance equal to the average annual sessional indemnity of the person multiplied bywith respect to each year and portion of a year of pensionable service calculated in accordance with subsections (3), (4) and (6), the number of those years and portions of years multiplied by 0.03, in the case of a member of the Senate, and by 0.05, in the case of a member of the House of Commons; andsubject to subsection (2), with respect to each year and portion of a year of pensionable service calculated in accordance with subsections (5) and (6), the number of those years and portions of years multiplied by 0.02.Age limitationThe portion of a retirement allowance that is payable to a person under paragraph (1)(b) is not payable unless the person has reached sixty years of age.Calculation of years of pensionable service to the credit of Senators before January 1, 1992For the purposes of paragraph (1)(a), in respect of time spent as a member of the Senate before January 1, 1992, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to six per cent of the sessional indemnity payable to a member of the Senate during any period of twelve months beginning on April 4, 1965, or on April 4 of any subsequent year, that the person has contributed or elected to contribute on the amount received as a member of the Senate by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months.Calculation of years of pensionable service to the credit of members of the House of Commons before January 1, 1992For the purposes of paragraph (1)(a), in respect of time spent as a member of the House of Commons before January 1, 1992, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to ten per cent of the sessional indemnity payable to a member of the House of Commons during any period of twelve months beginning on April 8 of any year, that the person has contributed or elected to contribute on the amount received as a member of the House of Commons by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months.Calculation of years of pensionable service between January 1, 1992 and December 31, 2015For the purposes of paragraph (1)(b), in respect of time spent as a member during the period that begins on January 1, 1992 and ends on December 31, 2015, or any period of pensionable service in respect of which an election under section 10 has been made during that period, a person is, on ceasing to be a member, deemed to have one year of pensionable service to his or her credit for each amount, equal to 4% of the sessional indemnity payable to a member during any 12-month period beginningin respect of members of the House of Commons, on April 8 of any year, andin respect of members of the Senate, on April 4 of any year,that the person has contributed or elected to contribute under this Part on the amount received as a member by way of sessional indemnity in respect of sessions held in whole or in part during that period of twelve months.IdemWhere any amount that a person referred to in subsection (3), (4) or (5) has contributed or elected to contribute under this Part or Part I or III of the former Act in respect of any sessions referred to in that subsection is less than the amount set out in that subsection, that person is deemed to have to the credit of the person such portion of a year’s pensionable service as that lesser amount bears to the amount set out in that subsection.R.S., 1985, c. M-5, s. 16; 1992, c. 46, s. 81; 2012, c. 22, s. 14
Additional retirement allowance on ceasing to be a member on or after January 1, 1992Subject to section 58, where a person ceases to be a member on or after January 1, 1992, having contributed or elected to contribute under this Part or Part III of the former Act as a member for at least six years and has contributed under this Part in respect of any amount paid by way of salary or annual allowance or under subsection 21(5) or (7) of the former Act, there shall be paid to the person during the lifetime of that person an additional retirement allowance equal to the average annual sessional indemnity of the person multiplied bywith respect to each year and portion of a year of pensionable service calculated in accordance with subsections (3) and (5), the number of those years and portions of years multiplied by 0.05; andsubject to subsection (2), with respect to each year and portion of a year of pensionable service calculated in accordance with subsections (4) and (5), the number of those years and portions of years multiplied by 0.02.Age limitationThe portion of an additional retirement allowance that is payable to a person under paragraph (1)(b) is not payable unless the person has reached sixty years of age.Calculation of years of pensionable service before January 1, 1992For the purposes of paragraph (1)(a), in respect of time spent as a member before January 1, 1992, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to ten per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has contributed or elected to contribute in respect of any amount paid by way of salary or annual allowance during that calendar year.Calculation of years of pensionable service after January 1, 1992For the purposes of paragraph (1)(b), in respect of time spent as a memberon or after January 1, 1992, and before January 1, 2001, or any period of pensionable service in respect of which an election under section 10 has been made during that period, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to four per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed pursuant to subsection 9(2) or elected to contribute pursuant to clause 11(1)(a)(i)(B), as it read before the coming into force of this paragraph, or pursuant to clause 11(1)(a.1)(i)(B); andduring the period that begins on January 1, 2001 and ends on December 31, 2015, or any period of pensionable service in respect of which an election under section 10 has been made during that period, the person is, on ceasing to be a member, deemed to have one year of pensionable service to his or her credit for each amount, equal to 4% of the sessional indemnity payable to the person as a member of the Senate or House of Commons, as the case may be, during any calendar year, that the person has, during that calendar year, contributed under subsection 9(2) or elected to contribute under subparagraph 11(1)(a)(i).ExceptionSubsection (4), as it read immediately before July 12, 2001, applies in respect of a period of pensionable service to a member’s credit pursuant to an election referred to in subsection 36(10).Application of subsection 16(6)In the application of subsection (3) or (4), the deeming provision of subsection 16(6) in relation to a portion of a year’s pensionable service shall apply, with such modifications as the circumstances require.Limitation — pensionable service before January 1, 2016The additional retirement allowance payable to a person under subsection (1) is only payable in respect of his or her pensionable service before January 1, 2016.R.S., 1985, c. M-5, s. 17; 1992, c. 46, s. 81; 2001, c. 20, s. 19; 2003, c. 16, s. 3; 2012, c. 22, s. 15
Allowance on ceasing to be member on or after January 1, 2016 — 65 years of age or olderSubject to sections 58 and 59, if a person ceases to be a member after December 31, 2015, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years and the person has reached 65 years of age when he or she ceases to be a member, there shall be paid to that person during his or her lifetime a retirement allowance in an amount calculated under subsection (2).AmountThe amount of the retirement allowance is equal to the portion of the person’s average annual pensionable earnings that does not exceed his or her earnings limit for the calendar year in which he or she ceased to be a member multiplied by the number of years and portions of years of the person’s pensionable service calculated in accordance with subsections (3) and (4) multiplied by 0.02, minus an amount equal to the percentage fixed by the Chief Actuary ofthe person’s average maximum pensionable earnings,multiplied bythe number of years and portions of years of the person’s pensionable service calculated in accordance with subsections (3) and (4) multiplied by 0.02.Pensionable serviceSubject to subsection (4), the person’s pensionable service for the purposes of subsection (2) isthe years and portions of years spent as a member after December 31, 2015 during which he or she was required to contribute under this Part, other than any period in respect of which a withdrawal allowance has been paid to the person; andthe years and portions of years in respect of which he or she elected on or after January 1, 2016 to bring to his or her credit as time spent as a member.Service after contributions under subsection 12(2.1) not to be includedThe person’s service as a member during which he or she was required to contribute under subsection 12(2.1), if any, is not to be included in the calculation under subsection (3) of the person’s pensionable service.Retirement pension to be taken into accountIn fixing the percentage for the purposes of subsection (2), the Chief Actuary shall take into account the retirement pension payable to a person under the Canada Pension Plan or under a similar provincial pension plan.2012, c. 22, s. 16
Allowance on ceasing to be member on or after January 1, 2016 — under 65 years of ageSubject to sections 58 and 59, if a person ceases to be a member after December 31, 2015, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years and the person is under 65 years of age when he or she ceases to be a member, and the person has elected to receive an allowance under section 37.3, there shall be paid to that person, subject to subsection (3), during his or her lifetime, a retirement allowance in an amount calculated under subsection (2).Amount of retirement allowanceFor the purposes of subsection (1), the amount of the retirement allowance is equal to the amount of the retirement allowance determined under section 17.1 as though that section applied to the person, minus the product obtained by multiplying that amount by the reduction factor.When retirement allowance becomes payableThe retirement allowance payable under subsection (1) becomes payable on the later ofthe day the person reaches the age of 60, andthe day the person begins to receive his or her allowance under section 37.3.2012, c. 22, s. 16
Withdrawal Allowances
Withdrawal allowanceThere shall be paid to a person who ceases to be a member but who has not contributed or elected to contribute under this Part or Parts I, III and IV of the former Act as a member for at least six years a withdrawal allowance, in a lump sum, equal to the aggregate ofthe total amount of the contributions that the person has paid under this Part and Parts I, III and IV of the former Act, andthe interest on those contributions that the person has paid under section 11 or 11.1 or under section 23 of the former Act.R.S., 1985, c. M-5, s. 18; 1992, c. 46, s. 81; 2012, c. 22, s. 17
Withdrawal allowance where member expelledThere shall be paid to a person who ceases to be a Senator by reason of disqualification or who is expelled from the House of Commons a withdrawal allowance, in a lump sum, equal to the aggregate ofthe total amount of the contributions that the person has paid under this Part and Parts I, III and IV of the former Act, andthe interest on those contributions that the person has paid under section 11 or 11.1 or under section 23 of the former Act.R.S., 1985, c. M-5, s. 19; 1989, c. 6, s. 16; 1992, c. 46, s. 81; 2012, c. 22, s. 18
[Repealed, 1998, c. 23, s. 12]
Survivor Benefits
Survivor benefitsOn the death of a member or former member, there shall be paidto the survivor, an allowance equal to three fifths of the basic retirement allowance, but, if two survivors are entitled to an allowance under this paragraph, the total amount of the allowances shall not exceed three fifths of the basic retirement allowance and that total amount shall be apportioned in accordance with subsection (1.1); andto each child, an allowance equal to one tenth of the basic retirement allowance or, if the member or former member died leaving no one entitled to an allowance under paragraph (a), two tenths of the basic retirement allowance, but the total amount of the allowances shall not exceed three tenths of the basic retirement allowance or, if the member or former member died leaving no one entitled to an allowance under paragraph (a), eight tenths of the basic retirement allowance.ApportionmentFor the purposes of paragraph (1)(a), the total amount shall be apportioned so thatthe survivor referred to in paragraph (a) of the definition survivor in subsection 2(1) receives an amount, if any, equal to the total amount less any amount determined under paragraph (b); andthe survivor referred to in paragraph (b) of that definition receives an amount equal to that proportion of the total amount that the number of years that survivor cohabited with the member or former member while a member is of the number of years that the member or former member was a member.YearsIn determining a number of years for the purposes of subsection (1.1), part of a year shall be counted as a full year if the part is six or more months and shall be ignored if it is less.Definition of basic retirement allowanceIn this section, basic retirement allowance meansin the case of a former member, the aggregate of all the retirement allowances and additional retirement allowances that the former member was receiving under this Part at the time of death or would have been entitled to receive under this Part if the former member had reached sixty years of age immediately before death; andin the case of a member, the aggregate of all the retirement allowances and additional retirement allowances that the member would have been entitled to receive under this Part if the member had ceased to be a member and had reached sixty years of age immediately before death.DeemingFor the purpose of subsection (2), if any amount was or would have been subtracted in the calculation of the amount of the member or former member’s retirement allowance under section 17.1 or 17.2, the member or former member is deemed to have received or to have been entitled to receive, as the case may be, a retirement allowance under that section calculated without that subtracted amount.R.S., 1985, c. M-5, s. 20; 1992, c. 46, s. 81; 1995, c. 30, s. 4; 1999, c. 34, s. 225; 2012, c. 22, s. 19
Children born, etc., after member ceases to be a memberSubject to the regulations, a child who is born to or adopted by a member or who becomes the stepchild of a member after that member ceases to be a member is not entitled to an allowance under section 20.R.S., 1985, c. M-5, s. 21; 1992, c. 46, s. 81
Saving provisionNothing in section 21 shall prejudice any right that a child of an earlier marriage of a member or former member has to an allowance under section 20.R.S., 1985, c. M-5, s. 22; 1992, c. 46, s. 81
[Repealed, 2000, c. 12, s. 177]
Duration of entitlementAn allowance under section 20shall be paid monthly in arrears in approximately equal instalments;begins to be payable, in respect of the death of a member, on the first day of the month immediately after the month in which the member dies or, in respect of the death of a former member, on the day after the day on which the former member dies; andin the case of an allowance under paragraph 20(1)(a), continues during the lifetime of the recipient.R.S., 1985, c. M-5, s. 24; 1992, c. 46, s. 81; 1995, c. 30, s. 6; 2000, c. 12, s. 177
Election for benefitIf the person to whom a former member is married or with whom he or she is cohabiting in a relationship of a conjugal nature, having so cohabited for a period of at least one year, would not be entitled, in the event of the former member’s death, to receive an allowance under paragraph 20(1)(a) or 40(1)(a), the former member may elect, in accordance with the regulations, in order that the person could become entitled to an allowance under subsection (3), to reduce the amount ofthe former member’s retirement allowances and any additional retirement allowance, under this Part; andthe former member’s compensation allowances, if any, and any additional compensation allowance, under Part II.Election for both PartsNo election may be made by a former member under subsection (1) unless the former member makes an election under subsection 45(1), if applicable, at the same time.Entitlement to allowanceA person referred to in subsection (1) is entitled to an allowance in an amount determined in accordance with the election and the regulations if the former member dies and the election is not revoked or deemed to have been revoked, and the person was married to the former member at the time of the former member’s death, or was cohabiting with the former member in a relationship of a conjugal nature for a period of at least one year immediately before the former member’s death.Payment of allowanceThe allowance to the person referred to in subsection (1) shall be paid monthly in arrears in approximately equal instalments, beginning on the day after the day on which the former member dies, and continues during the person’s lifetime.No entitlementA person who is entitled to receive an allowance under section 20 or 40 after the former member’s death is not entitled to an allowance under subsection (3) in respect of that former member.R.S., 1985, c. M-5, s. 25; 1992, c. 46, s. 81; 2000, c. 12, s. 177; 2012, c. 22, s. 20
[Repealed, 2000, c. 12, s. 177]
Members of Parliament Retirement Compensation ArrangementsEstablishment of Account
Compensation Arrangements AccountThere is hereby established in the accounts of Canada an account to be known as the Members of Parliament Retirement Compensation Arrangements Account to which shall be creditedthe contributions paid pursuant to sections 31, 33 and 47;the interest paid in accordance with section 33;the amounts referred to in section 28; andthe amounts credited to that Account pursuant to subsection 3(2).Allowances paid out of C.R.F. and charged to AccountAll allowances and other benefits payable under this Part or Part III and all supplementary benefits payable in respect of those allowances or benefits under Part IV shall be paid out of the Consolidated Revenue Fund and charged to the Compensation Arrangements Account.R.S., 1985, c. M-5, s. 27; 1992, c. 46, s. 81; 2001, c. 20, s. 20
Amounts credited to AccountThe following amounts are required, pursuant to paragraph 27(1)(c), to be credited to the Compensation Arrangements Account in each fiscal year:in respect of every month, an amount equal to the amount estimated by the Minister to be required to provide for the costs of all allowances, supplementary benefits and other benefits that have accrued in respect of that month and that will become chargeable against the Compensation Arrangements Account; andan amount representing interest on the balance from time to time to the credit of the Compensation Arrangements Account, calculated and credited in accordance with subsection (2).Determination of amountThe amount referred to in paragraph (1)(b) is to be credited to the Compensation Arrangements Account in respect of each quarter in each fiscal year on the last day of the quarter and is to be determined by multiplying an amount equal to the balance to the credit of the Account on the last day of the preceding quarter by the rate referred to in subsection (1.2).RateThe rate for the purpose of subsection (1.1) is the effective quarterly rate derived from the valuation interest rate for the calendar year that is set out in the most recent valuation report for this Act that is laid before the Senate and the House of Commons under section 9 of the Public Pensions Reporting Act.IdemThere shall be credited to the Compensation Arrangements Account in each calendar year an amount equal to the amount, if any, determined at the end of the year to be refundable for the year in respect of that Account under subsection 207.7(2) of the Income Tax Act.R.S., 1985, c. M-5, s. 28; 1992, c. 46, s. 81; 2012, c. 22, s. 21
Amounts to be credited to meet total costThere shall be credited to the Compensation Arrangements Account, at the time and in the manner determined by the Minister, an amount that, in the Minister’s opinion, based on actuarial advice, together with the amount estimated by the Minister to be to the credit of that Account at that time, is necessary to meet the total cost of all allowances and other benefits payable under this Part and Part III and all supplementary benefits payable under Part IV in respect of those allowances or benefits.R.S., 1985, c. M-5, s. 29; 1992, c. 46, s. 81; 2012, c. 22, s. 22
Amounts to be debitedIf the Minister is of the opinion, based on actuarial advice, that the amount estimated by the Minister to be to the credit of the Compensation Arrangements Account exceeds the total cost of all allowances and other benefits payable under this Part and Part III and all supplementary benefits payable under Part IV in respect of those allowances or benefits, there may be debited from that Account, at the time and in the manner determined by the Minister, an amount specified by the Minister.2012, c. 22, s. 22
Amounts to be charged to AccountThere shall be charged to the Compensation Arrangements Account in each calendar year an amount equal to the amount of tax, if any, determined at the end of the year to be payable for the year in respect of that Account under subsection 207.7(1) of the Income Tax Act.Amounts to be credited to other accountsThe amounts charged to the Compensation Arrangements Account pursuant to subsection (1) shall be credited to the appropriate account in the accounts of Canada.R.S., 1985, c. M-5, s. 30; 1992, c. 46, s. 81
Members’ Contributions
ContributionsCommencing on January 1, 2001, a member shall, by reservation from the sessional indemnity of the member, contribute to the Compensation Arrangements Accountif the member has not reached 69 years of age, four per cent of that portion of the sessional indemnity payable to the member that exceeds the member’s earnings limit for the calendar year and 3 per cent of the total sessional indemnity payable to the member; orif the member has reached 69 years of age, seven per cent of the amount of the member’s sessional indemnity.ContributionsDespite subsection 2.3(1), beginning on September 21, 2000 and ending on December 31, 2000, a member who was entitled to elect under sections 2.1 and 2.6 and who did not make an election shall, by reservation from the sessional indemnity of the member, contribute to the Compensation Arrangements Account five per cent of the amount payable to the member by way of sessional indemnity if the member has not reached 71 years of age or nine per cent of that amount if the member has reached 71 years of age.Additional contribution — members under maximum accrualA member to whom paragraph 12(1)(b) does not apply and who is in receipt of a salary or an annual allowance shall, commencing on January 1, 2001, unless the member elects not to contribute under this subsection, by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account an amount equal to 7 per cent of the amount payable to the member by way of that salary or annual allowance.Additional contribution — members under 69 who reach maximum accrualA member to whom paragraph 12(1)(b) applies, who has not reached 69 years of age and who is in receipt of a salary or annual allowance shall, commencing on January 1, 2001 — unless the member elects not to contribute under this subsection and has also elected not to contribute under subsection 9(2) — by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account an amount equal to3 per cent of that portion of the amount payable to the member by way of salary or annual allowance that is less than the member’s earnings limit for the calendar year; and7 per cent of the amount that exceeds the member’s earnings limit for that year.Additional contribution — members 69 or over who reach maximum accrualA member to whom paragraph 12(1)(b) applies, who has reached 69 years of age and who is in receipt of a salary or annual allowance shall, commencing on January 1, 2001 — unless the member elects not to contribute under this subsection — by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account an amount equal to 7% of that salary or annual allowance.CessationThis section ceases to apply on December 31, 2012.R.S., 1985, c. M-5, s. 31; 1989, c. 6, ss. 17, 18; 1992, c. 46, s. 81; 1995, c. 30, s. 7; 2000, c. 27, s. 6; 2001, c. 20, s. 21; 2003, c. 16, s. 4; 2012, c. 22, s. 23
Contributions — January 1, 2013 to December 31, 2015 — under 71 years of ageDuring the period that begins on January 1, 2013 and ends on December 31, 2015, a member who has not reached 71 years of age shall with respect to each calendar year contribute to the Compensation Arrangements Account,by reservation from his or her sessional indemnity, at the applicable contribution rate in respect of the portion of the sessional indemnity payable to him or her that exceeds his or her earnings limit for the calendar year;by reservation from his or her sessional indemnity, at the applicable contribution rate in respect of the sessional indemnity payable to him or her; andby reservation from any salary or annual allowance that he or she receives, at the applicable contribution rates in respect of that salary or annual allowance, unless he or she elects not to contribute under this paragraph.Contributions — January 1, 2013 to December 31, 2015 — over 71 years of ageDuring the period that begins on January 1, 2013 and ends on December 31, 2015, a member who has reached 71 years of age shall with respect to each calendar year contribute to the Compensation Arrangements Account,by reservation from his or her sessional indemnity, at the applicable contribution rate in respect of the sessional indemnity payable to him or her; andby reservation from any salary or annual allowance that he or she receives, at the applicable contribution rate in respect of that salary or annual allowance, unless he or she elects not to contribute under this paragraph.2012, c. 22, s. 24
Contributions — from January 1, 2016 — under 71 years of ageBeginning on January 1, 2016, a member who has not reached 71 years of age shall with respect to each calendar year, by reservation from the member’s pensionable earnings, contribute to the Compensation Arrangements Accountat the applicable contribution rate in respect of the portion of his or her pensionable earnings that exceeds his or her earnings limit for the calendar year; andat the applicable contribution rate in respect of his or her pensionable earnings.Contributions — from January 1, 2016 — 71 years of age or olderBeginning on January 1, 2016, a member who has reached 71 years of age shall, by reservation from his or her pensionable earnings, contribute to the Compensation Arrangements Account, at the applicable contribution rate in respect of the member’s pensionable earnings.Different ratesThe Chief Actuary shall fix rates for the purposes of paragraph (1)(a) that are different for members who are required to contribute under subsection 12(2.1) than those for other members, and rates for the purposes of subsection (2) that are different for members who would be required to contribute under subsection 12(2.1) if they were under 71 years of age than those for other members.2012, c. 22, s. 24; 2015, c. 36, s. 96
Election to contribute in respect of previous sessionsSubject to this section, where a person ceases to be a member and subsequently becomes a member, that person may, within one year after the first day on which Parliament is in session after that person subsequently becomes a member, elect in accordance with subsection 56(2) to contribute under this Part to the Compensation Arrangements Account in respect of any previous session during which that person was a member.Election to contribute in respect of previous periodA member who is required to make contributions under subsection 31(2) may, within one year after September 21, 2000, elect to contribute under this Part to the Compensation Arrangements Account in respect of the period that consists of the period during which that member was a member but was not required to make contributions and the period in respect of which that member was paid a withdrawal allowance under subsection 2.3(2).Election for both plansNo election shall be made by a person under subsection (1) in respect of any previous session unless the person makes at the same time an election in respect of that session to contribute under Part I to the Retiring Allowances Account.Election for both plansNo election shall be made by a member under subsection (1.1) unless the member makes an election at the same time to contribute in respect of the same period under Part I to the Retiring Allowances Account.Conditions of electionA person may elect under subsection (1) to contribute under this Part in respect of a previous session only ifthat person previously contributed or elected to contribute in respect of that session under Part I or III of the former Act or under this Part and a withdrawal allowance in respect of that session became payable to that person under section 15 or 32 of the former Act or under section 38 of this Act, as the case may be;that person was, immediately before ceasing to be a member, eligible to make an election to contribute in respect of that session but did not do so;the person was not a member on the day on which this paragraph came into force and was a person to whom a withdrawal allowance under subsection 2.3(2) was paid and who did not subsequently elect under section 2.6 to have the Act recommence to apply to the person; orthe person was a person to whom a withdrawal allowance under subsection 2.3(2) was paid and who did not subsequently elect under subsection (1.1).[Note: Paragraph 32(3)(c) in force September 21, 2000, on assent of 2000, c. 27.]R.S., 1985, c. M-5, s. 32; 1992, c. 46, s. 81; 1998, c. 23, s. 13; 2000, c. 27, s. 7; 2001, c. 20, s. 22
Contributions in respect of previous sessionsWhere a member elects to contribute to the Compensation Arrangements Account in respect of a previous session, the member shall pay into the Consolidated Revenue Fundin the case of a member who, before July 13, 1995, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons, a contribution equal to seven per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to eleven per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the House of Commons in respect of that previous sessionby way of sessional indemnity, andby way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance;in the case of a member who, on or after July 13, 1995 and before January 1, 2001, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons, a contribution equal to five per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to nine per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the House of Commons in respect of that previous sessionby way of sessional indemnity, andby way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance;in the case of a member who, on or after January 1, 2001, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons and whose sessional indemnity in respect of the session exceeds his or her earnings limit for the calendar year,if the member has not reached 69 years of age at the time of the election,a contribution equal to the total of 4% of that portion of the sessional indemnity that exceeds the earnings limit and 3% of the sessional indemnity, anda contribution equal to 7% of the total of his or her salary and annual allowance, if the member elects to contribute in respect of those amounts, andif the member has reached 69 years of age at the time of the election,a contribution equal to 7% of the sessional indemnity, anda contribution equal to 7% of the total of his or her salary and annual allowance, if the member elects to contribute in respect of those amounts;in the case of a member who, on or after January 1, 2001, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons and whose sessional indemnity in respect of the session does not exceed his or her earnings limit for the calendar year,if the member has not reached 69 years of age at the time of the election, a contribution equal to 3% of the sessional indemnity, or 7% if he or she has reached that age, andif the member received any salary or annual allowance in respect of the session and elected to contribute in respect of those amounts,if the member has not reached 69 years of age at the time of the election, a contribution equal to3% of the portion of the salary or annual allowance that, in combination with the sessional indemnity, does not exceed the earnings limit, and7% of the portion of the salary or annual allowance that, in combination with the sessional indemnity, exceeds the earnings limit, andif the member has reached 69 years of age at the time of the election, a contribution equal to 7% of his or her salary or annual allowance;in the case of a member who makes an election under subsection 32(1) in respect of amounts paid as a member of the Senate,where the election was made on or after July 13, 1995 and before January 1, 2001, a contribution equal to three per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to seven per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the Senate in respect of that previous session by way of sessional indemnity,where the election was made before July 13, 1995, a contribution equal to seven per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to eleven per cent if the member has reached that age at that time, of the aggregate of amounts paid to that member as a member of the Senate in respect of that previous session by way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance under this subparagraph and, where applicable, subsection (2),where the election was made on or after July 13, 1995 and before January 1, 2001, a contribution equal to five per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to nine per cent if the member has reached that age at that time, of the aggregate of amounts paid to that member as a member of the Senate in respect of that previous session by way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance under this subparagraph and, where applicable, subsection (2),if the election was made on or after January 1, 2001 and the sessional indemnity paid in respect of the session exceeds his or her earnings limit for the calendar year,if the member makes the election before reaching 69 years of age,a contribution equal to the total of 4% of the portion of the sessional indemnity that exceeds the earnings limit and 3% of the sessional indemnity, anda contribution equal to 7% of the total of his or her salary and annual allowance, if the member elects to contribute in respect of those amounts, andif the member has reached 69 years of age at the time of the election,a contribution equal to 7% of the sessional indemnity, anda contribution equal to 7% of the total of his or her salary and annual allowance, if the member elects to contribute in respect of those amounts, andif the election was made on or after January 1, 2001 and the sessional indemnity paid in respect of the session does not exceed his or her earnings limit for the calendar year,if the member makes the election before reaching 69 years of age,a contribution equal to 3% of the sessional indemnity, andif the member elects to contribute in respect of any salary or annual allowance, a contribution equal to 3% of the portion of salary or annual allowance that, in combination with the sessional indemnity, does not exceed the earnings limit and a contribution equal to 7% of the portion that, in combination with the sessional indemnity, exceeds the earnings limit, andif the member makes the election after reaching 69 years of age,a contribution equal to 7% of the sessional indemnity, anda contribution equal to 7% of the total of his or her salary and annual allowance, if the member elects to contribute in respect of those amounts; andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that session to the day on which the election is made.Contributions in respect of previous periodIf a member elects under subsection 32(1.1) to contribute to the Compensation Arrangements Account in respect of the period referred to in that subsection, the member shall pay into the Consolidated Revenue Funda contribution equal to five per cent if the member has not reached seventy-one years of age at the time of the making of the election, or equal to nine per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member in respect of that periodby way of sessional indemnity, andby way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance; andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that period to the day on which the election is made.Maximum contributionNotwithstanding subparagraphs (1)(a)(ii), (a.1)(ii) and (b)(ii), in the case of a person who has not reached 71 years of age at the time of the making of the election, where the aggregate of amounts paid to the person as a member in respect of one or more previous sessions in a calendar year by way of sessional indemnity, salary or annual allowance exceedsthe earnings limit of the member for that calendar year, orwhere the person was not a member during the whole of that calendar year, that portion of the earnings limit of the member for that calendar year that the part of the calendar year during which the person is a member bears in relation to the whole of the calendar year, determined in accordance with the regulations,the member shall not, in respect of that previous session, contribute under that subparagraph on the excess amount, but shall instead pay into the Consolidated Revenue Fundin the case of an election made before July 13, 1995, a contribution equal to eleven per cent of the excess amount and, in the case of an election made on or after that date and before January 1, 2001, a contribution equal to nine per cent of the excess amount, andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of that salary or annual allowance was made to the day on which the election is made.Maximum contributionNotwithstanding subparagraph (1.1)(a)(ii), in the case of a person who has not reached seventy-one years of age at the time of the making of the election, where the aggregate of amounts paid to the person as a member in respect of a particular period in a calendar year by way of sessional indemnity, salary or annual allowance exceedsthe earnings limit of the member for that calendar year, orwhere the person was not a member during the whole of that calendar year, that portion of the earnings limit of the member for that calendar year that the part of the calendar year during which the person is a member bears in relation to the whole of the calendar year, determined in accordance with the regulations,the member shall not, in respect of that period, contribute under that subparagraph on the excess amount, but shall instead pay into the Consolidated Revenue Funda contribution equal to nine per cent of the excess amount, andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of that salary or annual allowance was made to the day on which the election is made.Earnings limit for part of yearFor the purpose of subsection (1), if the person was not a member during the whole of a calendar year, the earnings limit for that calendar year is determined by multiplying the member’s earnings limit for the calendar year by the ratio that the part of the calendar year during which the person was a member is to the whole calendar year.ApplicationThis section applies only in respect of elections made before January 1, 2013.R.S., 1985, c. M-5, s. 33; 1992, c. 46, s. 81; 1995, c. 30, s. 8; 2000, c. 27, s. 8; 2001, c. 20, s. 23; 2003, c. 16, s. 5; 2012, c. 22, s. 25
Contributions in respect of previous sessions — election made between January 1, 2013 and December 31, 2015If a member elects, during the period that begins on January 1, 2013 and ends on December 31, 2015, to contribute to the Compensation Arrangements Account in respect of a previous session, he or she shall pay into the Consolidated Revenue Fundif the member has not reached 71 years of age at the time the election is made, a contribution equal to the aggregate ofan amount calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.1(1)(a) that is in force on the day on which the election is made in respect of the portion of the sessional indemnity paid to the member during that previous session that exceeds his or her earnings limit for the year during that previous session,an amount calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.1(1)(b) that is in force on the day on which the election is made in respect of the sessional indemnity paid to the member during that previous session, andan amount calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.1(1)(c) that is in force on the day on which the election is made in respect of any salary or annual allowance paid to the member during that previous session, if he or she elects to contribute in respect of that salary or annual allowance;if the member has reached 71 years of age at the time the election is made, a contribution equal to the aggregate ofan amount calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.1(2)(a) that is in force on the day on which the election is made in respect of the sessional indemnity paid to the member during that previous session, andan amount calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.1(2)(b) that is in force on the day on which the election is made in respect of any salary or annual allowance paid to the member during that previous session, if he or she elects to contribute in respect of that salary or annual allowance; andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that previous session to the day on which the election is made.Earnings limit for part of yearFor the purpose of subsection (1), if the person was not a member during the whole of a calendar year, the earnings limit for that calendar year is determined by multiplying the member’s earnings limit for the calendar year by the ratio that the part of the calendar year during which he or she was a member is to the whole calendar year.2012, c. 22, s. 26
Contributions in respect of previous sessions — election made on or after January 1, 2016If a member elects on or after January 1, 2016 to contribute to the Compensation Arrangements Account in respect of a previous session, he or she shall pay into the Consolidated Revenue Fundif the member has not reached 71 years of age at the time the election is made,a contribution, calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.2(1)(a) that is in force on the day on which the election is made, in respect of the portion of the member’s pensionable earnings during that previous session that exceeds his or her earnings limit for the year during that previous session, anda contribution, calculated at his or her applicable contribution rate that is fixed for the purpose of paragraph 31.2(1)(b) that is in force on the day on which the election is made, in respect of the member’s pensionable earnings during that previous session, andif the member has reached 71 years of age at the time the election is made, a contribution, calculated at his or her applicable contribution rate that is fixed for the purpose of subsection 31.2(2) that is in force on the day on which the election is made, in respect of the member’s pensionable earnings during that previous session; andthe interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of pensionable earnings was made to the member in respect of that previous session to the day on which the election is made.Earnings limit for part of yearFor the purpose of subsection (1), if the person was not a member during the whole of a calendar year, the earnings limit for that calendar year is determined by multiplying the member’s earnings limit for the calendar year by the ratio that the part of the calendar year during which he or she was a member is to the whole calendar year.2012, c. 22, s. 26
Limits on contributionsDespite anything in this Part, no contribution shall be paid by a member under this Part in respect of any session in the course of which the member ceases to be a Senator by reason of disqualification or was expelled from the House of Commons.R.S., 1985, c. M-5, s. 34; 1992, c. 46, s. 81; 2001, c. 20, s. 24; 2003, c. 16, s. 6; 2012, c. 22, s. 26
Contribution of 1% — January 1, 2001 to December 31, 2012 — 69 years of age or moreDuring the period that begins on January 1, 2001 and ends on December 31, 2012, a member who has reached 69 years of age shall with respect to each calendar year, by reservation from the sessional indemnity payable to him or her, contribute under this Part 1% of the amount payable to him or her by way of sessional indemnity after the aggregate of the products obtained by multiplying the number of years of pensionable service to the member’s credit by the multipliers set out in subsection 16(1) and, as applicable, subsection 36(2) or (6) equals 0.75.Exception for 1%During the period that begins on January 1, 2001 and ends on December 31, 2012, a member to whom subsection 12(2) applies shall with respect to each calendar year, by reservation from the sessional indemnity payable to him or her, contribute to the Compensation Arrangements Account 1% of that portion of his or her sessional indemnity for the calendar year that exceeds the his or her earnings limit for that year.2012, c. 22, s. 26
Exclusions from computation of contributionsIn a computation of the total amount that a member has contributed or elected to contribute under this Part, there shall not be includedany contributions in respect of which a withdrawal allowance has been paid under this Part;any contributions in respect of which the member’s election has been revoked under this Part; orany amount paid by way of interest.2012, c. 22, s. 26
Allowances
Payment of allowancesAn allowance or other benefit shall be paid in accordance with this Part to or in respect of a person who, being a member, ceases to be a member or, being a member or former member, dies.R.S., 1985, c. M-5, s. 35; 1992, c. 46, s. 81
Compensation allowanceSubject to sections 58 and 59, a compensation allowance determined in accordance with this section shall be paid to a person during his or her lifetime in respect of contributions made under this Part, other than those made in respect of salary or annual allowance and those made under subsection 34(2) or (2.1), as that subsection read on December 31, 2012 — and those made under paragraph 31.1(1)(a) or (2)(a) if the person was contributing at the contribution rate referred to in subsection 2.7(9) —, if the personceases to be a member on or after January 1, 1992; andcontributed or elected to contribute under this Part, or Part I or III of the former Act, for at least six years.Amount payable to former members of House of CommonsThe compensation allowance payable under this section in respect of contributions made as a member of the House of Commons is an amount equal to the aggregate ofthe person’s average annual sessional indemnity multiplied by, subject to subsections (3) and (3.1), the number of years and portions of years of pensionable service calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6), multiplied byif the person has not reached 60 years of age,0.05 for the years and portions of years of pensionable service calculated by reference to contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,0.04 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after July 13, 1995 and before January 1, 2001, other than those made pursuant to an election referred to in clause (A), and0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),subject to subparagraphs (iii) and (iv), if the person has reached 60 years of age,0.03 for the years and portions of years of pensionable service calculated by reference to contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,0.02 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after July 13, 1995 and before January 1, 2001, other than those made pursuant to an election referred to in clause (A), and0.01 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),if the person contributed after he or she reached 71 years of age,0.05 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995,0.04 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, other than those made pursuant to an election referred to in clause (A), and0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election referred to in clause (A) or (B) or subparagraph (a)(iv), andif the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election referred to in clause (iii)(A) or (B),the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001; andthe person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4.1), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.Years of service — clauses (2)(a)(iii)(A) and (B)For the purposes of clauses (2)(a)(iii)(A) and (B), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit foreach amount, equal to 11% of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has — during that calendar year and before July 13, 1995 — contributed or elected to contribute under section 31 or 33, as those sections read immediately before that date, other than amounts contributed in respect of salary or annual allowance or as interest; andeach amount, equal to 9% of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has — during that calendar year and on or after July 13, 1995 and before January 1, 2001 — contributed or elected to contribute under section 31 or 33, as those sections read immediately before January 1, 2001, other than amounts contributed in respect of salary or annual allowance or as interest.Years of service — clause (2)(a)(iii)(C) and subparagraphs (2)(a)(iv) and (6)(a)(iv)For the purposes of clause (2)(a)(iii)(C) and subparagraphs (2)(a)(iv) and (6)(a)(iv), a person, on ceasing to be a member, is deemed to have the same number of years and portions of years of pensionable service to his or her credit that would be calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6) if the person were a person required to contribute under Part I.Years of service — paragraphs (2)(b) and 2(6)(b)For the purposes of paragraphs (2)(b) and (6)(b), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount — equal to 7% of the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during a calendar year — that, during the period beginning on January 1, 2001 and ending on December 31, 2012, he or she contributed or elected to contribute under subsection 31(1) or 33(1) in respect of that portion of the sessional indemnity that exceeded his or her earnings limit for the calendar year.Years of service — paragraphs (2)(c) and (6)(c)For the purposes of paragraphs (2)(c) and (6)(c), for each of the calendar years from 2013 to 2015, a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount equal to the amount determined under subsection (4.2) that, during that calendar year, the person contributed or elected to contribute under section 31.1 or subsection 33.1(1) in respect of that portion of the sessional indemnity that exceeded his or her earnings limit for the calendar year.AmountThe amount for the purposes of subsection (4.1) in respect of a person for a calendar year is the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during the calendar year multiplied by the contribution rate that is fixed for the calendar year for the purpose of paragraph 31.1(2)(a).Application of subsections (3), (4), (4.1) and (7)In the application of subsections (3), (4), (4.1) and (7), the deeming provision of subsection 16(6) in relation to a portion of a year’s pensionable service shall apply, with any modifications that the circumstances require.Amount payable to former members of SenateThe compensation allowance payable under this section in respect of contributions made as a member of the Senate is an amount equal to the aggregate ofthe person’s average annual sessional indemnity multiplied by, subject to subsection (7), the number of years and portions of years of pensionable service calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6), multiplied byif the person has not reached 60 years of age, 0.03,subject to subparagraphs (iii) and (iv), if the person has reached 60 years of age, 0.01,if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday, andif the person contributed after he or she reached 71 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday,the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001; andthe person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4.1), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.Years of service — subparagraph (6)(a)(iii)For the purpose of subparagraph (6)(a)(iii), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount — equal to 7% of the sessional indemnity payable to a member of the Senate during any calendar year — that, during that calendar year and before January 1, 2001, he or she contributed or elected to contribute under section 31 or 33, as those sections read immediately before that date, other than amounts contributed in respect of salary or annual allowance or as interest.Special case — before January 1, 2001For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before January 1, 2001, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, beif the person has not reached 60 years of age, 0.04;subject to paragraph (c), if the person has reached 60 years of age, 0.02; andif the person contributed after he or she reached 71 years of age, 0.04 for the years and portions of years of pensionable service calculated by reference to contributions made on or after the 71st birthday, other than those made under an election made before that birthday.Special case — January 1, 2001 to December 31, 2015For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, during the period that begins on January 1, 2001 and ends on December 31, 2015, elected to contribute under this Part in respect of any session or part of a session before December 31, 2015, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, beif the person has not reached 60 years of age, 0.03;subject to paragraphs (c) and (d), if the person has reached 60 years of age, 0.01;if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday; andif the person contributed after he or she reached 71 years of age, 0.03 for the years or portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday.ExceptionClauses (2)(a)(i)(B), (ii)(B) and (iii)(B) and subsection (8) apply — instead of clauses (2)(a)(i)(C) and (ii)(C), subparagraph (2)(a)(iv) and subsection (9) — in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1), on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).R.S., 1985, c. M-5, s. 36; 1992, c. 46, s. 81; 1995, c. 30, s. 9; 2001, c. 20, s. 25; 2003, c. 16, s. 7; 2012, c. 22, ss. 27, 41
Additional compensation allowanceSubject to section 58, where a person ceases to be a member on or after January 1, 1992, having contributed or elected to contribute under this Part or Part I or III of the former Act, as a member for at least six years and has contributed under this Part in respect of any amount paid by way of salary or annual allowance, there shall be paid to the person during the lifetime of that person an additional compensation allowance determined in accordance with this section.Amount payableThe additional compensation allowance payable to a person pursuant to this section is an amount equal to the aggregate ofthe average annual sessional indemnity of the person multiplied by the same number of years and portions of years of pensionable service to the credit of the person as is calculated for the purposes of paragraph 17(1)(b) in accordance with subsections 17(4) and (5), multiplied bywhere the person has not reached 60 years of age,0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),subject to subparagraphs (iii) and (iv), where the person has reached 60 years of age,0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,0.02 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and0.01 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),where the person has reached 71 years of age and contributed after that,0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, in the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995,0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, in the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, or in respect of which an election was made during that period, other than contributions made pursuant to an election referred to in clause (A), and0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election referred to in clause (A) or (B), andif the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election referred to in subparagraph (iii), andthe average annual sessional indemnity of the person multiplied by the number of years of pensionable service calculated in accordance with subsections (3) and (4), multiplied by0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than under an election referred to in subparagraph (i), and0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001, and0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.Years of pensionable serviceFor the purposes of paragraph (2)(b), a person, on ceasing to be a member, is deemed to have one year of pensionable service to the credit of that person foreach amount, equal to eleven per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute before July 13, 1995 pursuant to paragraph 31(2)(b) or subsection 31(3) or 33(2) as those provisions read before the coming into force of this paragraph or, if the person had reached 71 years of age at the time of making the election, pursuant to subparagraph 33(1)(a)(ii) or (b)(ii);each amount, equal to nine per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute on or after July 13, 1995 and before January 1, 2001 pursuant to a provision referred to in paragraph (a); andeach amount, equal to 7% of the sessional indemnity payable to the person as a member of the Senate or House of Commons, as the case may be, during a calendar year, that the person — during the period beginning on January 1, 2001 and ending on December 31, 2012 — has contributed or elected to contribute under subsection 31(3), paragraph 31(4)(b) or subsection 31(5) or 33(1), other than amounts paid under subsection 33(1) in respect of sessional indemnity or as interest.Years of pensionable serviceFor the purposes of paragraph (2)(b), for each of the calendar years from 2013 to 2015, a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount equal to the amount determined under subsection (3.2) that, during that calendar year, the person contributed or elected to contribute under paragraph 31.1(1)(c) or (2)(b) or subsection 33.1(1), other than amounts paid under subsection 33.1(1) in respect of sessional indemnity or as interest.AmountThe amount for the purposes of subsection (3.1) in respect of a person for a calendar year is the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during the calendar year multiplied by the contribution rate that is fixed for the calendar year for the purpose of paragraph 31.1(2)(a).Application of subsection 14(3)In the application of subsection (3), the deeming provision of subsection 14(3) in relation to a portion of a year’s pensionable service shall apply, with such modifications as the circumstances require.Special caseFor the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before January 1, 2001,the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out therein, bewhere the person has not reached 60 years of age, 0.04,subject to subparagraph (iii), where the person has reached 60 years of age, 0.02, andif the person has reached 71 years of age and contributed after reaching that age, 0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made on or after the 71st birthday, other than those made under an election made before that birthday; andthe multipliers referred to in paragraph (2)(b) shall, in lieu of the numbers set out in that paragraph, be 0.04.Special case — January 1, 2001 to December 31, 2015For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, during the period begining on January 1, 2001 and ending on December 31, 2015, elected to contribute under this Part in respect of any session or part of a session before December 31, 2015, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, beif the person has not reached 60 years of age, 0.03;subject to paragraphs (c) and (d), if the person has reached 60 years of age, 0.01;if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday; andif the person contributed after he or she reached 71 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday.ExceptionClauses (2)(a)(i)(B), (ii)(B) and (iii)(B), subparagraph (2)(b)(ii), paragraph (3)(b) and subsection (4) shall apply instead of clauses (2)(a)(i)(C) and (ii)(C), subparagraphs (2)(a)(iv) and (b)(iii), paragraph (3)(c) and subsection (5) in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1) on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).R.S., 1985, c. M-5, s. 37; 1992, c. 46, s. 81; 1995, c. 30, s. 10; 2001, c. 20, s. 26; 2003, c. 16, s. 8; 2012, c. 22, ss. 28, 41
Beginning of payment of allowances — July 13, 1995 to December 31, 2015Despite sections 36 and 37, the allowances otherwise payable to a person under those sections in respect of pensionable service calculated by reference to contributions made during the period beginning on July 13, 1995 and ending on December 31, 2015, other than those made under an election made before July 13, 1995, are not payable until the earlier ofthe day on which the person reaches fifty-five years of age, andthe day on which the person, after ceasing to be a member, becomes entitled to receive a disability pension under the Canada Pension Plan or a provincial pension plan similar thereto.ExceptionSubsection (1) does not apply to a person who, on ceasing to be a member, is entitled to receive a disability pension under the Canada Pension Plan or a provincial pension plan similar thereto.1995, c. 30, s. 11; 2012, c. 22, s. 29
Allowance on ceasing to be member on or after January 1, 2016 — 65 years of age or olderSubject to sections 58 and 59, if a person ceases to be a member after December 31, 2015, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years and the person has reached 65 years of age when he or she ceases to be a member, there shall be paid to that person during his or her lifetime a compensation allowance in an amount calculated under subsection (2).AmountThe amount of the compensation allowance is the amount determined by the formula(A × B × 0.03) – (C + D)whereAis the person’s average annual pensionable earnings;Bis the number of years and portions of years of the person’s pensionable service calculated in accordance with subsections (3) and (4);Cis an amount equal to the number determined by the calculation referred to in the description of B multiplied by an amount equal to the portion of the person’s average annual pensionable earnings that does not exceed his or her earnings limit for the calendar year in which he or she ceased to be a member multiplied by 0.02;Dis an amount equal to the percentage fixed by the Chief Actuary for the purpose of subsection 17.1(2) ofthe person’s average maximum pensionable earnings multiplied by B,multiplied by0.01.Pensionable serviceSubject to subsection (4), the person’s pensionable service for the purpose of subsection (2) isthe years and portions of years spent as a member after December 31, 2015 during which he or she was required to contribute under this Part, other than any period in respect of which a withdrawal allowance has been paid to the person; andthe years and portions of years in respect of which he or she elected on or after January 1, 2016 to bring to his or her credit as time spent as a member.Service after contributions under subsection 12(2.1) not to be includedThe person’s service as a member during which he or she was required to contribute under subsection 12(2.1), if any, is not to be included in the calculation under subsection (3) of the person’s pensionable service.2012, c. 22, s. 30
Allowance on ceasing to be member on or after January 1, 2016 — under 65 years of ageSubject to sections 58 and 59, if a person ceases to be a member after December 31, 2015, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years and the person is under 65 years of age when he or she ceases to be a member, and the person elects to receive a compensation allowance under this section, there shall be paid to that person, beginning on the date specified by him or her,if the specified date is before the person reaches 60 years of age,until the person reaches the age of 60, a compensation allowance in an amount calculated under subsection (2), andafter the person reaches the age of 60, during his or her lifetime, a compensation allowance in an amount calculated under subsection (3); andif the specified date is the day of the person’s 60th birthday or any day after that day, during his or her lifetime, a compensation allowance in an amount calculated under subsection (3).Amount of compensation allowanceFor the purposes of subparagraph (1)(a)(i), the amount of the compensation allowance is the amount determined by the formula(A × B × 0.03) – (C × D)whereAis the person’s average annual pensionable earnings;Bis the number of years and portions of years of the person’s pensionable service calculated in accordance with subsections 37.2(3) and (4);Cis an amount equal to A x B x 0.03; andDis the product obtained by multiplying 0.01 by the number of years by which the person’s age in years, to the nearest 1/10 of a year, at the time the allowance is payable, is less than 65 years of age.Amount of compensation allowanceFor the purposes of subparagraph (1)(a)(ii) and paragraph (1)(b), the amount of the compensation allowance is the amount determined by the formulaA – (A × B)whereAis the allowance that would be payable to the person under subsection 37.2(2) if the person had reached 65 years of age; andBis the reduction factor.Limitation regarding specified dateThe date specified by the person shall not be earlier than the person’s 55th birthday.2012, c. 22, s. 30
Withdrawal Allowances
Withdrawal allowanceThere shall be paid to a person who ceases to be a member but who has not contributed or elected to contribute under this Part or Parts I, III and IV of the former Act as a member for at least six years a withdrawal allowance, in a lump sum, equal to the aggregate ofthe total amount of the contributions that the person has paid under this Part and Parts I, III and IV of the former Act, andthe interest on those contributions that the person has paid under paragraph 33(1)(c) or (2)(d), 33.1(1) (c) or 33.2(1)(c).R.S., 1985, c. M-5, s. 38; 1992, c. 46, s. 81; 2012, c. 22, s. 31
Withdrawal allowance where member expelledThere shall be paid to a person who ceases to be a Senator by reason of disqualification or who is expelled from the House of Commons a withdrawal allowance, in a lump sum, equal to the aggregate ofthe total amount of the contributions that the person has paid under this Part and Parts I, III and IV of the former Act, andthe interest on those contributions that the person has paid under paragraph 33(1)(c) or (2)(d), 33.1(1)(c) or 33.2(1)(c).R.S., 1985, c. M-5, s. 39; 1992, c. 46, s. 81; 2012, c. 22, s. 32
[Repealed, 1998, c. 23, s. 14]
Survivor Benefits
Survivor benefitsOn the death of a member or former member, there shall be paidto the survivor an allowance equal to three fifths of the basic compensation allowance, but, if more than one survivor is entitled to an allowance under this paragraph, the total amount of the allowances shall not exceed three fifths of the basic compensation allowance and that total amount shall be apportioned in accordance with subsection (1.1); andto each child, an allowance equal to one tenth of the basic compensation allowance or, if the member or former member died leaving no one entitled to an allowance under paragraph (a), two tenths of the basic compensation allowance, but the total amount of the allowances shall not exceed three tenths of the basic compensation allowance or, if the member or former member died leaving no one entitled to an allowance under paragraph (a), eight tenths of the basic compensation allowance.ApportionmentFor the purposes of paragraph (1)(a), the total amount shall be apportioned so thatthe survivor referred to in paragraph (a) of the definition survivor in subsection 2(1) receives an amount, if any, equal to the total amount less any amount determined under paragraph (b); andthe survivor referred to in paragraph (b) of that definition receives an amount equal to that proportion of the total amount that the number of years that survivor cohabited with the member or former member while a member is of the number of years that the member or former member was a member.YearsIn determining a number of years for the purposes of subsection (1.1), a part of a year shall be counted as a full year if the part is six or more months and shall be ignored if it is less.Definition of basic compensation allowanceIn this section, basic compensation allowance meansin the case of a former member, the aggregate of all the compensation allowances and additional compensation allowances that the former member was receiving under this Part at the time of death, calculated as if the former member had reached sixty years of age immediately before death; andin the case of a member, the aggregate of all the compensation allowances and additional compensation allowances that the member would have been entitled to receive under this Part if the member had ceased to be a member and had reached sixty years of age immediately before death.DeemingFor the purposes of subsection (2), if the member or former member has pensionable service that came to his or her credit on or after January 1, 2016, the member or former member is deemed to have received or to have been entitled to receive, as the case may be, a compensation allowance in an amount determined under subsection 37.2(2) without taking into account the calculation referred to in the description of D in that subsection.R.S., 1985, c. M-5, s. 40; 1992, c. 46, s. 81; 1995, c. 30, s. 13; 1999, c. 34, s. 226; 2012, c. 22, s. 33
Children born, etc., after member ceases to be a memberSubject to the regulations, a child who is born to or adopted by a member or who becomes the stepchild of a member after that member ceases to be a member is not entitled to an allowance under section 40.R.S., 1985, c. M-5, s. 41; 1992, c. 46, s. 81
Saving provisionNothing in section 41 shall prejudice any right that a child of an earlier marriage of a member or former member has to an allowance under section 40.1992, c. 46, s. 81
[Repealed, 2000, c. 12, s. 178]
Duration of entitlementAn allowance under section 40shall be paid monthly in arrears in approximately equal instalments;begins to be payablein respect of the death of a member, on the first day of the month immediately after the month in which the member dies, orin respect of the death of a former member, on the day after the day on which the former member dies; andin the case of an allowance under paragraph 40(1)(a), continues during the lifetime of the recipient.1992, c. 46, s. 81; 1995, c. 30, s. 15; 2000, c. 12, s. 178
Election for benefitIf the person to whom a former member is married or with whom the former member is cohabiting in a relationship of a conjugal nature, having so cohabited for a period of at least one year, would not be entitled, in the event of the former member’s death, to receive an allowance under paragraph 20(1)(a) or 40(1)(a), the former member may elect, in accordance with the regulations, in order that the person could become entitled to an allowance under subsection (3), to reduce the amount ofthe former member’s retirement allowances and any additional retirement allowance, under Part I; andthe former member’s compensation allowances, if any, and any additional compensation allowance, under this Part.Election for both PartsNo election may be made by a former member under subsection (1) unless the former member makes an election under subsection 25(1), if applicable, at the same time.Entitlement to allowanceA person referred to in subsection (1) is entitled to an allowance in an amount determined in accordance with the election and the regulations if the former member dies and the election is not revoked or deemed to have been revoked, and the person was married to the former member at the time of the former member’s death, or was cohabiting with the former member in a relationship of a conjugal nature for a period of at least one year immediately before the former member’s death.Payment of allowanceThe allowance to the person referred to in subsection (1) shall be paid monthly in arrears in approximately equal instalments, beginning on the day after the day on which the former member dies, and continues during the person’s lifetime.No entitlementA person who is entitled to receive an allowance under section 20 or 40 after the former member’s death is not entitled to an allowance under subsection (3) in respect of that former member.1992, c. 46, s. 81; 2000, c. 12, s. 178; 2012, c. 22, s. 34
[Repealed, 2000, c. 12, s. 178]
Prime MinisterContributions
Contributions by Prime Minister — January 1, 2013 to December 31, 2015Beginning on January 1, 2013 and ending on December 31, 2015, the member who holds the office of Prime Minister shall with respect to each calendar year, by reservation from the annual salary payable to the member as Prime Minister under the Salaries Act, contribute to the Compensation Arrangements Account, in respect of that salary, at the applicable contribution rate that is fixed for the purpose of paragraph 31.1(1)(c).Contributions by Prime Minister — beginning January 1, 2016Beginning on January 1, 2016, the member who holds the office of Prime Minister shall with respect to each calendar year, by reservation from the annual salary payable to the member as Prime Minister under the Salaries Act, contribute to the Compensation Arrangements Account, in respect of that salary, at the contribution rate that is fixed for the purpose of subsection 31.2(2).1992, c. 46, s. 81; 2012, c. 22, s. 35
Allowance to former Prime MinistersThere shall be paid to every person who has held the office of Prime Minister for four years before February 6, 2006 an allowance beginning on the day on which that person ceases to be a member or reaches 65 years of age, whichever is the later, equal to 2/3 of the annual salary payable under the Salaries Act to the Prime Minister as Prime Minister on that day.Allowance to former Prime MinistersThere shall be paid to every person who has held the office of Prime Minister for four years on or after February 6, 2006 an allowance beginning on the day on which that person ceases to be a member or reaches 67 years of age, whichever is the later, in an amount determined in accordance with subsections (3) and (4).AmountThe amount of the allowance is the annual salary payable under the Salaries Act to the Prime Minister as Prime Minister on the later of the days referred to in subsection (2) multiplied by the number of years and portions of years that the member held the office of Prime Minister multiplied by 0.03.MaximumThe maximum allowance payable to a person under subsection (2) is 2/3 of the annual salary payable under the Salaries Act to the Prime Minister as Prime Minister on the later of the days referred to in that subsection.Duration of entitlementAn allowance payable to a person under subsection (1) or (2) continues during the lifetime of that person, but is suspended in respect of any period during which the person is a Senator or a member of the House of Commons.1992, c. 46, s. 81; 2012, c. 22, s. 35
Allowance to former Prime Minister’s survivorThe survivor of a person described in subsection 48(1) or (2) shall be paid an allowance equal to 1/2 of the allowance that the person was receiving under that subsection at the time of death or would have been eligible to receive if, immediately before the time of death, the person described in that subsection had ceased to hold the office of Prime Minister and had, in the case of a person described in subsection 48(1) reached 65 years of age or, in the case of a person described in subsection 48(2), 67 years of age.Apportionment when two survivorsWhen an allowance is payable under this section and there are two survivors, the total amount of the allowance shall be apportioned so thatthe survivor referred to in paragraph (4)(a) receives an amount, if any, equal to the total amount less any amount determined under paragraph (b); andthe survivor referred to in paragraph (4)(b) receives an amount equal to that proportion of the total amount that the number of years that the survivor cohabited with the person while the person was Prime Minister is of the number of years that the person was Prime Minister.YearsIn determining a number of years for the purpose of paragraph (1.1)(b), a part of a year shall be counted as a full year if the part is six or more months and shall be ignored if it is less.Period of allowanceAn allowance payable under subsection (1) to the survivor of a person begins to be payable on the day after the day on which that person dies and continues during the lifetime of the survivor.Allowance to be paid monthlyAn allowance payable under subsection (1) shall be paid monthly in arrears in approximately equal instalments.Definition of survivorFor the purposes of this section, survivor meansa person who was marriedto a Prime Minister or former Prime Minister immediately before his or her death, andin the case of a former Prime Minister, to him or her immediately before the time when he or she ceased to be a Prime Minister; ora person who establishes that the person was cohabiting in a relationship of a conjugal naturewith a Prime Minister or former Prime Minister for a period of at least one year immediately before his or her death, andin the case of a former Prime Minister, with him or her immediately before he or she ceased to be a Prime Minister.1992, c. 46, s. 81; 2000, c. 12, s. 179; 2012, c. 22, s. 36
Election for benefitIf the person to whom a former Prime Minister is married or with whom the former Prime Minister is cohabiting in a relationship of a conjugal nature, having so cohabited for a period of at least one year, would not be entitled, in the event of the former Prime Minister’s death, to receive an allowance under subsection 49(1), the former Prime Minister may elect, in accordance with the regulations, to reduce the amount of his or her allowance under this Part, in order that the person could become entitled to an allowance under subsection (2).Entitlement to allowanceA person referred to in subsection (1) is entitled to an allowance in an amount determined in accordance with the election and the regulations if the former Prime Minister dies and the election is not revoked or deemed to have been revoked, and the person was married to the former Prime Minister at the time of the former Prime Minister’s death, or was cohabiting with the former Prime Minister in a relationship of a conjugal nature for a period of at least one year immediately before the former Prime Minister’s death.Payment of allowanceThe allowance to the person referred to in subsection (1) shall be paid monthly in arrears in approximately equal instalments, beginning on the day after the day on which the former Prime Minister dies, and continues during the person’s lifetime.No entitlementA person who is entitled to receive an allowance under section 49 after the former Prime Minister’s death is not entitled to an allowance under subsection (2) in respect of that former Prime Minister.2000, c. 12, s. 180
Supplementary BenefitsInterpretation
DefinitionsIn this Part,allowance means any allowance or other benefit payable under Part I, II or III, other than a withdrawal allowance; (allocation)disabled means incapable of pursuing regularly any substantially gainful occupation; (invalide)supplementary benefit means an amount determined in accordance with section 52. (prestation supplémentaire)Determination of retirement year or retirement monthFor the purposes of this Part,the retirement year or retirement month of a former member is the year or month, as the case may be, in which, for the purposes of this Part, that person most recently ceased to be a member; andthe retirement year or retirement month of a person who is in receipt of an allowance under subsection 20(1), 25(3), 40(1), 45(3), 49(1) or 49.1(2) is the retirement year or retirement month, as the case may be, of the former member in respect of whose service the allowance is payable.1992, c. 46, s. 81; 1995, c. 30, s. 16; 2000, c. 12, s. 181
Supplementary Benefits
Supplementary benefitSubject to this Part, every person who is in receipt of an allowance under Part I, II or III shall be paid a supplementary benefit in respect of each such allowance received in a month in any calendar year.RestrictionA former member shall not be paid a supplementary benefit unless the former member has reached sixty years of age or is disabled.1992, c. 46, s. 81; 1995, c. 30, s. 17
Calculation of amount of supplementary benefitSubject to sections 53 to 55, the supplementary benefit payable to a person pursuant to section 51 in respect of any allowance received in a month in any calendar year shall be determined with reference to the retirement year of the person and shall be in an amount equal to the amount that would be payable with respect to that allowance under section 4 of the Supplementary Retirement Benefits Act, as it read on December 31, 1991, if that Act applied in respect of that allowance.1992, c. 46, s. 81
Exception for first year benefits receivedThe supplementary benefit payable to a person for a month in the year immediately following the retirement year of the person is equal to the product obtained by multiplyingthe amount of the supplementary benefit that would, but for this section, be payable to the person for that monthbythe ratio that the number of complete months that remained in the retirement year after the retirement month bears to twelve.1992, c. 46, s. 81
Person subsequently becoming a memberWhere a former member who is in receipt of an allowance subsequently becomes a member and payment of that allowance ceases, any supplementary benefit payable to that person after that person ceases to be a member shall be at least equal to the supplementary benefit that the former member would have received if that person had not subsequently become a member.No decrease in amount of supplementary benefitThe aggregate of the amount of an allowance and the amount of the supplementary benefit in respect of that allowance that is payable to a person pursuant to section 51 for a month in any year shall not be less than the aggregate of the amount of the allowance and the amount of the supplementary benefit that is payable to that person for any month in the year next before that year.1992, c. 46, s. 81
Manner of payment of supplementary benefitThe supplementary benefit payable to a person pursuant to section 51 in respect of any allowance shall be paid at the same times, in the same manner, during or in respect of the same periods and subject to the same terms and conditions as that allowance is payable to that person.1992, c. 46, s. 81
General
Right to elect for part of sessionA member who is entitled under section 10 or 32 to elect to contribute in respect of one or more sessions is entitled to elect to contribute in respect of a part thereof if that part is the most recent in time.Form and date of electionAn election pursuant to any provision of this Act shall be made to the Minister in the form specified by the Minister and shall be deemed to be made on the day on which the form, duly signed by the person making the election, is placed in the course of delivery to the Minister.Revocation of electionA person may, at any time, revoke an election with respect to the whole or any part of the contributions then owing by that person under Part I or II by giving to the Minister a notice of revocation, in the form specified by the Minister, and thereupon that personis not required to pay the amounts owing under the provision in respect of which the revocation applies, but interest is payable on those amounts to the day on which the revocation takes place;shall, for the purpose of computing an allowance or other benefit under Part I or II, be deemed not to have elected to contribute the amount of the contributions in respect of which the revocation applies, and, if the allowance or other benefit has been calculated, it shall be recalculated accordingly and, if it has been paid to the person based on the contributions in respect of which the revocation applies, an amount equal to the difference between that benefit and the recalculated benefit may be recovered from that person, in the prescribed manner, from any allowance or other benefit payable under this Act to that person, without prejudice to any other recourse available to Her Majesty with respect to the recovery thereof; andmay not again at any time elect to make those contributions.1992, c. 46, s. 81; 1995, c. 30, s. 18
Manner of paymentEvery amount required to be paid by a member under section 11, 11.1, 33, 33.1 or 33.2 shall be paid at his or her optionin a lump sum, at the time of the making of the election; orin instalments, payable on such terms and conditions as are provided for by the regulations and in amounts established using such bases as to mortality and interest as are prescribed.Recovery of amounts dueIf any amount payable by a member or former member under a provision of this Act has become due but remains unpaid at the time of death of the member or former member, that amount, with interest at a rate prescribed from the time when it became due, may be recovered, in the prescribed manner, from any allowance payable under subsection 20(1), 25(3), 40(1), 45(3), 49(1) or 49.1(2) to another person in respect of the member or former member, without prejudice to any other recourse available to Her Majesty with respect to the recovery of that amount, and any amount so recovered is deemed, for the purposes of that provision, to have been paid by the member or former member.1992, c. 46, s. 81; 1995, c. 30, s. 19; 2000, c. 12, s. 182; 2012, c. 22, s. 37
When allowance suspendedWhere a former member, after becoming entitled to an allowance or other benefit under Part I, II or III, subsequently becomes a member, payment of the allowance or other benefit is suspended in respect of any period during which that person is a member.1992, c. 46, s. 81
Beginning of payment of allowances and amountDespite sections 17.1, 17.2, 37.2 and 37.3, if a former member who has not reached 65 years of age and who is entitled to be paid, but is not yet being paid, a retirement allowance and a compensation allowance under any of those sections becomes entitled to receive a disability pension under the Canada Pension Plan or under a similar provincial pension plan, the retirement allowance and the compensation allowance under those sections are payable to him or her on the day he or she becomes entitled to receive the disability pension and the amount of the retirement allowance and the compensation allowance payable isthe amount of the retirement allowance that would have been payable to the person under section 17.1 if he or she had reached 65 years of age; andthe amount of the compensation allowance that would have been payable to the person under section 37.2 if he or she had reached 65 years of age.AmountDespite sections 17.2 and 37.3, if a former member who has not reached 65 years of age and who is being paid a compensation allowance under section 37.3 becomes entitled to receive a disability pension under the Canada Pension Plan or under a similar provincial pension plan, the amount of the retirement allowance and the compensation allowance payable to the person under sections 17.2 and 37.3 on the day he or she becomes entitled to receive the disability pension isthe amount of the retirement allowance that would have been payable to the person under section 17.1 if he or she had reached 65 years of age; andthe amount of the compensation allowance that would have been payable to the person under section 37.2 if he or she had reached 65 years of age.2012, c. 22, s. 38
Limitation respecting allowancesDespite anything in this Act, but subject to subsection (2), the aggregate of the retirement allowance payable to a person under section 16 and the compensation allowance payable to him or her under section 36 with respect to service as a member that comes to his or her credit before January 1, 2016 shall not exceed his or her average annual sessional indemnity multiplied by 0.75.Withdrawal allowanceFor the purposes of subsection (1), a period in respect of which a withdrawal allowance has been paid to the person and in respect of which he or she has not elected to bring to his or her credit before January 1, 2016 is not to be included in the person’s service as a member that has come to his or her credit before January 1, 2016.Limitation respecting allowancesDespite anything in this Act, the aggregate of the retirement allowance payable to a person under section 17.1 or 17.2 and the compensation allowance payable to the person under section 37.2 or 37.3 with respect to service as a member that comes to his or her credit on or after January 1, 2016 shall not exceed his or her average annual pensionable earnings multiplied by 0.75.Limitation respecting allowancesDespite anything in this Act, if a person has service as a member that has come to his or her credit before January 1, 2016 and service as a member that has come to his or her credit on or after that date, any time spent by him or her as a member after he or she is required to contribute under subsection 12(2.1) or would be required to contribute under that subsection if he or she were under 71 years of age is not to be included in the calculation of the retirement allowance payable to him or her under section 17.1 or 17.2 or the compensation allowance payable to him or her under section 37.2 or 37.3.1992, c. 46, s. 81; 2012, c. 22, s. 39
DefinitionsIn this section,employment means the position of an individual in the service of some other person, including Her Majesty, that entitles the individual to fixed or ascertainable salary, fees or other compensation; (emploi)federal position meansan office or employment the salary, fees or other compensation for which is paid in whole or in part out of the Consolidated Revenue Fund or out of monies appropriated by Parliament, andan office or employment in a departmental corporation or Crown corporation as defined respectively in sections 2 and 83 of the Financial Administration Act; (emploi fédéral)federal service contract means a contract for the provision of service the consideration for the performance of which is paid in whole or in part out of the Consolidated Revenue Fund or out of monies appropriated by Parliament or by a departmental corporation or Crown corporation as defined respectively in sections 2 and 83 of the Financial Administration Act, but does not include an agreement under which an individual is engaged as an employee; (marché fédéral de services)office means the position of an individual that entitles the individual to fixed or ascertainable salary, fees or other compensation, and includes a judicial or diplomatic office and the position of corporation director; (charge)remuneration meansin respect of a federal position, the salary, fees or other compensation paid for or in respect of the carrying out of the duties and functions of the position, andin respect of a federal service contract, the consideration paid for the performance of the contract. (rémunération)PresumptionsFor the purposes of this section, where a former member controls a partnership, corporation, association or other body that enters into a federal service contract,the former member is deemed to have entered into the contract at the time the body did so and to be a party to the contract so long as the body is a party and the former member continues to control it; andthe remuneration in respect of the contract is deemed to equal the amount of the salary, fees or other compensation paid to the former member for or in respect of the services provided by the former member under the contract.ReportEvery former member who, on or after July 13, 1995, commences to hold a federal position or enters into a federal service contract and who is receiving or commences to receive an allowance or other benefit under Part I, II, III or IV, other than a withdrawal allowance or an allowance under paragraph 20(1)(a), subsection 25(3), paragraph 40(1)(a) or subsection 45(3), 49(1) or 49.1(2), shallwithin sixty days after the later of the day on which the former member commenced to hold the position or entered into the contract and the day on which the former member commenced to receive the allowance or other benefit, notify the Minister in writing of the position or contract and the amount of the remuneration;within sixty days after each anniversary of the later day referred to in paragraph (a) and while holding the position or being a party to the contract, notify the Minister in writing of the total amount of the remuneration received in the preceding year; andwithin sixty days after ceasing to hold the position or to be a party to the contract or the contract is completed or otherwise terminated, notify the Minister in writing of the cessation or termination and the total amount of the remuneration received that was not previously reported under this section.Additional informationA former member referred to in subsection (3) shall furnish the Minister in writing with such additional information respecting the federal position or federal service contract as the Minister may require.ReductionWhere a former member referred to in subsection (3) receives remuneration of $5,000 or more in any year beginning on the day on which the former member commenced holding the federal position or entered into the federal service contract, or on any anniversary of that day, the aggregate of the allowances or other benefits referred to in that subsection payable to that former member in that year shall be reduced by one dollar for each dollar of the remuneration received in that year.RecoveryThe amount of the reduction under subsection (5) may be recovered in accordance with the regulations from any allowance or other benefit payable to or in respect of the former member under this Act or otherwise, without prejudice to any other recourse available to Her Majesty with respect to the recovery of the amount.Reductions ignored for certain purposesThe amount of an allowance or other benefit payable under section 20, 25, 40, 45, 49, 49.1 or 51 to or in respect of a former member to whom this section applies or applied shall be determined as if no reduction were made under this section to the allowances or other benefits payable to the former member.1995, c. 30, s. 20; 2000, c. 12, s. 183
Benefits not assignable, etc.Subject to the Pension Benefits Division Act and to Part II of the Garnishment, Attachment and Pension Diversion Act,an allowance or other benefit under this Act is not capable of being assigned, charged, anticipated or given as security and any transaction that purports to assign, charge, anticipate or give as security any such allowance or other benefit is void;an allowance or other benefit to which a person is entitled under this Act is not capable of being surrendered or commuted during the lifetime of that person and any transaction that purports to do so is void; andan allowance or other benefit under this Act is exempt from attachment, seizure and execution, either at law or in equity.1992, c. 46, s. 81; 1995, c. 30, s. 21
Persons in receipt of disability allowanceFor the purposes of this Act, a person who is entitled to and elects to receive a disability allowance under section 71.1 of the Parliament of Canada Act is deemed to remain a member until the person’s entitlement to that allowance ceases.ContributionsThe contributions that the member is required to make under this Act shall be made by reservation from the member’s disability allowance, commencing on the day that the allowance becomes payable, and shall be calculated in respect of the salaries and allowances on which the disability allowance is based.2001, c. 20, s. 27
Minimum benefitWhere a member or former member dies and there is no person to whom an allowance or other benefit may be paid in respect of that member, or the persons to whom an allowance or other benefit may be paid die or cease to be entitled thereto, any amount by which the total amount of the contributions paid by the member or former member under Parts I to III exceeds the aggregate of all amounts paid to those persons and the member or former member under those Parts or this Part as allowances or other benefits and under Part IV as supplementary benefits shall be paid, as a death benefit, to the estate of that member or former member or, if the amount to be paid is less than $1,000, shall be paid as authorized by the Minister.1992, c. 46, s. 81
Presumption as to deathWhere a member or former member or any person entitled to an allowance or other benefit under this Act has, either before or after December 31, 1992, disappeared under circumstances that, in the opinion of the Minister, raise beyond a reasonable doubt a presumption that the person is dead, the Minister may, for the purposes of this Act, determine the date on which that person’s death is presumed to have occurred, and thereupon that person shall be deemed for all purposes of this Act to have died on that date.Change of dateAfter having determined the date of a person’s death pursuant to subsection (1), the Minister may, on the basis of new information or evidence that the date of death is different from that determined, determine a different date of death, in which case the person shall be deemed for all purposes of this Act to have died on that different date.1992, c. 46, s. 81; 1995, c. 30, s. 22
Payment of interestInterest calculated in accordance with subsection (2) shall be paid on any withdrawal allowance payable under Part I or II or death benefit payable under this Act.Calculation of interestWhere, at any time after December 31, 1974, a person ceases to be a member, the Minister shalldetermine the aggregate of all amounts referred to in subsection 40(1) of the Members of Parliament Retiring Allowances Act, chapter M-10 of the Revised Statutes of Canada, 1970, and in paragraphs 18(a) and (b), 19(a) and (b), 38(a) and (b) and 39(a) and (b) of this Act that have been contributed or otherwise paid by the memberbefore 1974, andduring each year subsequent to 1973 in which contributions were made by the member under this Actand that have not previously been paid to the person as a withdrawal allowance or paid to the person under this section; andcalculate interest at the rate and in the manner prescribedon the aggregate amount determined in respect of the period referred to in subparagraph (a)(i), from December 31, 1973 to December 31 of the year immediately preceding the year in which the person ceased to be a member, andon the aggregate amount determined in respect of each contribution year referred to in subparagraph (a)(ii), from December 31 of that year to December 31 of the year immediately preceding the year in which the person ceased to be a member.1992, c. 46, s. 81; 1995, c. 30, s. 23
Recovery of amount paid in errorAny amount that has been paid in error to a person on account of an allowance or other benefit under this Act may be recovered, in the prescribed manner, from any allowance or other benefit subsequently payable to or in respect of that person under this Act, without prejudice to any other recourse available to Her Majesty with respect to the recovery of the amount.1995, c. 30, s. 24
RegulationsThe Governor in Council may make regulations[Repealed, 2012, c. 22, s. 40]prescribing, for the purposes of any of sections 11, 11.1, 33, 33.1 and 33.2 and subsection 63(2), the rate of interest and the manner of calculating interest;prescribing, in the case of any allowance or other benefit payable under this Act, the days on which the payments of allowances or other benefits shall be made and providing that payment may be made in respect of any part of a period and that, subject to section 58, where a recipient ceases to be entitled to an allowance or other benefit or dies, payment may be made in respect of the full month in which the recipient ceases to be entitled to an allowance or other benefit or dies;providing, where a recipient of any allowance or other benefit payable under this Act is incapable of managing the recipient’s affairs, that the allowance or other benefit may be paid to another person on the recipient’s behalf;[Repealed, 1995, c. 30, s. 25]respecting the manner in which amounts referred to in subsection 56(3) or 57(2) or section 63.1 may be recovered from any allowance or other benefit payable under this Act;providing for the terms and conditions for instalment payments under subsection 57(1) and prescribing the bases as to mortality and interest to be used in establishing the amounts of the payments;respecting, for the purposes of section 21 or 41, the circumstances under which a child to whom that section applies shall be entitled to an allowance under Part I or II;respecting the recovery of amounts under subsection 59.1(6) by deduction, lump sum payment, instalment payment or otherwise, includingthe sending of notices,the making of elections with respect to the manner of the recovery of amounts or otherwise,the prescribing of bases as to mortality and interest,the estimation of amounts and the reconciliation of amounts at the end of a year,the order of the allowances or benefits from which the amounts are recovered, andthe imposition of interest;for the purposes of the definition child in subsection 2(1), providing for the meaning of the expression full-time attendance at a school or university;respecting, for the purposes of the definition child in subsection 2(1), the circumstances under which attendance at a school or university by a child of a member or former member shall be deemed to be substantially without interruption;prescribing, for the purposes of the definition defined benefit limit in subsection 2(1), an amount in respect of the 1995 calendar year and any subsequent calendar year, which amount may be prescribed by reference to the regulations made under the Income Tax Act;prescribing, for the purposes of this Act, the manner of determining a portion of the member’s earnings limit for a year;[Repealed, 2003, c. 16, s. 9]respecting the elections that may be made under sections 25, 45 and 49.1, including regulations respectingthe time, manner and circumstances in which an election may be made, revoked or deemed to have been revoked,the reduction to be made in the amount of the allowances of a former member or former Prime Minister, as the case may be, when an election is made,the amount of the allowance to which the person referred to in subsection 25(3), 45(3) or 49.1(2), as the case may be, is entitled, andany other matter that the Governor in Council considers necessary for carrying out the purposes and provisions of those sections;[Repealed, 2000, c. 12, s. 184]prescribing anything that, by this Act, is to be prescribed; andfor any other purpose deemed necessary to give effect to this Act.Retroactive regulationsRegulations made under subsection (1) may, if they so provide, be retroactive and have effect with respect to any period before they are made.1992, c. 46, s. 81; 1995, c. 30, s. 25; 2000, c. 12, s. 184; 2001, c. 20, s. 28; 2003, c. 16, s. 9; 2012, c. 22, s. 40
Valuation reportIn accordance with the Public Pensions Reporting Act, a cost certificate, a valuation report and an assets report relating to the Retiring Allowances Account shall be prepared, filed with the Minister designated under that Act and laid before Parliament.Review dateNotwithstanding subsection 3(3) of the Public Pensions Reporting Act, for the purposes of subsection (1), the review date as of which an actuarial review of the Retiring Allowances Account must be conducted for the purposes of the first valuation report completed after the coming into force of this subsection is March 31, 1995 instead of the date determined under subsection 3(3) of that Act, and thereafter the review dates must not be more than three years apart.1992, c. 46, s. 81; 1995, c. 30, s. 26
Valuation reportA cost certificate, a valuation report and an assets report relating to the Compensation Arrangements Account shall be prepared, filed with the Minister and laid before Parliament in accordance with the Public Pensions Reporting Act as if the retirement compensation arrangements provided for by Parts II and III were pension plans established under an Act referred to in subsection 3(1) of that Act.Review datesFor the purposes of subsection (1), the review date as of which an actuarial review of the Compensation Arrangements Account must be conducted for the purposes of the first valuation report is March 31, 1995, and thereafter the review dates must not be more than three years apart.1992, c. 46, s. 81; 1995, c. 30, s. 27
Report to ParliamentThe Minister shall, as soon as possible after the end of each fiscal year, lay before Parliament a report on the administration of this Act during the preceding fiscal year, including a statement of the amounts received by way of contributions and interest under this Act, the amounts paid under this Act by way of allowances or other benefits, the number of contributors, the number of persons receiving any allowance or other benefit, and such other information as is prescribed.1992, c. 46, s. 81
RELATED PROVISIONS — 1989, c. 6, s. 34
Resumption of allowances to spousesWhere, before the coming into force of this Act, payment of an allowance, annuity or pension to a spouse or surviving spouse was suspended or ceased, on remarriage of the spouse or surviving spouse, pursuant to subsection 25(2) of the Public Service Superannuation Act, section 27 of the Canadian Forces Superannuation Act, subsection 30(2) of the Defence Services Pension Continuation Act, subsection 9(5) of the Diplomatic Service (Special) Superannuation Act, subsection 14(2), 19(4) or 31(5) of the Members of Parliament Retiring Allowances Act, subsection 38.1(2) or 39(2) of the Members of Parliament Retiring Allowances Act, R.S.C. 1970, c. M-10 (as amended by R.S.C. 1970, c. 25 (1st Supp.), ss. 14 and 15), subsection 24(2) of the Royal Canadian Mounted Police Pension Continuation Act or section 16 of the Royal Canadian Mounted Police Superannuation Act, as that provision read from time to time before the coming into force of this Act, payment of the allowance, annuity or pension, as the case may be, to the spouse or surviving spouse shall, subject to that Act, be resumed on and with effect from the day on which this Act comes into force.
 — 1989, c. 6, s. 35(1)
Resumption of allowances to childrenWhere, before the coming into force of this Act, payment of an allowance or annuity to a person did not commence or ceased because, on marriage, the person was not a child within the meaning of paragraph 12(9)(b) of the Public Service Superannuation Act, paragraph 25(4)(b) of the Canadian Forces Superannuation Act, paragraph 13(4)(b) of the Royal Canadian Mounted Police Superannuation Act, paragraph 47(8)(b) of the Royal Canadian Mounted Police Pension Continuation Act or paragraph (b) of the definition child in subsection 31(6) of the Members of Parliament Retiring Allowances Act, as that provision read from time to time before the coming into force of this Act, payment of the allowance or annuity, as the case may be, to the person shall, subject to that Act, commence or be resumed, as the case may be, on and with effect from the day on which this Act comes into force.
 — 1995, c. 30, s. 28
Definition of former ActIn this section, former Act means the Members of Parliament Retiring Allowances Act, as it read on December 30, 1992.Continuation in effectNotwithstanding section 81 of An Act to amend certain Acts in relation to pensions and to enact the Special Retirement Arrangements Act and the Pension Benefits Division Act, chapter 46 of the Statutes of Canada, 1992, section 14 of the former Act continues, on and after December 31, 1992, to apply to or in respect of any person to or in respect of whom it applied immediately before that date.Provisions applicableSections 23, 50 to 55, 58, 59.1, 60 and 62 of the Members of Parliament Retiring Allowances Act, and any other provisions of that Act referred to in those sections, apply, with such modifications as the circumstances require, in respect of an allowance payable under section 14 of the former Act as if it were an allowance or benefit referred to in those sections.Acts applicableThe Pension Benefits Division Act and Part II of the Garnishment, Attachment and Pension Diversion Act apply, with such modifications as the circumstances require, in respect of an allowance payable under section 14 of the former Act as if it were a pension benefit within the meaning of that Act or Part, as the case may be.
 — 1999, c. 34, s. 229(3)
Transitional — application of certain provisionsSections 225 and 226 apply only with respect to members and former members who die on or after the day on which this subsection comes into force.
 — 2000, c. 12, s. 185
Section 25 of the Members of Parliament Retiring Allowances Act, as enacted by section 177, applies in respect of elections made after the coming into force of section 177.Section 23 of the Members of Parliament Retiring Allowances Act, as it read immediately before the coming into force of section 177, continues to apply in respect of elections made before the coming into force of section 177.
 — 2000, c. 12, s. 186
Section 45 of the Members of Parliament Retiring Allowances Act, as enacted by section 178, applies in respect of elections made after the coming into force of section 178.Section 43 of the Members of Parliament Retiring Allowances Act, as it read immediately before the coming into force of section 178, continues to apply in respect of elections made before the coming into force of section 178.
 — 2001, c. 20, s. 30
Amendments apply to members who make an election and to future membersThe provisions of the Parliament of Canada Act, the Members of Parliament Retiring Allowances Act and the Salaries Act, as amended by this Act, applyto any member of the Senate or the House of Commons who files an election in writing with the Clerk of that House, within 90 days after the day on which this section comes into force, to have them apply to the member; andto any person who becomes a member of the Senate or the House of Commons after the day on which this section comes into force.[Note: Section 30 in force 15 June, 2001, see SI/2001-82.]Failure to electThe provisions amended or repealed by this Act, other than paragraph 80(1)(a) of the Parliament of Canada Act as enacted by section 13, apply to any member who fails to make an election under paragraph (1)(a) as they read immediately before the day on which this section comes into force.[Note: Section 30 in force 15 June, 2001, see SI/2001-82.]Deemed electionA member who dies before making an election under paragraph (1)(a) is deemed to have elected immediately before the member’s death to have the provisions referred to in subsection (1) apply to the member.Election irrevocableAn election under paragraph (1)(a) is irrevocable.
 — 2014, c. 20, s. 167
Member already suspendedIf, on the day on which this Division comes into force, a person has been suspended from the Senate or House of Commons, as the case may be, by a majority vote of that House and has not had their right to accrue pensionable service reinstated by such a vote, the periods referred to in section 2.9 and subsection 2.92(1) of the Members of Parliament Retiring Allowances Act, as enacted by section 166, begin on the day on which this Division comes into force.
2022, c. 102022-07-26