Your help needed; 90 days' notice needed for retirements

Sent to: Admin, CHRO and CFO contacts
Date: March 28, 2007

Since 2005, HOOPP has been asking members and employers to submit Retirement Notices at least 90 days in advance of the date the member wants his or her pension to start.

As we are now, through our new system, dealing directly with the member about pension options much earlier in the process, it’s essential that we receive Retirement Notices at least three months in advance of the desired pension start date. Effective June 30, 2007, if the notice is not received by HOOPP at least 90 days in advance of the pension start date, the pension may not  start as expected on the first of the month following the retirement date – although the first payment will include any arrears owing.

This means in order for a pension to start on the desired date of, for example, Nov. 1, 2007, the Retirement Notice would have to be received by HOOPP by July 31, 2007.

Here’s how the new process works:

• employer provides HOOPP with a Retirement Notice
• HOOPP produces a personalized Retirement Kit which is sent to the member
• member sends in any required documents (such as proof of age, if not already on file)
• member makes his or her pension elections by telephone
• HOOPP sends member a Pension Authorization Form, which confirms those elections – this form must be signed and returned to HOOPP before pension payments can begin
• after member’s last day at work, employer sends HOOPP a Service, Earnings and Contributions report, allowing HOOPP to “true up” pension amount to include final earnings

As you can see, there are a lot more direct dealings with the member in the new process, and thus the need for more lead time. The time spent in advance of the pension to finalize all information and options will ultimately lead to less manual processing and greater efficiency.

Members will be reminded as well

HOOPP will also be reminding members of the need to provide at least 90 days’ notice of their retirement through the member newsletter, Pension Update – online and in print – as well as in the relevant sections of the hoopp.com website, including the pension calculator and the Retirement Planning section, at member presentations and on the Retirement Notice itself.

Should you have any questions about this e-mail, please send them to clientservices@hoopp.com, or call one of our client service representatives 8 a.m. to 5 p.m. Monday to Friday toll-free at 1-888-333-3659 or within Toronto at 416-369-9212.