Ottawa’s target benefit pension plan worth a closer look

2014-05-15T21:22:25-07:00May 15th, 2014|Categories: Defined Benefit Plans|Tags: , , |

In a recent speech in Toronto, Kevin Sorensen, Minister of State for Finance, introduced details of a new “hybrid” pension plan proposed for all federal workers and other corporations under federal pension regulation. He referred to these proposed plans as Target Benefit Pension Plans. One can understand Target Benefit plans more easily by reviewing the existing polarized options for pensions in Canada: defined benefits (DB) plans (common among the public service) and defined contribution (DC) plans (common in the [...]