The Financial Services Regulatory Authority of Ontario is consulting on proposed pension benefits guarantee fund assessment deadlines and calculations guidance, which is designed to assist plan administrators in maintaining compliance with the Pension Benefits Act.
The proposed guidance includes: that the deadline for paying the assessment is nine months after the fiscal year end, whether the pension plan is ongoing or is being wound up; and that for ongoing plans, the PBGF assessment for fiscal years that end on or after Dec. 31, 2021, must be based on the most current valuation report filed with the FSRA that has a valuation date on or before the fiscal year end in question.
Read: Ontario temporarily slashes penalties for PBGF non-payment
The FSRA is inviting stakeholders and the public to submit feedback on the proposed guidance until March 14, 2022.
In the event of an employer’s bankruptcy — and where the pension plan they sponsor is in a deficit position — Ontario’s PBGF guarantees benefits payable from these plans, subject to specific maximums and specific inclusions.
Read: Nortel pensioners lose $200M refund battle with Ontario’s PBGF