Flexible pension provision

The flexible pension provision, or flex provision, was added to the University of Waterloo Pension Plan in 1998. It allowed members to make additional voluntary contributions on a tax-sheltered basis so the flex balance could be used to purchase optional ancillary benefits, or flex options, at retirement.

Effective January 1, 2014, members were no longer allowed to make flex contributions, however the flex provision will continue to be administered until all obligations have been fulfilled in accordance with the terms of the pension plan. Member flex balances will continue to be credited with the pension fund rate of return until the contributor retires, terminates or dies, at which time the flex balance will be used to purchase an enhancement to the Waterloo pension from the flex options available.

Full technical details of the flex pension provision are available in the official pension plan text, which is the authoritative document and is available from the Human Resources Department.


Note: All examples use Table 2B

If you have any further questions, please contact Sue McGrath extension 32046.