Nova Scotia Pension Agency > Frequently Asked Questions

Frequently Asked Questions

The following questions and answers are for information only and do not cover every detail of the question. If there is any discrepancy between this information and the Public Service Superannuation Act, the provisions of the Public Service Superannuation Act and Regulations will determine the entitlements and options available.

1. What happens to my pension when I reach age 65?

Your pension has two components, a "lifetime pension" which is paid from the point of your retirement for as long as you live, as well as a "bridge benefit". As the name suggests, the bridge benefit is intended to bridge the period from retirement to age 65 when most people elect to start drawing their Canada Pension Plan (CPP) benefit. When you turn age 65, the bridge benefit of your public service pension ceases to be paid and your CPP benefit commences.

Drawing CPP Benefit at Age 60:
If you draw CPP early, at age 60, you would receive a reduced amount calculated by the Canada Pension Plan.

At age 60, you receive the following:
- CPP benefit (reduced)
- lifetime portion of your public service pension
- bridge portion of your public service pension (bridge portion ceases at age 65)

At age 65, you receive the following:
- CPP benefit (reduced)
- lifetime portion of your public service pension

Drawing CPP Benefit at Age 65:
When you begin drawing your CPP benefit age 65, the bridge portion of your public service pension will cease, but you will now be receiving your CPP benefit that is unreduced, and this will help to compensate for the adjustment.

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2. Notification of Pension Benefit Bank Deposit- When do I get one?

You will receive a direct deposit notification statement when you receive your very first pension payment. After that, you will receive one in January of each year. The only other time one will be issued to you is if there is a change in the amount of your benefit. Since you only receive a direct deposit notification statement once a year, it is best to keep that statement in a safe place so that you can refer back to it throughout the year if you need to.

Payments by electronic direct deposit are made on the third last banking day of every month (including December).

Each time you change your banking information you must complete a Direct Deposit Form (see Forms page). Alternatively, you may contact us and we shall send you a form by fax or mail. Return the form to us along with a void cheque or have your bank complete the form and forward it to us.

5. What survivor benefits are available?

Amendments to the Public Service Superannuation Act effective April 6, 2010 have resulted in changes to survivor benefit rules. If you were an employee with the Province of Nova Scotia or a participating employer prior to April 6, 2010, your survivor benefits remain the same. If you became an employee on or after April 6, 2010 there are new survivor benefit rules for you. These changes are noted below.

Surviving Spouse

If You Die in Service
If you started work prior to April 6, 2010 and you die in service, your surviving spouse would be entitled to receive 100% of the pension benefit for a period of five years that you would have been entitled to receive if you were eligible for retirement. After the end of the five-year guarantee period, your spouse would receive 66 2/3% of your pension benefit, payable for life.
Note: If you first started work on or after April 6, 2010, the survivor entitlement is the same except at the end of the five-year guarantee period, your spouse would receive approximately 60% of your pension for life.

If You Die During the 5-Year Guarantee Period
If you die within five years after retiring, your surviving spouse would receive 100% of your pension benefit for the rest of the five-year guarantee period.

If You Die After the End of the Five Year Guarantee Period
If you started work prior to April 6, 2010 and you die after the 5-year guarantee period, your surviving spouse would be entitled to receive 66 2/3% of the pension benefit that you were receiving, payable for life.
Note: If you started work on or after April 6, 2010 and die after the end of the five-year guarantee period, your spouse will receive approximately 60% of your pension, payable for life.

Surviving Children

If you started work prior to April 6, 2010, surviving children are eligible to receive 10% of the pension benefit up to 18 years of age (or 25, if in full-time attendance at an educational institution). If there are more than 3 eligible children, 33 1/3% of the member’s pension benefit is divided equally among them. Note that during the 5-year guarantee period, children’s benefits are deducted from the 100% benefit paid to a surviving spouse. If there is no surviving spouse, eligible surviving children would be entitled to share the 66 2/3% spouse’s benefit.
Note: If you started work on or after April 6, 2010, surviving children are eligible to receive 10% of the pension benefit up to 18 years of age (or 25, if in full-time attendance at an educational institution). If there are more than 4 eligible children, 40% of the member’s pension benefit is divided equally among them. Note that during the 5-year guarantee period, children’s benefits are deducted from the 100% benefit paid to a surviving spouse. If there is no surviving spouse, eligible surviving children would be entitled to share the 60% spouse’s benefit.

Surviving Dependant

Survivor benefits may also be available to a person related to you who was dependent on you by reason of mental or physical infirmity. If you started work prior to April 6, 2010 and have no spouse or children, but have an eligible dependant, the dependant is entitled to receive the 66 2/3% spouse’s benefit.
Note: If you started work on or after April 6, 2010 the entitlement to an eligible dependant would be 60% of the spouse’s benefit.

No Surviving Spouse, Children or Dependants

If you die in service and are not survived by a spouse, children, or dependants, a refund of your pension contributions plus interest will be paid to your estate. If you retire and then die before receiving pension payments at least equal to your pension contributions plus interest, a refund of the difference will be paid to your estate.

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Survivor Benefits for Two Surviving Spouses

In the event of a Plan member’s death, there is now provision for survivor benefits to be paid to two persons who satisfy the definition of spouse under the Act. We use an example here to explain this new clause. Example: A Plan member is legally married, and becomes separated from his or her spouse. They are no longer cohabiting in a conjugal relationship. Subsequently, the Plan member enters into a common-law relationship with a second spouse, while still legally married to the first.

If the Plan member dies, both the legal spouse and the common-law spouse are entitled to pension benefits, the amount of which will depend on the period of time each cohabited with the Plan member in a conjugal relationship while the member was contributing to the Plan. Any payment that would have been made to a single surviving spouse of the Plan member would be apportioned between the two spouses. Let’s say that the Plan member cohabited with the legal spouse in a conjugal relationship for 10 years, and the common-law spouse for 5 years. The legal spouse would be entitled to 2/3 of the payment to be made to a surviving spouse. The common-law spouse would be entitled to 1/3 of the payment.

Key rules regarding Survivor Benefits for Two Surviving Spouses:
1) The Plan automatically provides benefits to a legal spouse. A second spouse must provide evidence of cohabitation in a conjugal relationship with the Plan member within 12 months of the death of the Plan member. If this 12 month deadline is not met, the second spouse has no claim to benefits;
2) The spousal benefits of two spouses combined cannot exceed the amount that would have been payable if the Plan member died leaving a single surviving spouse;
3) The surviving spouse must provide evidence in writing of their cohabitation in a conjugal
relationship with the Plan member for the period in question (i.e. affidavits);
4) To qualify for benefits a common-law spouse must have been living with the Plan member at the time of the Plan member’s death;
5) The period of cohabitation for common-law spouse relationship must have been at least three years;
6) If there is a division of pension upon marriage breakdown, please contact us.
Note: These are general guidelines only. For information as to your specific situation, please always contact us.

6. What happens if I return to work after retiring?

If you retire and subsequently become employed in a bargaining unit position¹ for a period of less than 39 weeks, you do not contribute to the PSSP, and your pension payments are not affected.

If you retire and subsequently become employed in a bargaining unit position¹ on a permanent basis, or in an assignment of work that is anticipated to be or turns out to be at least 39 weeks, your pension payments cease, and you must start contributing to the PSSP, until you stop working again, at which point your pension payments resume.

If you retire and subsequently become employed in a non-bargaining unit position¹ for an employer that participates in the PSSP, please contact the Nova Scotia Pension Agency to determine if your pension payments will be affected.

If you are not sure of your employment status, please contact your employer.

Note:
1. A bargaining unit position is one that falls under the terms of the Civil Service Collective Bargaining Act, and to which the Civil Service Master Agreement between the Province of Nova Scotia and the Nova Scotia Government & General Employees Union (NSGEU) applies.

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