Relationship changes
Maybe you’re getting married or entering a common-law relationship. Or maybe you just have questions about what happens to your pension during a separation or divorce. We can answer any questions you might have.
In this section
How relationship changes affect your pension
If your relationship status changes, and you need to update your personal information, call the WISE Trust Pension Contact Centre. Remember to also update your employer through your HR department.
Getting married or becoming common-law
Determine your beneficiaries
You should name a beneficiary and review your designation whenever your personal circumstances change. Your beneficiary can be one or more people or a corporation, such as a charity. Many people name their children as beneficiaries. Learn more in Survivor Benefits.
Tip: Survivor benefits
Review your beneficiaries often.
Remember to review your beneficiary designation periodically and update it as things change or as needed.
Ending a spousal relationship
If your spousal relationship ends, your pension may be affected. Under the Ontario Family Law Act, pension benefits accumulated during your relationship may be included in the division of family property. What this means for you will depend on your own particular circumstances. We recommend you get professional financial and legal advice before making any decisions about your pension.
Before you divide your property, you’ll need to know the value of the pension assets you accumulated during your relationship. Here are a few steps to help you understand the process:
- To request information or provide instructions about the division of your pension assets, you’ll need to use prescribed application forms. You can find these forms on FSRA’s website.
- To determine the value of your pension, you’ll need a Family Law Valuation statement. You can get this statement from us at the WISE Trust Pension Contact Centre. Just send in a completed application for the valuation, including all supporting documents.
- We’ll send you the statement within 60 days of receiving your application. It details the value of your pension accumulated during your relationship, as well as the maximum amount you can assign or transfer to your former spouse.
For more information, you can refer to the guidebook on My Pension Resource or contact us at the WISE Trust Pension Contact Centre.
When the changes occur can affect your pension
Once you receive the Statement of Family Law Value, you and your former spouse will need to decide if your pension will be divided. You have two options:
1. If you don’t divide your pension with a former spouse
You’ll need to send a completed application specifying that your pension is not being divided or a certified copy of the court order, family arbitration award or domestic contract that provides this information to the WISE Trust Pension Contact Centre.
2. If you divide your pension with your former spouse:
Your separation agreement or court order must state your former spouse’s share as a specified amount or percentage of the value of your pension.
Transferring the funds
We’ll transfer pension funds to your former spouse within 60 days of receiving all required documents, as well as an application from your former spouse. Their entitlement will be paid as a lump-sum payment which must, in most cases, will be transferred to a locked-in retirement vehicle or another pension plan—if that plan permits. There may be some exceptions. Your pension will be adjusted to reflect the amount paid to your former spouse.
Once you receive the Statement of Family Law Value, you will need to decide if your pension will be divided. You have two options:
If you don’t divide your pension with your former spouse:
You’ll need to send a completed application that specifies that your pension is not being divided or a certified copy of the court order, family arbitration award or domestic contract that provides this information to the WISE Trust Pension Contact Centre.
If you divide your pension with your former spouse:
- Your separation agreement or court order must state your former spouse’s share as a specified amount or percentage of your monthly pension that is already in pay. Your former spouse then receives this share as a monthly pension and your pension will be adjusted to reflect the amount paid to them. You’ll need to send a certified copy of the court order, family arbitration award or domestic contract that provides this information to us at the WISE Trust Pension Contact Centre.
- When you pass away, your former spouse’s share of the pension payment ends and they’ll receive a joint and survivor pension (provided they were the eligible spouse on your date of retirement) and as long as a waiver of joint and survivor pension form was not signed and filed with the Plan. Learn more about survivor benefits.
- If your former spouse predeceases you, their pension payment will stop and their share reverts back to you—unless your separation agreement or court order filed with the application to divide your pension requires us to continue payment to your former spouse’s estate during your lifetime.