Time to review your Municipal Pension Plan (MPP) Benefit Statement

Ensure your pensionable service is accurate today to maximize your retirement income in the future
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The 2021 Municipal Pension Plan (MPP) Member Benefit Statements were recently issued and are available to plan members in the confidential “My Account” section of the MPP website

It’s important to carefully review this statement, especially pensionable service, which your employer reports to the MPP.

Employers are required to report 12 months of pensionable service for every regular full-time employee. However, HEU recommends that members double-check their statements as problems can arise, which can impact your lifetime pension amount when you retire.

The MPP’s reporting year is from January 1 to December 31. So, for example, different payroll start/end dates, rotating shift schedules, and automated payroll systems may result in less than 12 months being reported to MPP. An employer’s pay period might begin on January 4 or end on December 23. Reporting this way would mean a full-time employee may be credited with less than 12 months of pensionable service.

Why is pensionable service important?

Pensionable service is the total months paid to you for time worked, vacation time, paid sick time, time on WCB (employer-paid), time on LTD, and overtime taken as time off. The maximum pensionable service for one full-time position is 12 months. 

If you worked full-time, your statement should show 12 months of pensionable service. It would only be less if you took an unpaid leave (even for a few days), worked part-time for part of the year, or joined the MPP during 2021.

Every year’s pensionable service will help determine the pension amount (the amount you receive in retirement) available to you. While both you and your employer contribute to the plan every paycheque, 75 per cent of the pension amount is paid by investments made on behalf of the MPP.

Your pensionable service calculation helps determine how much your pension will be when you retire, so make sure it is correctly recorded each year. If you are full-time and have worked 12 months, you deserve your full 12 months.

Your pension is your paycheque for life. It is guaranteed and a known amount you can rely on, so take the time to ensure your pensionable service is recorded correctly.

What should I do if I believe there is an error?

First, contact your payroll department and ask them to provide clarification and/or correct the error. If you cannot get this done, contact your HEU Staff Representative.

How do I find out more?

For questions on your pension estimates in the Benefit Statement, your past data in the Municipal Pension Plan, setting up “My Account,” or more details about the pension plan: contact the MPP at https://mpp.pensionsbc.ca/ or phone 1-800-668-6335 toll-free.  

HEU encourages members to attend a webinar or register for online courses at mpp.pensionsbc.ca/learning-resources

For questions on the MPP changes that took effect January 1, 2022, or clarification on employer responsibilities: call HEU’s pension hotline at 1-877-476-7184 or email plandesign@heu.org