How does my HOOPP defined benefit (DB) pension work?
HOOPP is a defined benefit (DB) pension, meaning that your pension benefit is defined by a formula that uses your earnings and how long you’ve been a contributing member of the Plan.
Your employer deducts your contributions from each paycheque. Contributions are tax deductible and will be reflected on your T4 slip.
Member and employer contributions are invested in the HOOPP Fund. For every pension dollar paid by HOOPP, approximately 80 cents comes from investment returns.
When you retire, you will receive a monthly pension from HOOPP that is based on a formula that uses both your earnings and your service in the Plan. It will be paid for the rest of your life. If you retire before age 65, you will also receive a bridge benefit that will be paid until you turn 65. This amount is also based on a formula using your earnings and service.
You may receive a Cost of Living Adjustment (COLA) that increases the amount of your monthly retirement pension.