OMERS AVC Automatic Contributions Owner’s Manual

: June 16, 2024
: OMERS

Table of Contents

OMERS AVC Automatic Contributions
Product Information
Product Usage Instructions:
Starting Automatic Contributions
FAQ
**Automatic contributions to an AVC Account
AVC Automatic Contributions Registration Form
References
Read User Manual Online (PDF format)
Download This Manual (PDF format)

OMERS AVC Automatic Contributions

Product Information

Specifications

Product Name: AVC Automatic Contributions for 2024
Compatibility: Active members of the OMERS Primary Pension Plan (OMERS Plan)
Automatic Contribution Options: Available for AVC Accounts
Tax-Deductible: Automatic contributions to AVCs are tax-deductible in the year they are made
Contribution Limits: Based on contributory earnings, credited service, and pension adjustment (PA) reporting rules

Product Usage Instructions:

1. Automatic Contribution Limits
The contribution limits are established by OMERS and are designed to ensure that your contributions do not exceed the PA limits. These limits are based on contributory earnings and credited service. When determining your salary range, do not include expected overtime earnings. If you work part-time or have over 35 years of credited service prior to 2021, contact OMERS at 416-369-2444 or 1-800-387-0813 to determine your maximum bi-weekly or monthly contribution.

Contributory Earnings| Biweekly Maximum (26 Debits per Year)| Monthly Maximum (12 Debits or Deductions per Year)
---|---|---
Less than $4,444.00| Not available for Employer Payroll Deduction| Not applicable
$4,445.00 – $11,522.00| $20.00| $40.00
$11,523.00 – $19,749.00| $38.46| $83.33
$19,750.00 – $27,983.00| $57.69| $125.00
$27,984.00 – $36,211.00| $76.92| $166.67
$36,212.00 – $44,444.00| $96.15| $208.33
$44,445.00 – $162,895.00| $20.00| $250.00
Over $162,895.00| Not applicable| $40.00

Starting Automatic Contributions

There are two ways to start automatic contributions:

Option 1: Using myOMERS (Online)

Visit omers.com and click on “myOMERS”.
Follow the instructions provided to set up automatic
contributions to your AVC account.

Option 2: Completing the AVC Automatic Contribution Registration Form

Find the AVC Automatic Contribution Registration Form included in the package.
Fill out the form with the required information.
Return the completed form to OMERS.

Managing Automatic Contributions
Once your automatic contributions start, they will continue until you decide to change or stop them. You have two options to manage your automatic contributions:

Option 1: Using myOMERS (Online)

Log in to your myOMERS account on omers.com.
Navigate to the automatic contribution settings section.
Make any desired changes or stop your automatic contributions.

Option 2: Completing the AVC Automatic Contribution Registration Form

Obtain an AVC Automatic Contribution Registration Form from OMERS.
Fill out the form to make changes or stop your automatic contributions.
Return the completed form to OMERS.

You can also make a lump-sum payment to catch up on your contributions for the current year if needed.

FAQ

**Automatic contributions to an AVC Account

Q: What happens if my automatic contributions cannot be processed?

A: If two consecutive pre-authorized debits for your automatic contributions and/or a catch-up payment are returned by your financial institution, OMERS will stop your pre-authorized debits.

Q: What happens to my automatic contributions when I retire or terminate employment?

A: When your employer notifies OMERS that you are no longer working, your automatic contributions will be stopped. However, if you choose to keep your pension in the OMERS Plan after leaving your employer, you can continue to participate in the AVC option.

Q: What if my contributions exceed the maximum permissible under the Income Tax Act?

A: If your contributions exceed the maximum permissible under the Income Tax Act (ITA), OMERS will take appropriate actions to ensure compliance with the ITA regulations.

**
Active members can make automatic contributions to an AVC account using:

Pre-authorized debit from a bank account (bi-weekly or monthly); or,
Payroll deduction (monthly) if your employer has elected to provide an AVC Employer Payroll Deduction option. Contact OMERS if you’re unsure whether your employer provides this option.

Active members include those currently contributing to the OMERS Primary Pension Plan (OMERS Plan), on a disability waiver, on a leave of absence, and members who are employed beyond 35 years of credited service who have stopped contributing prior to 2021. Automatic contributions to AVCs are tax-deductible in the year they are made.

Automatic contribution limits established by OMERS

Contribution limits are based on contributory earnings and credited service and take into account the pension adjustment (PA) reporting rules. These limits are in place to help ensure your contributions do not exceed PA limits.
When selecting your salary range, do not include expected overtime earnings. Contributory earnings range below are based on 12-month (full-time) employment and credited service. If you work part-time (less than 12 months) or if you have over 35 years of credited service prior to 2021, contact OMERS at 416-369-2444 or 1- 800-387-0813 for your maximum bi-weekly or monthly contribution.The limits were calculated using the 2024 Canada Pension Plan (CPP) earnings limit.

How to start automatic contributions
There are two ways to start automatic contributions:

The most convenient way is through the myOMERS secure member access site – to log in or sign up for myOMERS, visit omers.com, and click on myOMERS.
Complete an AVC Automatic Contribution Registration Form provided with this package and return it to OMERS.

Once your automatic contributions start
Automatic contributions continue until you change or stop them. You can change or stop your automatic contributions anytime through myOMERS or by completing the AVC Automatic Contribution Registration Form. You can also make a lump-sum payment to catch up on your contributions for the current year (see below). There are, however, situations where OMERS will stop your automatic contributions:

If two consecutive pre-authorized debits are returned If two consecutive pre-authorized debits (for your automatic contributions and/or a catch-up payment) cannot be processed by your financial institution, we will stop your pre-authorized debits.
When you retire or terminate employment with your OMERS employer When your employer notifies us that you are no longer working, we will stop your automatic contributions for you. If you keep your pension in the OMERS Plan after leaving your employer, you can continue to participate in the AVC option.
If your contributions exceed the maximum permissible under the Income Tax Act (ITA) Automatic contribution limits are in place to reduce the likelihood you will over-contribute. However, there are factors we cannot predict, such as an unexpected change to your contributory earnings or a leave of absence. After year-end, based on membership information provided by your employer, OMERS will confirm that your AVC contributions are appropriate given your actual contributory earnings, credited service, and PA record. If your automatic contributions plus any catch-up payments for the year exceed the ITA maximum, your automatic contributions will be stopped and OMERS will refund the excess above the ITA maximum as a lump sum cheque, less the withholding tax.

Catch-up payments
You can make a payment to catch up on your automatic contributions for the current year. If you started automatic contributions partway through the year or you haven’t been contributing your biweekly or monthly maximum for automatic contributions, you may be able to make a catch-up payment. Catch-up payments must be deposited in the same calendar year and can be made online through myOMERS or by completing the paper AVC Catch-up Payment form. Catch-up payments are not available through AVC Employer Payroll Deduction.

Questions
For information about the AVC option, see the booklet Consider the AVC Option and the Terms of Participation, available online at omers.com, or contact OMERS – our specially trained staff can answer your questions. Note: Only members who are residents in Canada can make automatic contributions or fund transfers to an AVC account. If you become a non-resident of Canada, your funds can stay in your AVC account but no further funds can be added.

AVC Automatic Contributions Registration Form

Use this form to start, change, or stop automatic contributions to an AVC account through either pre-authorized debit or Employer Payroll Deduction. Please follow the instructions based on the manner of automatic contribution you want to make. OMERS employers have the option of providing AVC Payroll Deductions. Contact OMERS if you’re unsure whether your employer provides this option. To help us serve you better, submit your documents quickly and securely using your myOMERS account. Go to secure communications, start a new conversation, attach your files, and submit. For details, go to the Additional Voluntary Contributions (AVCs) section at omers.com. Any personal information provided on this form may be used to update your membership profile. Providing OMERS with your personal information is considered consent for its use and disclosure for the purposes set out in our Privacy Statement, as amended from time to time. You can find out more about our collection, use, disclosure, and retention of personal information by reviewing our Privacy Statement at omers.com. Did you know you can save time and set up your automatic contributions online with myOMERS – your contribution limits are provided specifically for you.Did you know you can save time and set up your automatic contributions online with myOMERS – your contribution limits are provided specifically for you.

SECTION 1 – MEMBER INFORMATION

Your membership number appears on your Pension Report or any personalized statement from OMERS.

SECTION 2 – AUTOMATIC CONTRIBUTION OPTIONS

I currently make automatic contributions to my AVC account through:

“Stop & Start”
If you are switching from one automatic contribution method to another (e.g., Pre-authorized Debit to Employer Payroll Deduction), you need to check “Stop” Pre-authorized Debit and “Start” Employer Payroll Deduction or vice versa. You cannot contribute under both methods at the same time.

SECTION 3 – PRE-AUTHORIZED DEBIT

Select one

Bi-weekly Contributions
Amount of each bi-weekly debit
This amount will be withdrawn from your bank account every two weeks and deposited into your AVC account. The amount must be between $20.00 and your bi-weekly maximum (see chart on the cover page).
Date of first withdrawal (m/d/y)
Your AVC contributions will be withdrawn from your account on this day and every two weeks thereafter.
You must select a weekday. If the withdrawal date falls on a holiday, your contributions will be withdrawn on the next banking day.

OR

Monthly Contributions
Amount of each monthly payment
This amount will be withdrawn from your bank account every month and deposited into your AVC account.
The amount must be between $40.00 and your monthly maximum (see chart on the cover page).
This amount will be withdrawn from your bank account every month and deposited into your AVC account.
The amount must be between $40.00 and your monthly maximum (see chart on the cover page).

Day of withdrawal
First business day of month Last business day of month Other (for example, 15th):
Your AVC contributions will be withdrawn from your
account on this day each month. If the withdrawal date falls on a holiday, your contributions will be withdrawn on the next banking day.

Banking Information for Pre-authorized Debit

Complete the following or enclose a blank cheque marked “void”. If you are changing your Pre-authorized Debit plan, complete this section only if your banking information has changed.

Acknowledgment and Authorization I acknowledge by signing below, that as of the date indicated below, I have read the Consider the AVC Option guide, the AVC Fact Sheet, and the Terms of Participation. I understand that the additional voluntary contribution provision is part of the OMERS Primary Pension Plan (“Primary Plan”) and is subject to the conditions established by the OMERS Administration Corporation pursuant to Section 47 of the Primary Plan. I also understand that the Primary Plan and such related conditions may be pursuant to Section 47 of the Primary Plan. I also understand that the Primary Plan and such related conditions may be amended in the future in accordance with the OMERS Act, 2006, and the Pension Benefits Act (Ontario). I confirm that, prior to signing below, I had the opportunity to obtain such independent financial advice as I considered appropriate. If I’m switching from Employer Payroll Deduction to Pre-authorized Debit, I direct OMERS to stop my Employer Payroll Deduction and revoke my existing authorization provided to OMERS for that purpose.

Pre-authorized Debit (PAD) Authorization
Complete this page only if you are starting automatic contributions through Pre-authorized Debit. Please complete and sign this Authorization to have automatic contributions withdrawn from your bank account. I hereby authorize OMERS Administration Corporation (“OMERS”) to draw payments from the account specified in Section 3 of the AVC Automatic Contribution Registration Form (the “Account”) for the purpose of making additional voluntary contributions (AVCs) to the OMERS Primary Pension Plan. Such payments shall be drawn from the Account in accordance with the biweekly or monthly contributions option selected above. The debits authorized to be drawn hereunder are for personal purposes.

I acknowledge that this Authorization is provided for the benefit of OMERS and the bank or other financial institution noted in Section 3 of the AVC Automatic Contribution Registration Form (the “Bank”) and is provided in consideration of such Bank agreeing to process debits against the Account in accordance with the rules of the Canadian Payments Association.
I warrant and guarantee that all persons whose signatures are required to sign on the Account have signed this Authorization below and I certify that all information with respect to the Account is accurate. I agree to notify OMERS of any change to this information promptly, and in any event, at least 10 calendar days prior to the next due date of a debit.
I understand that the Bank’s treatment of each debit shall be the same as if I had issued a cheque authorizing the Bank to pay as indicated and to debit the amount specified to the Account. I confirm that this means, in part, that the Bank is not required to verify that the payments are drawn in accordance with this Authorization. I agree that should the Account be transferred to another branch of the Bank or in the event that the Account is closed and another account is opened at another bank, this Authorization shall have the same force and effect as if it had originally been directed to that branch or bank.
I understand that this Authorization may be canceled at any time upon notice being provided by me (the Account owner) in writing with proper authorization to verify my identity. I acknowledge that, in order to revoke this Authorization,
I must provide notice of revocation to OMERS, and stop my bi-weekly or monthly AVC contributions, by completing an AVC Automatic Contribution Registration Form. Such notice shall be effective once it is processed in accordance with OMERS normal business practices, but in no event shall the notice be effective later than 30 calendar days after receipt. I may obtain an AVC Automatic Contribution Registration Form online on omers.com and further information on my right to cancel this Authorization may be obtained from my Bank or by visiting www.cdnpay.ca. I also understand that I have certain recourse rights if any debit does not comply with this Authorization. For example, I have the right to receive reimbursement for any debit that is not authorized or is not consistent with this Authorization. To obtain more information on my recourse rights, I may contact the Bank or visit www.cdnpay.ca.
I agree to ensure that funds are available to cover the amount of the debit. If any pre-authorized payment withdrawal is not paid by the Bank when presented for payment, I understand that termination of my automatic contributions may occur. I acknowledge that OMERS shall not be liable for any additional charges incurred by the Bank or OMERS for any reason (e.g., account closed, NSF, etc.). All additional charges incurred by OMERS or the Bank shall be my responsibility and I agree to pay such charges.
I understand that personal information contained in this Authorization is collected under the authority of the Ontario Municipal Employees Retirement System Act, 2006, S.O. 2006, c.2, s. 35 and will be used to provide services relating to automatic Pre-authorized Debit of my identified Account for the purpose of administering automatic contributions to the AVC provision of the OMERS Primary Pension Plan. OMERS may be required to share this information with the bank or financial institution of OMERS and my Bank. I understand that I may contact OMERS at the address noted below to make any inquiries, obtain information or seek any recourse rights in respect of this Authorization, including questions relating to the collection of personal information.

OMERS, EY Tower, 900-100 Adelaide St W, Toronto, ON M5H 0E2 Telephone 416-369-2444 or 1-800-387-0813. I agree to waive all pre-notification requirements in respect of all PADs drawn under this Authorization and I acknowledge that OMERS will not notify me in advance of any PAD.

Your Signature
Date (m/d/y)
OMERS Membership Number

SECTION 4 – EMPLOYER PAYROLL DEDUCTION
Automatic Contribution Details
This automatic contribution method is only available to members with an employer that has elected to provide AVC Employer Payroll Deduction.

Monthly Contribution
This amount will be deducted from your salary or wages by your employer once a month and forwarded to OMERS to be deposited into your AVC account.

The amount must be between $40.00 and your monthly maximum (see chart on the cover page).
If you have insufficient funds, your employer will deduct $0.

Acknowledgment and Authorization
I acknowledge by signing below, that as of the date indicated below, I have read the Consider the AVC Option guide, the AVC Fact Sheet, and the Terms of Participation. I understand that the additional voluntary contribution provision is part of the OMERS Primary Pension Plan (“Primary Plan”) and is subject to the conditions established by the OMERS Administration Corporation pursuant to Section 47 of the Primary Plan. I also understand that the Primary Plan and such related conditions may be pursuant to Section 47 of the Primary Plan. I also understand that the Primary Plan and such related conditions may be amended in the future in accordance with the OMERS Act, 2006 and the Pension Benefits Act (Ontario). I confirm that, prior to signing below, I had the opportunity to obtain such independent financial advice as I considered appropriate. If I’m switching from Employer Payroll Deduction to Pre- authorized Debit, I direct OMERS to stop my Employer Payroll Deduction and revoke my existing authorization provided to OMERS for that purpose. I authorize my employer to deduct at source from my salary or wages the monthly contribution amount indicated in this form. I understand that this amount will be deducted from my salary or wages once a month at a date determined by my employer. I also agree and acknowledge that OMERS Administration Corporation may communicate and deal with my employer on my behalf in connection with automatic contributions to my AVC account through the AVC Employer Payroll Deduction Option. I acknowledge that OMERS Administration Corporation and my employer may collect personal information about me, including my Social Insurance Number, and use and disclose this information in order to administer the AVC Employer Payroll Deduction Option. I hereby consent to the collection, use, and disclosure of my personal information for such purpose.