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Marital Breakdown |
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Pension assets are an important part of the savings of the Member of the Plan and are considered to be part of the family assets.
The Family Relations Act is the provincial law in British Columbia that governs how all family assets, including
pensions, are divided when the marriage ends.
The Act states that both spouses are entitled to a share of any Pension earned by either spouse during a marriage.
It also clearly sets out how the Administrator is to split the Pension assets between the spouses in order to
ensure that both parties receive a fair division of retirement income.
The division of Pension assets is not automatic after a separation or divorce. The former spouse of the Plan Member
must apply to the Plan Administrator for the division of the Pension using the applicable forms.
First, the former spouse should complete the Claim of Spouse to Interest in Member's Pension (Form 1)
to notify the Plan Administrator of the former spouse's legal interest in the Member's Pension.
If the Pension Plan is a Defined Benefit Plan, the former spouse should complete the Request for Designation as Limited Member of Pension Plan
(Form 2) to become a "Limited Member" of the Pension Plan.
Once the former spouse is a "Limited Member" of the
Plan, the Member's Pension may be split using the Request by a Limited Member for Transfer or Pension (Form 4).
If the Pension Plan is a Defined Contribution Plan, the former
spouse should use the Request for
Transfer from Unmatured Defined Contribution Plan (Form 3)
to initiate the split of the Member's Pension assets.
If the separation agreement or court order was dated prior to July 1, 1995, the former spouse
should use the Request in Relation to a Matured Pension Divided under an Agreement or Court Order made before July 1, 1995 (Form 5)
to direct the Plan Administrator on how to split the Member's Pension
instead of Forms 2 through 4.
Once the Plan Administrator has received any of these forms from the former spouse, the Administrator will send a
Notice of Receipt (Form 6) to the Plan Member to notify them of the former
spouse's claim. This form is for informational purposes only. No action is required by the Plan Member if he/she receives this form
from the Plan Administrator.
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Notes
Questions on completing the forms should be directed to the Plan
Administrator.
Completed forms should be forwarded to the Plan
Administrator. |
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Plan Administrator
D.A. Townley & Associates Ltd.
101 – 4190 Lougheed Highway
Burnaby, BC V5C 6A8
Phone: 604-299-7482 or 1-800-663-1356
Fax: 604-299-8136
Email
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