D.A. Townley  -  Plan Administrators Machinists, Fitters and Helpers Industrial Union 



Retirement Income

    1. Annuity
    2. Registered Retirement Income Fund (RRIF)
    3. Life Income Fund (LIF)
    4. Definition of Spouse
    5. Application for Retirement Benefit
    6. Vesting
    7. Payments and Summary Comparison



An annuity is a retirement vehicle that provides you with continuing monthly income at a level that is dependent on the total amount of money in your Accounts and the form of payment that you choose. You would purchase an annuity from a life insurance company of your choosing. Forms include a pension for your life, ceasing on your death or continuing on your death to your spouse at the same level or at some reduced level of your choosing.

2.Registered Retirement Income Fund (RRIF)

A RRIF is a registered retirement vehicle into which the money in your RRSP’s can be transferred to maintain your registered (i.e. tax exempt) status. The non-locked-in money from your Accounts can be transferred to a RRIF. You must receive payments each year (starting not earlier than age 55 nor later than December 31 of the year you turn 71). You must receive payments at a minimum level set by the Canada Revenue Agency from the RRIF. There is however no maximum payment level. Payment levels can change at any time.

3.Life Income Fund (LIF)

A LIF is a locked-in registered retirement income fund (RRIF) contract from which you must receive payments each year (starting no earlier than age 55 nor later than December 31 of the year you turn 69). The LIF is a vehicle designed to provide income from that portion of your Accounts that is locked-in. You will be asked to choose a payment level anywhere between a minimum and a maximum.

4.Definition of Spouse

Your spouse is a person to whom you are married and not living separate and apart from or a person with you have been living (whether they be of the opposite or same gender) for the 2-year period preceding the relevant time. If you have a Spouse, you must, by law, receive your pension in a form that will provide him or her with at least 60% of the pension that was in payment to you during retirement. Your Spouse can choose to waive his or her right to this mandatory form, and allow you to choose some other form of income.

5.Application for Retirement Benefit

You must make written application requesting commencement of retirement benefit payments at least 3 months before retirement.


Vesting means that a Member has a right to receive a pension benefit on retirement. At present your Plan requires 1 year of Credited Services and being a member of the Union before you become fully vested in the pension accumulation to date. A year of Credited Service is earned if you work 175 or more hours in a Plan Year for a participating employer.

7.Payments and Summary Comparison

You can request a report showing various retirement income payments by contacting D.A. Townley. Click here for an explanation of this service, as described in a Newsletter.


related Links

Printable Version of the Pension Plan Booklet

( PDF - 123KB)

© 2018 D.A. Townley All rights reserved.