- Past service may be amortized for up to three years (members can amortize over 12, 24 or 36 months).
- Pre-authorized debit withdrawal from the member's bank account the last business day of the month.
- Service is credited as monthly payments are received.
- If at the end of the amortization period (e.g., after three years) there is still service to purchase, a new cost is established (based on current age and salary) and a new amortization schedule can be set up.
- Current amortization interest is 6.25% (may change in the future).
- On an annual basis, a contribution receipt for monies received in the previous year will be issued by OMERS.
- If member defaults on a payment, OMERS will contact the member to make arrangements for payment. If payment not received promptly, OMERS will cancel the amortization schedule.
- New amortization schedule can be created in the future; however, a new cost for the past service will be calculated (based on current age and salary)
- For the 2.33% accrual rate benefit, the past service pension adjustment (PSPA) approval for the entire post-1989 purchase period must be received from the Canada Revenue Agency before payment starts (i.e., PSPA are not reported over the period of the payment schedule).
Supplemental Plan benefits are not automatically provided. Employers can set up Supplemental Plan coverage for a class or classes of members in the police sector, firefighters and paramedics.