# Fed Budget Office estimate for proposed survivor benefit scheme



## The Bread Guy (18 Aug 2016)

This, from this new report (also attached as PDF):


> Upon the death of a contributing member of the Regular Canadian Forces (CF), certain members of the Reserve Forces, as well as members of the Royal Canadian Mounted Police (RCMP), who at the time of death were entitled to an annuity or an annual allowance, the survivor and children of these contributing members are eligible for an immediate annual allowance.
> 
> The purpose of this enactment is to increase the allowance given to the survivors and children of CF or RCMP contributors from 50% to 70% of the contributor’s annuity or allowance.
> 
> *The changes proposed by Bill C-261 will results in an incremental increased pension liability of $5.046 billion for the regular CF pension plan, $7 million for the Reserves CF pension plan, and $1.32 billion for the RCMP pension plan. The annual servicing costs will increase by $112.55 million for the regular CF pension plan, $910,000 for the reserves CF pension plan, and $39 million for the RCMP pension plan*.



This just covers how much more increased survivor benefits would be, not pensions for the wounded.

More from CBC.ca here.


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## dapaterson (18 Aug 2016)

This is part of the VAC minister's mandate letter, as well.


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## Lightguns (18 Aug 2016)

Paying those increased premiums will put a tidy little dent in the pay cheques of all future troops.


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## McG (18 Aug 2016)

dapaterson said:
			
		

> This is part of the VAC minister's mandate letter, as well.


But it is brought by an NDP private member's bill, so there is a good chance that it will go nowhere.
I believe the bit highlighted in yellow is a particularly relevant argument to this and many other family support programs that need improvement in the CAF.



> *Raising benefits for military, RCMP families would add $6B liability: PBO*
> The Canadian Press
> Published at CTV News
> Wednesday, August 17, 2016 3:51PM EDT
> ...


http://www.ctvnews.ca/politics/raising-benefits-for-military-rcmp-families-would-add-6b-liability-pbo-1.3032802


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## PuckChaser (18 Aug 2016)

Lightguns said:
			
		

> Paying those increased premiums will put a tidy little dent in the pay cheques of all future troops.


Already getting nice little dents every year to bring us up to a fair 50/50 split.

You're absolutely right though, best of intentions will always get the buck passed down to the rate payer.


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## dapaterson (18 Aug 2016)

According to PBO, the increase would be $150m per year, CA and RCMP combined, funded by the government (on top of the one time $6.3b cost).

One way to reduce the cost would be to go to a 66 2/3% rate instead to remain withing Income Tax act restrictions.  Unfortunately,  PBO did not cost that option.


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