# Retirement allowances for 3B med rel



## Jaxx78 (14 Jun 2016)

Hello everyone. I am releasing from the CAF on 23 July of this year. 

Are the retirement benefits, aside from the remainer of PIL and cashing in remaining annual that I should know about?

Thanks in advance.


----------



## brihard (14 Jun 2016)

If you're med releasing, there's lots you should know about. Have you been in touch with JPSU, or with anyone from VAC yet? Depending on whether your medical condition leading to release is attributable to service or not, there is a wide rray of different services, programs and benefite that you may be able to access. You're sort of coming down to the wire on this, so if you haven't started the ball rolling on this, it's time to.I strongly, strongly suggest you get in touch with someonf rom VAC to do an intake on you. Check out the following link, and follow the contact info there to speak to a VAC Transition Services Officer. This is just a starting point.

http://www.veterans.gc.ca/eng/services/transition/interview


----------



## Jaxx78 (14 Jun 2016)

Hello Brihard, 

I have been engaged for over 6 months with VAC and JPSU. They have all been quite helpful but I hear that the LTD and pension don't really start coming in until 3-4 months post release. 

Thank you for the link regardless, I learn something new about the process every day


----------



## gryphonv (14 Jun 2016)

Hello Jaxx78,

I am also releasing on the 26 July under 3B. So we are under similar situation. Let me try to help with what I know.

If you are over 10 years you will be able to get an indexed pension at 2% a year. 

Also since you are having a 3B release you are automatically approved for SISIP Manulife LTD. This includes VOC rehab of up to 25k over 2 years with a couple stipulations. (I hope you have contacted SISIP Manulife LTD, if not you need to do this as of yesterday, or ASAP)

Manulife and VAC both offer some services that have overlap. Essentially when Manulife stops funding VAC should pick up the slack.

If you are getting a pension from being over 10 years you will not really see it until your LTD is done. Essentially if you make 2k in pension, you'll make 2k less in LTD. But after LTD you pension will keep going.

If you are under 10 years you will get a transfer value, or you have the option to get a reduced annuity. The transfer value is more in your favor. There are a lot of options and tax implications, but there are basically two numbers. One goes into a LIRA (locked in retirement account). The other you can draw as cash and get taxed at roughly 44% or reinvest in another RRSP. Now don't make any immediate plans for this money. Normal time frame is 4 months post release but I have heard of some horror stories over 12 months, more common if you were a reservist.

Your PIL is also another amount is roughly 1 week of pay for a year of work. Members that are under 3B release will get their years topped up. If you claimed your PIL before it will be topped up from that date, if you haven't claimed it, you'll get the full amount. PIL is also taxable, and it is another cash amount that can take 4 months and more. 

The one good thing about SISIP manulife I can recommend is you won't go 4 months for your LTD benefit(can't say the same for VAC), even if you don't decide to go to school or get retrained, you should take part of their LTD. Acceptance is guaranteed if 3B release, but you still have to fill out the paperwork. My Manulife case manager told me they pay around the 20th -25th of the month on a monthly schedule. He assured me if there was a problem and I didn't see the pay in my first 30 days post release to contact their office and they will cut me a check until it gets sorted out. So it was a bit of piece of mind and not having to be prepared for 4 months without income.

To sum it up, Manulife LTD you should see within 30 days, PIL and Transfer Value, don't make any plans to see that money for 4 months at a minimum, longer realistically


----------



## Jaxx78 (14 Jun 2016)

Hello Grypgonv, 

Wow, That's probably the most information I have received so far, quite impressive. 

My LTD paperwork is in the system and I have engaged with VAC to get all those things sorted. 


Thank you so much and good luck to you on your transition out as well


----------



## brihard (14 Jun 2016)

As gryphonv has mentioned, a lot of payments are taking longer than they ought to to process. If it's within your means, make sure to have a financial buffer in place.

If you've already been in contact with VAC and SISIP, you should be pretty muchs orted out- but stay on top of everything.

Not sure what your situation is, but another thing to be aware of is priority hiring entitlements within the federal government for med releases. I'm not sure if you'r ein a position to keep working, how old you are, etc, but there are some options there.


----------



## Teager (14 Jun 2016)

Released in 2014 was told SISIP takes about 6 weeks for payments to kick in. Took 6 weeks exactly. SISIP needs to recieve paperwork from DND for your salary, confirmation of your release, and any benefits you recieve such as pension to calculate your LTD. By the sounds of gryphonvs post DND is trying to get that paperwork out faster.


----------



## Jaxx78 (14 Jun 2016)

Thank you guys. I appreciate the advice and insight.


----------

