SISIP LTD 2002 - 2018

[dapaterson]

Pusser,

It's OAS, not CPP, that's transitioning to age 67 for eligibility.

 

[bigcletus]

As an aside, there is no "clawback" due to CPP.  What happens is that the bridging benefit contained in the CFSA terminates at age 65, when most folks begin to collect CPP.  The CFSA was designed this way (as are the PSSA and RCMPSA).  There has been much discussion on this in this forum.

You're correct, I just used "claw-back" for simplicity
Thanks

 

[Szczep]

Why? because it is an INSURANCE company

 

[Pusser]

Pusser,

It's OAS, not CPP, that's transitioning to age 67 for eligibility.

My mistake.  Thank you.

 

[dapaterson]

My mistake.  Thank you.

I'd rather give you good news and more money than bad news about less money later, but you're welcome.


Changing CPP in that way would require an overhaul of any combined pension - so the CFSA, PSSA and RCMPSA would require amendment and would become even more complex.

 

[Blackadder1916]

Can someone tell me why SISIP LTD is terminated at age 65 ??  Is that just an arbitrary age or based on the 1960's "old age" ??

With most people living well beyond 65, this creates a genuine hardship for those disabled when they need it most...(considering most vets also get their claw-back at that age as well)- a double hit...

Any comments/info greatly appreciated...

Thanks

It is not just SISIP.  Generally, all "Long Term Disability" insurance products in Canada have the same feature.  Benefits end at age 65.

http://www.benefitsconsultant.ca/group-benefits/long-term-disability-insurance.html

Long term disability (LTD) benefits typically contain the following characteristics:

Benefits are payable after the expiration of a qualifying period in which the employee is typically receiving benefits under a salary continuance plan, short term disability (STD) plan, or employment insurance
Definitions of disability are tied to the employee’s ability to perform their own job or any job
The monthly LTD benefit is a percentage of pre-disability earnings
The benefit period ends at age 65

 

[Pusser]

Changing CPP in that way would require an overhaul of any combined pension - so the CFSA, PSSA and RCMPSA would require amendment and would become even more complex.

Agreed.  That's why I was wondering how it would work out (but apparently it doesn't have to  ).  I'm actually out of the country right now, so some things occasionally get lost in translation.

As for OAS, since I am unlikely to get any real benefit out of it, when it starts is of no real concern to me.

 

[Ebo]

I have been pre approved for SISIP. I really don't understand the difference between LTD, ELB etc...  I have a very difficult time following things now, while working I could handle 8 projects at once and loved it!

BG: I was bullied & harassed, had a breakdown, med released, still trying to recover. I trust NO ONE in the system
Situation: I use art as therapy and have sold some artwork. I would like to go pro and market etc.. But am limited in concentration, abilities, depression, panic etc...so need a safety net. I take meds.

If I sell art, is that considered work? I have been authorized by the MO to work up to 8 hours per week. Does SSIP consider that?

I don't trust anyone enough at SISIP to ask ( because of my complicated history) . I don't want SISIP in my business, I keep hearing people say that we paid into it, you're entitled to it, but it comes with conditions. One is, you can never improve yourself financially or they will dock you. Because of my skillset I can work temporarily and make more in a week than they give me in a month. But it comes at a price... The panic, anxiety etc return. But work is still good for me because it gives me a reason to get out of bed.

Please don't take this wrong, but I know many people on SISIP and they are exactly the same years after. They can't move forward or they're afraid to lose their monthly cheque. Afraid to take the chance and crashing. But I can't live on that allowance, I have debts, family and no savings.

 

[Teager]

There is a way to collect your money from SISIP and work. You need to Incorporate your business. If you show SISIP that your Incorporated they won't touch the money you make. I asked them this myself and that's what I was told.

If you work and make money it has to be reported to SISIP. They will deduct whatever you make from what they give you per month unless you do what I said above.

Also note that you can tell SISIP to contact you by e-mail if you prefer. That's how I've been in touch with them for most things.

 

[sarahsmom]

You only get SISIP for the first 2 years. You can reapply but they may deem you "healthy/better" (not the right word but it makes the point).
SISIP tops you up to 75% of your pre-release pay.So if you make lots of money, you get nothing from SISIP that month. But if you have a hard month and are unable to work, at least you still get a paycheck so it's one less stress to worry about.

source: hubby medically released 3 years ago and qualified for and got SISIP.

 

[gryphonv]

The best thing to do with SISIP LTD(Which is administered by Manulife) Is to stay on top of things. If you don't get a quick response to questions, follow up in a day or two. I was a very squeaky wheel when I started my process with them because of my OCD and wanting to stay on top of things.

Once things started to pick up with them and move along they assigned me to one of their managers because I guess I was a little difficult ( I was never rude but I definitely kept pushing for info). The manager told me he prefers to see that in members. He has seen a lot of people who assume its ok to just wait for things to happen. So if something does mess up like an undelivered email or something, that is time you will lose. He promised me if I send him an email if I don't get some sort of a reply that day or the next business day to give him a call.

Now with all that said. The 2 year SISIP LTD is really not truly accurate. Everyone that is medically released is auto approved for 2 years, you still have to get the right forms done, but you are approved.

Once the 2 years expires, if you are unable to gain employment that replaces at least 75% of your pre release income because of medical reasons you can get the LTD extended. You need a Dr. to sign off on this and you will need regular follow ups, but the 2 year limit isn't a hard end date for all members. It depends totally on your medical situation.

Also they do encourage people to earn supplementary income while on LTD. For every $ you earn will lose 50c towards the LTD. So while it isn't as bad as a 1:1. It still encourages people to stay active if you can. Which is arguably the most important thing about transition. Now there is a point if you make over 75% of your pre release pay you won't get any LTD for that period. But a little supplementary income won't hurt you with LTD.

Now I am no Medical expert, but if your Doc recommends no more than 8 hrs a week there may be a good cause once the 2 years is up and a reassessment  is done you will be approved for more than 2 years. The best way to look at LTD is a security net. You know you will always make at least a certain amount of money per month. If you can make more great, if you can't you will never make less than 75%.

I don't know enough about the accounting side of things, incorporation and such. But you deserve the LTD as any CAF member who medically releases does. Don't let anyone convince you otherwise.

 

[Ebo]

Thank you everyone for your great replies. I might call them and talk to someone next week. Any DND related contact just sends me into a downward spin. I keep thinking it will go away but obviously not.

Thanks for giving back and caring about another buddy. It means a lot.

 

[gryphonv]

I'm curious what deductions can I expect on my LTD payments vs regular pay? I know some things like mess dues will cease, but I am wondering if deductions like C.P.P. and E.I. are still deducted.

Cheers,

 

[Teager]

I believe only federal taxes are deducted from LTD and any income that you make would also be deducted.

 

[gryphonv]

I believe only federal taxes are deducted from LTD and any income that you make would also be deducted.

Thank you, this is what I was suspecting also. I've always heard how 75% ltd roughly matches your pay for take home pay for the month. I figured it was because of less deductions.

 

[Teager]

Be prepared that SISIP LTD will take into account how much you have made this year already if you haven't fully released yet.

 

[gryphonv]

For taxes paid or for income? I would understand the taxes paid, but hopefully its not income and they say something like... oh he's already made 70% of his 75% for the year. We only need to top him up to 5%.

 

[Teager]

For taxes paid or for income? I would understand the taxes paid, but hopefully its not income and they say something like... oh he's already made 70% of his 75% for the year. We only need to top him up to 5%.

I was released 10 days into the year and didn't think much of it when I started receiving LTD. Then the next year I noticed I was getting more so I did the math and they had taken the 10 days worth of pay I got. Someone with a little more insight might have to answer this but I'm pretty sure they take the income you got for the year already and deduct that.

 

[gryphonv]

Yeah nothing I have had with my sisip manulife manager mentioned this. The disclosure he gave me was 75% of my monthly salary on release. I hope this isn't the case. I'm hoping you were just indexed at inflation. Time will tell, but the long and short, its going to be a tight few months if what you say is true. I'll be looking at $10k income for the rest of the year (before tax) vs 18k.

 

[Teager]

True but then there's that ELB 90% come October but no one knows what's happening with that in regards to SISIP.