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Members of Parliament Retiring Allowances Act (R.S.C., 1985, c. M-5)

Act current to 2024-03-06 and last amended on 2022-07-26. Previous Versions

PART IIMembers of Parliament Retirement Compensation Arrangements (continued)

Members’ Contributions (continued)

Marginal note:Contribution of 1% — January 1, 2001 to December 31, 2012 — 69 years of age or more

  •  (1) During the period that begins on January 1, 2001 and ends on December 31, 2012, a member who has reached 69 years of age shall with respect to each calendar year, by reservation from the sessional indemnity payable to him or her, contribute under this Part 1% of the amount payable to him or her by way of sessional indemnity after the aggregate of the products obtained by multiplying the number of years of pensionable service to the member’s credit by the multipliers set out in subsection 16(1) and, as applicable, subsection 36(2) or (6) equals 0.75.

  • Marginal note:Exception for 1%

    (2) During the period that begins on January 1, 2001 and ends on December 31, 2012, a member to whom subsection 12(2) applies shall with respect to each calendar year, by reservation from the sessional indemnity payable to him or her, contribute to the Compensation Arrangements Account 1% of that portion of his or her sessional indemnity for the calendar year that exceeds the his or her earnings limit for that year.

  • 2012, c. 22, s. 26

Marginal note:Exclusions from computation of contributions

 In a computation of the total amount that a member has contributed or elected to contribute under this Part, there shall not be included

  • (a) any contributions in respect of which a withdrawal allowance has been paid under this Part;

  • (b) any contributions in respect of which the member’s election has been revoked under this Part; or

  • (c) any amount paid by way of interest.

  • 2012, c. 22, s. 26

Allowances

Marginal note:Payment of allowances

 An allowance or other benefit shall be paid in accordance with this Part to or in respect of a person who, being a member, ceases to be a member or, being a member or former member, dies.

  • R.S., 1985, c. M-5, s. 35
  • 1992, c. 46, s. 81

Marginal note:Compensation allowance

  •  (1) Subject to sections 58 and 59, a compensation allowance determined in accordance with this section shall be paid to a person during his or her lifetime in respect of contributions made under this Part, other than those made in respect of salary or annual allowance and those made under subsection 34(2) or (2.1), as that subsection read on December 31, 2012 — and those made under paragraph 31.1(1)(a) or (2)(a) if the person was contributing at the contribution rate referred to in subsection 2.7(9) —, if the person

    • (a) ceases to be a member on or after January 1, 1992; and

    • (b) contributed or elected to contribute under this Part, or Part I or III of the former Act, for at least six years.

  • Marginal note:Amount payable to former members of House of Commons

    (2) The compensation allowance payable under this section in respect of contributions made as a member of the House of Commons is an amount equal to the aggregate of

    • (a) the person’s average annual sessional indemnity multiplied by, subject to subsections (3) and (3.1), the number of years and portions of years of pensionable service calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6), multiplied by

      • (i) if the person has not reached 60 years of age,

        • (A) 0.05 for the years and portions of years of pensionable service calculated by reference to contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

        • (B) 0.04 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after July 13, 1995 and before January 1, 2001, other than those made pursuant to an election referred to in clause (A), and

        • (C) 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),

      • (ii) subject to subparagraphs (iii) and (iv), if the person has reached 60 years of age,

        • (A) 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

        • (B) 0.02 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after July 13, 1995 and before January 1, 2001, other than those made pursuant to an election referred to in clause (A), and

        • (C) 0.01 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),

      • (iii) if the person contributed after he or she reached 71 years of age,

        • (A) 0.05 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995,

        • (B) 0.04 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, other than those made pursuant to an election referred to in clause (A), and

        • (C) 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election referred to in clause (A) or (B) or subparagraph (a)(iv), and

      • (iv) if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election referred to in clause (iii)(A) or (B),

    • (b) the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001; and

    • (c) the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4.1), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.

  • Marginal note:Years of service — clauses (2)(a)(iii)(A) and (B)

    (3) For the purposes of clauses (2)(a)(iii)(A) and (B), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for

    • (a) each amount, equal to 11% of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has — during that calendar year and before July 13, 1995 — contributed or elected to contribute under section 31 or 33, as those sections read immediately before that date, other than amounts contributed in respect of salary or annual allowance or as interest; and

    • (b) each amount, equal to 9% of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has — during that calendar year and on or after July 13, 1995 and before January 1, 2001 — contributed or elected to contribute under section 31 or 33, as those sections read immediately before January 1, 2001, other than amounts contributed in respect of salary or annual allowance or as interest.

  • Marginal note:Years of service — clause (2)(a)(iii)(C) and subparagraphs (2)(a)(iv) and (6)(a)(iv)

    (3.1) For the purposes of clause (2)(a)(iii)(C) and subparagraphs (2)(a)(iv) and (6)(a)(iv), a person, on ceasing to be a member, is deemed to have the same number of years and portions of years of pensionable service to his or her credit that would be calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6) if the person were a person required to contribute under Part I.

  • Marginal note:Years of service — paragraphs (2)(b) and 2(6)(b)

    (4) For the purposes of paragraphs (2)(b) and (6)(b), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount — equal to 7% of the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during a calendar year — that, during the period beginning on January 1, 2001 and ending on December 31, 2012, he or she contributed or elected to contribute under subsection 31(1) or 33(1) in respect of that portion of the sessional indemnity that exceeded his or her earnings limit for the calendar year.

  • Marginal note:Years of service — paragraphs (2)(c) and (6)(c)

    (4.1) For the purposes of paragraphs (2)(c) and (6)(c), for each of the calendar years from 2013 to 2015, a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount equal to the amount determined under subsection (4.2) that, during that calendar year, the person contributed or elected to contribute under section 31.1 or subsection 33.1(1) in respect of that portion of the sessional indemnity that exceeded his or her earnings limit for the calendar year.

  • Marginal note:Amount

    (4.2) The amount for the purposes of subsection (4.1) in respect of a person for a calendar year is the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during the calendar year multiplied by the contribution rate that is fixed for the calendar year for the purpose of paragraph 31.1(2)(a).

  • Marginal note:Application of subsections (3), (4), (4.1) and (7)

    (5) In the application of subsections (3), (4), (4.1) and (7), the deeming provision of subsection 16(6) in relation to a portion of a year’s pensionable service shall apply, with any modifications that the circumstances require.

  • Marginal note:Amount payable to former members of Senate

    (6) The compensation allowance payable under this section in respect of contributions made as a member of the Senate is an amount equal to the aggregate of

    • (a) the person’s average annual sessional indemnity multiplied by, subject to subsection (7), the number of years and portions of years of pensionable service calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6), multiplied by

      • (i) if the person has not reached 60 years of age, 0.03,

      • (ii) subject to subparagraphs (iii) and (iv), if the person has reached 60 years of age, 0.01,

      • (iii) if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday, and

      • (iv) if the person contributed after he or she reached 71 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday,

    • (b) the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001; and

    • (c) the person’s average annual sessional indemnity multiplied by the number of years of pensionable service calculated in accordance with subsection (4.1), multiplied by 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.

  • Marginal note:Years of service — subparagraph (6)(a)(iii)

    (7) For the purpose of subparagraph (6)(a)(iii), a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount — equal to 7% of the sessional indemnity payable to a member of the Senate during any calendar year — that, during that calendar year and before January 1, 2001, he or she contributed or elected to contribute under section 31 or 33, as those sections read immediately before that date, other than amounts contributed in respect of salary or annual allowance or as interest.

  • Marginal note:Special case — before January 1, 2001

    (8) For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before January 1, 2001, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, be

    • (a) if the person has not reached 60 years of age, 0.04;

    • (b) subject to paragraph (c), if the person has reached 60 years of age, 0.02; and

    • (c) if the person contributed after he or she reached 71 years of age, 0.04 for the years and portions of years of pensionable service calculated by reference to contributions made on or after the 71st birthday, other than those made under an election made before that birthday.

  • Marginal note:Special case — January 1, 2001 to December 31, 2015

    (9) For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, during the period that begins on January 1, 2001 and ends on December 31, 2015, elected to contribute under this Part in respect of any session or part of a session before December 31, 2015, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, be

    • (a) if the person has not reached 60 years of age, 0.03;

    • (b) subject to paragraphs (c) and (d), if the person has reached 60 years of age, 0.01;

    • (c) if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday; and

    • (d) if the person contributed after he or she reached 71 years of age, 0.03 for the years or portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday.

  • Marginal note:Exception

    (10) Clauses (2)(a)(i)(B), (ii)(B) and (iii)(B) and subsection (8) apply — instead of clauses (2)(a)(i)(C) and (ii)(C), subparagraph (2)(a)(iv) and subsection (9) — in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1), on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).

  • R.S., 1985, c. M-5, s. 36
  • 1992, c. 46, s. 81
  • 1995, c. 30, s. 9
  • 2001, c. 20, s. 25
  • 2003, c. 16, s. 7
  • 2012, c. 22, ss. 27, 41

Marginal note:Additional compensation allowance

  •  (1) Subject to section 58, where a person ceases to be a member on or after January 1, 1992, having contributed or elected to contribute under this Part or Part I or III of the former Act, as a member for at least six years and has contributed under this Part in respect of any amount paid by way of salary or annual allowance, there shall be paid to the person during the lifetime of that person an additional compensation allowance determined in accordance with this section.

  • Marginal note:Amount payable

    (2) The additional compensation allowance payable to a person pursuant to this section is an amount equal to the aggregate of

    • (a) the average annual sessional indemnity of the person multiplied by the same number of years and portions of years of pensionable service to the credit of the person as is calculated for the purposes of paragraph 17(1)(b) in accordance with subsections 17(4) and (5), multiplied by

      • (i) where the person has not reached 60 years of age,

        • (A) 0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

        • (B) 0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

        • (C) 0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),

      • (ii) subject to subparagraphs (iii) and (iv), where the person has reached 60 years of age,

        • (A) 0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

        • (B) 0.02 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

        • (C) 0.01 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001 and before January 1, 2016, other than those made under an election referred to in clause (A) or (B),

      • (iii) where the person has reached 71 years of age and contributed after that,

        • (A) 0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, in the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995,

        • (B) 0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, in the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, or in respect of which an election was made during that period, other than contributions made pursuant to an election referred to in clause (A), and

        • (C) 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election referred to in clause (A) or (B), and

      • (iv) if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election referred to in subparagraph (iii), and

    • (b) the average annual sessional indemnity of the person multiplied by the number of years of pensionable service calculated in accordance with subsections (3) and (4), multiplied by

      • (i) 0.05 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

      • (ii) 0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than under an election referred to in subparagraph (i), and

      • (iii) 0.03 for the years and portions of years of pensionable service calculated by reference to those contributions made during the period beginning on January 1, 2001 and ending on December 31, 2012, other than those made under an election made before January 1, 2001, and

      • (iv) 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made during the period beginning on January 1, 2013 and ending on December 31, 2015, other than those made under an election made before January 1, 2013.

  • Marginal note:Years of pensionable service

    (3) For the purposes of paragraph (2)(b), a person, on ceasing to be a member, is deemed to have one year of pensionable service to the credit of that person for

    • (a) each amount, equal to eleven per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute before July 13, 1995 pursuant to paragraph 31(2)(b) or subsection 31(3) or 33(2) as those provisions read before the coming into force of this paragraph or, if the person had reached 71 years of age at the time of making the election, pursuant to subparagraph 33(1)(a)(ii) or (b)(ii);

    • (b) each amount, equal to nine per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute on or after July 13, 1995 and before January 1, 2001 pursuant to a provision referred to in paragraph (a); and

    • (c) each amount, equal to 7% of the sessional indemnity payable to the person as a member of the Senate or House of Commons, as the case may be, during a calendar year, that the person — during the period beginning on January 1, 2001 and ending on December 31, 2012 — has contributed or elected to contribute under subsection 31(3), paragraph 31(4)(b) or subsection 31(5) or 33(1), other than amounts paid under subsection 33(1) in respect of sessional indemnity or as interest.

  • Marginal note:Years of pensionable service

    (3.1) For the purposes of paragraph (2)(b), for each of the calendar years from 2013 to 2015, a person, on ceasing to be a member, is deemed to have one year of pensionable service to his or her credit for each amount equal to the amount determined under subsection (3.2) that, during that calendar year, the person contributed or elected to contribute under paragraph 31.1(1)(c) or (2)(b) or subsection 33.1(1), other than amounts paid under subsection 33.1(1) in respect of sessional indemnity or as interest.

  • Marginal note:Amount

    (3.2) The amount for the purposes of subsection (3.1) in respect of a person for a calendar year is the sessional indemnity payable to a member of the Senate or House of Commons, as the case may be, during the calendar year multiplied by the contribution rate that is fixed for the calendar year for the purpose of paragraph 31.1(2)(a).

  • Marginal note:Application of subsection 14(3)

    (4) In the application of subsection (3), the deeming provision of subsection 14(3) in relation to a portion of a year’s pensionable service shall apply, with such modifications as the circumstances require.

  • Marginal note:Special case

    (5) For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before January 1, 2001,

    • (a) the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out therein, be

      • (i) where the person has not reached 60 years of age, 0.04,

      • (ii) subject to subparagraph (iii), where the person has reached 60 years of age, 0.02, and

      • (iii) if the person has reached 71 years of age and contributed after reaching that age, 0.04 for the years and portions of years of pensionable service calculated by reference to those contributions made on or after the 71st birthday, other than those made under an election made before that birthday; and

    • (b) the multipliers referred to in paragraph (2)(b) shall, in lieu of the numbers set out in that paragraph, be 0.04.

  • Marginal note:Special case — January 1, 2001 to December 31, 2015

    (6) For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, during the period begining on January 1, 2001 and ending on December 31, 2015, elected to contribute under this Part in respect of any session or part of a session before December 31, 2015, the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out in that paragraph, be

    • (a) if the person has not reached 60 years of age, 0.03;

    • (b) subject to paragraphs (c) and (d), if the person has reached 60 years of age, 0.01;

    • (c) if the person contributed after he or she reached 69 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 69th birthday and January 1, 2001 and ending on December 31, 2012, other than those made under an election made before that birthday; and

    • (d) if the person contributed after he or she reached 71 years of age, 0.03 for the years and portions of years of pensionable service calculated by reference to contributions made — or in respect of which an election was made — during the period beginning on the later of the 71st birthday and January 1, 2013 and ending on December 31, 2015, other than those made under an election made before that birthday.

  • Marginal note:Exception

    (7) Clauses (2)(a)(i)(B), (ii)(B) and (iii)(B), subparagraph (2)(b)(ii), paragraph (3)(b) and subsection (4) shall apply instead of clauses (2)(a)(i)(C) and (ii)(C), subparagraphs (2)(a)(iv) and (b)(iii), paragraph (3)(c) and subsection (5) in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1) on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).

  • R.S., 1985, c. M-5, s. 37
  • 1992, c. 46, s. 81
  • 1995, c. 30, s. 10
  • 2001, c. 20, s. 26
  • 2003, c. 16, s. 8
  • 2012, c. 22, ss. 28, 41
 

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