Page Comparison

Weekend Workers
Weekend workers are those employees who work 30 hours per week but are paid for 37.5 hours. Contributions should be deducted from their full earnings as they are credited with 52 weeks of contributory service as if they were working a full 37.5 hours per week.

Laboratory Medicine Funding Framework Agreement (LMFFA)
The LMFFA creates pay equity for laboratory physicians to bring them up to the Uniform Minimum Level of Compensation (UMLC). The additional compensation is funded by the Ontario Ministry of Health and Long Term Care and provides both additional salary and covers the cost for any benefits, including HOOPP, associated with the additional salary.

The Ministry funding is paid to employers in the form of a single payment that is meant to cover the cost of both the additional salary and any costs incurred by employers that are associated with providing additional benefits to members.

Missed Contributions
From time to time, a member or employer may miss making required contributions. HOOPP can learn about missed contributions in one of three ways:

• Upon reporting the enrolment, HOOPP may detect a missed contribution and alert you to
  this through a warning message.

• Via the annual member data collection process; or

• Via correspondence from you or one of your employees advising of the situation

When required contributions are missed, it is mandatory that both your organization and the member make up those contributions. Where applicable, interest will be charged.
In order for HOOPP to calculate the amount required to make up the missed contributions you will need to provide:

• The member's rate(s) of pay

• Start date for each pay rate

• The full-time equivalent hours for the member's position

• The hours worked at each rate of pay

HOOPP will contact you directly to obtain this information. After receiving the information HOOPP will send you a notice and invoice which outlines the cost of the required contributions, plus interest charges (if applicable) and instructs you to remit the contributions to HOOPP. If the contributions are made later than the due date, additional interest will apply. HOOPP also has a statutory obligation to notify the FSRA when an employer does not remit required contributions to HOOPP within 30 days from the end of the
month for which the contributions were deducted or received.

In all other cases of missed contributions, upon being notified, HOOPP will notify you of the amount of missed member and employer contributions.

You must report the employee contributions plus any interest in box 20 Registered Pension Plan Contributions on the member's T4 slip for the year in which the missed contributions are made. Where the missed contributions are in respect of a prior taxation year, the contributions should be added with the required contributions for the current year.

Late contributions paid retroactively for 1990 or later years will require an amended pension adjustment (PA) for each year in which the contributions apply. HOOPP will provide you with the revised PA upon receipt of the funds. In the event that you need to report contributions that apply to pre-1990 taxation
years, contact HOOPP.

When a Job is Jointly Funded
When part of the funding for an employee's salary comes from a HOOPP employer and part from a nonHOOPP employer such as a teaching facility, the member should be treated as a part-time employee for the purpose of calculating HOOPP contributions.

As a result, you should use the universal payroll deduction method when calculating contributions. The formula prorates the member's contributory service, based on the earnings paid by the HOOPP employer, and takes into account the member's annualized earnings.

There is, however, an important twist in how the member's annualized earnings are derived. Where part of the salary is paid by a HOOPP employer and part by a non-HOOPP employer, the annualized earnings are based on the sum of the two salaries.

But while the salaries paid by the two employers are added together to calculate the member's annualized earnings, that is not the case for the member's earnings per pay. The member's earnings per pay reflect only the salary paid by the HOOPP employer.

Let's take the example of a member who works 52 weeks a year, and is paid a total of $150,000:
$100,000 by a HOOPP employer, and $50,000 by a teaching facility.

For HOOPP purposes, the member’s annualized earnings would be $150,000. However, the member’s contributory service would be prorated to reflect the fact that the member’s earnings per pay, and contributions made to HOOPP are based only on the member’s earnings from the HOOPP employer.

In this example, the member’s contributory service for the year, measured in weeks, would be 100,000/150,000 × 52 weeks, or 34.67 weeks, assuming the member works for the entire year.
This situation only applies when there is a joint funding agreement.

Temporary Periods of Reduced Earnings
Members can choose to "top up" their contributions during a temporary period of reduced earnings (also referred to as an Approved Work Schedule Reduction), subject to your approval, as long as they have been employed by you for at least 36 months prior to the start of the period. Examples of a temporary period of reduced earnings include participation in a temporary job-sharing program or a decision by a member to work fewer hours each week for a temporary period of time.

Let HOOPP know when a member is starting a temporary period of reduced earnings by submitting Leaves of Absence information and selecting Approved Work Schedule Reduction as the leave type. When it ends, submit additional Leaves of Absence information and select Approved Work Schedule Reduction as the leave type. This is so HOOPP can credit the member with the correct amount of service.

Members who want to "top up" contributions can either make these contributions periodically throughout the temporary period of reduced earnings/approved work schedule reduction, or remit them to HOOPP through you, the employer no later than twelve months (temporarily extended from six months) after the end of the temporary period of reduced earnings/approved work schedule reduction.

Members who choose to "top up" their contributions each payday can, at any time during the period, switch back to making contributions on their actual earnings. If they make such a switch, they will not be allowed to resume periodic contributions, and will have to provide the rest of their "topped up" contributions as a lump sum no later than twelve months (temporarily extended from six months) after the end of the temporary period of reduced earnings/approved work schedule reduction. However, once the payment has been collected from the member, the total lump sum must be paid within 30 days of the end of the month in which the deductions were made.

Contributions for members who want to contribute during a temporary period of reduced earnings are based on what they were earning before the period of reduced earnings/approved work schedule reduction began. These "deemed earnings" must also include any subsequent pay increases. The contributions of part-time employees should be based on their average earnings for the 10 weeks immediately preceding the period of reduced earnings/approved work schedule reduction. If the member does not "top up" contributions within twelve months (temporarily extended from six months) from the end of the period of reduced earnings, they lose the opportunity to contribute, and you are relieved of any responsibility to match the contributions. HOOPP's buyback rules do not apply in this situation, so the member is unable to purchase the service later.

Contributions paid on a periodic basis during a temporary period of reduced earnings (also referred to as an Approved Work Schedule Reduction) are reported to HOOPP via the annual member data collection process if:

• The member pays the topped-up contributions on an ongoing basis (i.e. every payday); or

• The temporary period of reduced earnings/approved work schedule reduction starts and ends in the same calendar year, and the member makes contributions by the end of that same calendar year

If the member's contributions are received as a lump sum after you have completed your annual member data collection for the year in which the temporary period of reduced earnings began, contributions will need to be submitted via a Lump Sum payment process in HOOPP Insight.

Interest will be charged on lump sum payments received more than 30 months after the beginning of the temporary period of reduced earnings.

The employee can try to make all contributions relating to a leave/temporary period of reduced earnings/approved work schedule reduction each payday, so that contributions are made during the same calendar year in which the temporary period of reduced earnings occurs. Making contributions in the year in which they will apply will ensure the member's HOOPP annual statement and T4 slip reflect the correct contributions for the year.

Should an employee elect to pay contributions that apply to a previous calendar year in the current calendar year, you must report the contributions on the member's T4 slip for the year in which the contributions are made. The employee's contributions should be reported in box 20 Registered Pension Plan Contributions.

Contributions on Termination Payments
The table below summarizes the way HOOPP treats pension contributions for various payments that may be made to members upon termination of employment. Whether or not HOOPP contributions are made on these amounts depends on the type of payment, and the method by which the payment is made.

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