A.3 Responsibilities for Reporting PAs, PSPAs and PARs

Owned by Thomas Stachowicz (Deactivated)
Last updated: Nov 23, 2020
2 min read

Employer Responsibilities

  • Calculating PAs for each employee who contributed to HOOPP during the reporting year. PAs are reported to employees on their annual T4 slips; they are also reported to HOOPP when a member terminates their employment, or retires.

  • Providing, within applicable deadlines, information HOOPP or other pension plans (in the case of pension transfers) need to meet legal requirements for the calculation of PSPAs and PARs.

  • Issuing revised PAs for members who contributed to HOOPP through more than one employer during the reporting year if the combined PAs reported by the employers exceeds the maximum PA for the year. HOOPP will provide you with the revised PA
    amounts.

  • Providing information in the Member Data Collection to calculate PAs for employees who qualify for free accrual - contributory service that they are credited with while disabled, and where member and employer contributions have been waived.

  • Providing the information HOOPP needs to help you meet tax reporting requirements for members who contribute to the Plan's retirement compensation arrangement (RCA).

HOOPP Responsibilities

  • Calculating PAs for you to provide to members who are credited with free accrual while they are disabled, based on information you provide.

  • Identifying cases in which the combined PAs of members who worked for more than one HOOPP employer during the year exceed the maximum PA, and calculating revised PAs to provide to the employers.

  • Calculating a PSPA for members who buy back past service or who transfer benefits into HOOPP from another pension plan, or when pension benefits are increased as a result of an improvement to the Plan for past service.

  • Calculating and sending PARs to both the CRA and a terminated member.

CRA Responsibilities

  • Notifying members directly when a PSPA cannot be certified because they have insufficient unused RRSP contribution room and explaining the options available, if any.

  • Calculating the amount each individual can contribute to an RRSP every year based on their income and reported PAs, PSPAs, and PARs.

  • Reporting RRSP contribution room and unused RRSP contribution room on the Notice of Assessment each employee receives after they have filed their tax return each year.

Member Responsibilities

  • Ensure RRSP contributions do not exceed the limits imposed by the CRA as indicated on their Notice of Assessment.

Current as of December 15, 2023