Skip to content

Client Update: Nova Scotia Consultation on Pooled Registered Pension Plan (PRPP) Regulations

On September 9, 2015, the Nova Scotia Department of Finance and Treasury Board opened a consultation on draft Regulations for Pooled Registered Pension Plans (PRPPs). The draft Regulations and an FAQ are posted online. PRPPs are voluntary retirement savings plans in which employees and employers may choose to pool contributions and administration costs with other participants. Employers and employees decide how much they contribute to the plan. Third party administrators must be licensed in order to provide PRPPs and several insurance companies are currently licensed federally.

The Nova Scotia Legislature passed the PRPP Act in the fall of 2014 (for more information on the PRPP Act, see a summary here) but it has not yet been proclaimed in force as regulations still need to be finalized. In the PRPP Act, the Nova Scotia government largely adopted the federal Pooled Registered Pension Plans Act (Canada); similarly, the proposed Regulations largely mirror the federal Regulations. The differences between the proposed Regulations and the federal regulations include:

  • Different definition of spouse (as adopted in the Nova Scotia PRPP Act).
  • Different options for where the funds in a PRPP may be transferred – The options are consistent with those under the Nova Scotia Pension Benefits Act, which allows transfers to certain locked-in retirement savings arrangements including a locked-in retirement account (LIRA), life income fund (LIF) or life annuity. Conditions for life annuities are similar to those under the new Pension Benefits Regulations, including the requirement of a joint and survivor annuity if the member has a spouse. Limitations on the options are also consistent with expected amendments to the Pension Benefits Act and Regulations that would allow transfers between registered pension plans and PRPPs. Unlike the federal regulations, the proposed Nova Scotia Regulations do not allow transfer to a locked-in registered retirement savings plan (RRSP).
  • In addition to meeting the requirements under the federal legislation, an administrator must register all of their PRPPs under the federal Act before they can be licensed in Nova Scotia.

More information on the federal PRPP requirements is available on the Canada Revenue Agency’s website.

Written comments on the proposed Nova Scotia Regulations may be submitted by October 9, 2015 to: PRPP@novascotia.ca or Finance Treasury Board, Pension Regulation Division, PO Box 2531, Halifax, NS, B3J 3N5.

The foregoing is intended for general information only. If you have any questions, or for a detailed list and background of our Pension and Benefits Team, please visit our website at www.stewartmckelvey.com.

SHARE

Archive

Search Archive


 
 

Land use planning in Prince Edward Island – the year in review

December 21, 2023

By Perlene Morrison, K.C., Hilary Newman & Curtis Doyle Once again, the time has come to review the year that was and to chart the course for the year ahead. For municipalities and planning professionals…

Read More

The Offshore Renewable Energy Area: Navigating offshore commitments in Newfoundland and Labrador

December 18, 2023

By Dave Randell, John Samms & Jayna Green A recent Government of Newfoundland and Labrador (“GNL”) announcement affirms the Province’s swift and ambitious approach to offshore wind development. While it may come as a shock…

Read More

Clean sweep: Federal Government tables legislation for Clean Technology Investment Tax Credit

December 15, 2023

By Sadira Jan, Dave Randell, Graham Haynes & Tyler Callahan On November 30, 2023, the Federal Government tabled Bill C-59, entitled An Act to implement certain provisions of the fall economic statement tabled in Parliament…

Read More

Forward focus: Canada’s ambitious immigration plan

December 14, 2023

By Brendan Sheridan The Government of Canada has continued their whirlwind year of immigration program announcements by revealing their plan to modernize and improve the country’s immigration system. This plan, known as “An Immigration System…

Read More

Preparing for Canada’s “Modern Slavery Act”: considerations and guidance for businesses

November 30, 2023

By Christine Pound, ICD.D, Rebecca Saturley, & Daniel Roth Canada’s anti-modern slavery legislation comes into force on January 1, 2024. To prepare for the first reporting deadline on May 31, 2024, organizations need to determine…

Read More

Replace-me-not: Bill C-58 proposes ban on replacement workers in federal strikes and lockouts

November 29, 2023

By Brian Johnston, K.C. and Richard Jordan On November 9, 2023, Minister of Labour, Seamus O’Regan, introduced Bill C-58 in the House of Commons to amend the Canada Labour Code to prohibit the use of…

Read More

Final retail payment activities regulations released

November 28, 2023

By Kevin Landry & Eryka Gregory The Retail Payment Activities Regulations (“Regulations”) under the Retail Payment Activities Act (“RPAA”) were finalized and published in the Canada Gazette Part II on November 23, 2023. The RPAA was…

Read More

Nova Scotia offers new pension option to private sector employers

November 24, 2023

By Level Chan When proclaimed in force, the Nova Scotia Private Sector Pension Plan Transfer Act (the “Transfer Act”) enacted by Bill 339, Financial Measures (Fall 2023) Act will allow the transfer of private sector…

Read More

Bill C-365 calls for plan for implementation of open banking in Canada

November 17, 2023

By Kevin Landry On November 9 2023, Bill C-365, An Act respecting the implementation of a consumer-led banking system for Canadians (“C-365”), short titled as the ‘Consumer-led Banking Act’ was read in the House of…

Read More

More limits: NSCA tightens the test for disallowing a limitations defence

November 15, 2023

By Jennifer Taylor The Nova Scotia Court of Appeal (“NSCA”) has issued an important decision clarifying the test to disallow a limitations defence. The decision, Halifax (Regional Municipality) v Carvery (“Carvery”), has real implications for personal…

Read More

Search Archive


Scroll To Top