How to buy non-contributory service

Find out how to buy non-contributory service to potentially increase your future pension.

You may be able to increase your future pension by buying non-contributory service for a period when you worked for an employer participating in BC’s Public Service Pension Plan but were not making pension contributions.

For example, this could be when you were on probation or worked as a term, contract or auxiliary employee before joining the plan.

Buying non-contributory service increases the service that counts toward your pension. This may increase the monthly pension you receive when you retire or allow you to retire earlier.

Are you eligible?

To buy non-contributory service, you must be an active plan member

You cannot buy non-contributory service if you were eligible to join the plan but signed a waiver choosing not to join, on or after April 1, 2000.

How much will it cost?

The cost of buying non-contributory service is based on:

  • The number of months of service you want to buy
  • Your current full-time-equivalent salary
  • The current employee and employer contribution rates

Sign in to My Account and use the personalized purchase cost estimator to get an estimate of the cost.

Your employer will pay its share of the total cost if:

  • An employee/employer relationship existed during the period when you were not contributing to the plan
  • You did not receive compensation instead of contributing to a registered pension plan

In all other cases, you are responsible for paying the entire cost.

What is the deadline?

You must apply to buy service within five years of the date on which you first contributed to the plan or before you leave your job, whichever comes first.

What is the process?

  1. Download the Purchase of service application form
    • To generate a form pre-populated with your personal information, sign in to My Account and run an estimate in the personalized purchase cost estimator
    • To generate a blank form, go to the Submit the Purchase of service application form page and download the Purchase of service application package; you will need to complete part A
  2. Print and sign the form
  3. Attach any required documents
  4. Send the completed form and documents to your current employer, who will complete part B and send the form to the Public Service Pension Plan

When we have processed your application to buy service, we will send you a statement showing:

  • Total cost
  • Payment due date

What are the payment options?

You must pay the full amount by the due date shown on the statement of cost. You can pay by:

  • Online banking from your personal bank account
  • Cheque, money order or bank draft (payable to Public Service Pension Plan)
  • Transfer from an existing RRSP or locked-in retirement vehicle in your name
  • A combination of the above options

You will only receive a tax receipt if you pay by online banking, cheque, money order or bank draft.

You are responsible for ensuring the correct payment amount reaches the plan by the due date indicated on the statement. If you miss the payment deadline, you must continue to meet eligibility requirements, including the original five-year time limit, and reapply to make the purchase.

How to pay from an existing RRSP or locked-in retirement vehicle

If you wish to pay by transferring funds from an RRSP or locked-in retirement vehicle, your financial institution must make this transfer to the plan on your behalf. You should instruct your financial institution to send the exact amount owed to the plan by the due date. Ensure that your financial institution does not deduct service fees from your purchase of service payment,  as this will result in an incomplete payment.

How to pay through online banking

The following financial institutions are set up for online banking with BC Pension Corporation:

  • BMO
  • CIBC
  • HSBC
  • RBC
  • Scotiabank

To pay an invoice online:

  1. Sign in to your financial institution's online banking service.
  2. Under Add a payee, select BC Pension Corporation.
  3. For your account number, type in your Person ID (PID) number. (You can find your Person ID number on your purchase invoice or statement of cost.)

If you need help making your payment through online banking, contact your financial institution.