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News for Pensioners

What's NewInflation Adjustment for 2017

An important benefit of your pension is that it is subject to an inflation adjustment each January. The increase for January 2017 will be 1.3%. Members who received their pension for the full 12 months in 2016 receive this increase. Those who started their pension part way through 2016 receive a partial increase.

Your annual inflation adjustment is based on the change in the Canadian Consumer Price Index. The index is measured each September. Different pension plans may measure changes in the Consumer Price Index in different ways. This can cause year to year differences between pension plans in the amount of inflation adjustment that is granted. A comparison of how adjustments from several major public sector pension plans have compared over the past five years, and their five-year average is shown in the chart below.

Year NSHEPP NS Public Service Plan Federal Superannuation Plan Canada Pension Plan
2013 1.2% 1.25% 1.9% 1.8%
2014 1.1% 1.25% 0.9% 0.9%
2015 2.0% 1.25% 1.7% 1.8%
2016 1.0% 0.85% 1.3% 1.2%
2017 1.3% 0.85% 1.3% 1.4%
Five-year average 1.32% 1.09% 1.42% 1.42%

In addition to this announcement, pensioners will be informed of the amount of the adjustment on their annual RBC Investor Services Electronic Funds Transfer Notification, to be mailed in late December 2016.

November, 2016

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