Since 1998, eligible employees are entitled to buy back the year of service between their 24th and 25th birthdays. The plan subsidizes 30% of the total cost (maximum $2,000 for a full year).
Note that if you retire before age 65 (early retirement), an actuarial adjustment will be applied based on your age and years of continuous service, i.e. the years during which you were working for Desjardins employer. Buy-back of the year between your 24th and 25th birthdays has no impact on the adjustment percentage since this year is already recognized by the DGPP as a year of continuous service.
On the other hand, buy-back for this period will mean that it will also be recognized in calculating your retirement pension, thereby adding to the years of credited service already recognized.
You must meet all of the following conditions in order to be eligible for buy-back:
- • You were hired at Desjardins before age 25.
- • The year or years of service took place before January 1, 1990.
- • Between age 24 and 25 you worked as a regular employee (full or part time).
- • You were an active DGPP member as of October 14, 1998; if you were not active on that date, you can carry out the buyback but without obtaining the plan subsidy.
- • You were an active DGPP member on the past service buy-back.
- • The year being bought back was spent with a Desjardins employer that today is a participating DGPP member.