Canadian Armed Forces pensions
Taking a leave of absence (Active member): Reservists in the Reserve Force Pension Plan

During the course of your career with the Canadian Armed Forces (CAF), you may decide to take an unpaid leave of absence (leave without pay) for personal or other reasons.

On this page

• How service without pay for maternity or parental reasons affects your pension
• Understand pension contributions during maternity or parental service without pay
• Choose not to contribute to the pension plan during service without pay for maternity or parental reasons
• Buy back pension contributions later if you opt out during service without pay for maternity or parental reasons
• Know the limits on service without pay for maternity or parental reasons that count toward your pension
• Pay for pensionable service during periods of service without pay
• Payment options for pensionable service contributions during periods of service without pay
• Additional information and resources

How service without pay for maternity or parental reasons affects your pension

Pensionable service

All service that you accrue as a participant in the Reserve Force Pension Plan counts as pensionable service. Pensionable service is used to determine what pension benefit you receive at release (unreduced pension, reduced pension, deferred pension, etc.) and how much your pension is reduced if you choose to receive a reduced pension. However, if you chose not to pay contributions for service without pay for maternity or parental reasons, this period will not count as pensionable service.

Canadian Force service

Service without pay for maternity and parental reasons, whether or not you contributed, counts as Canadian Force (CF) service. CF service for these periods is calculated based on the ratio of your paid service to your unpaid service in the 12 months leading up to the commencement of your service without pay for maternity or parental reasons. No other type of Reserve Force service without pay is considered CF service.

Understand pension contributions during maternity or parental service without pay

You are not required to contribute to the pension plan while you are on a period of service without pay for maternity and parental reasons. However, as this period of service is considered pensionable, when you return to work the contributions owing for that service will be withheld from your pay in an amount equal to half of the contributions that you make on your earnings until the amount owing is paid in full.

Choose not to contribute to the pension plan during service without pay for maternity or parental reasons

Contact the Canadian Armed Forces Pension Centre if you do not want to pay pension contributions for that period. Otherwise, pension contributions will automatically be deducted when you again have Reserve Force earnings. You must contact the Government of Canada Pension Centre before your contributions for the service without pay have been paid in full in order to exercise your option not to contribute for your service without pay and to receive a refund of any contributions that you have paid for that service.

If you do not want to pay pension contributions for your service without pay, you must complete the Election not to Count Leave without Pay as Pensionable Service (CF-FC 2480) form.

Buy back options for pension contributions if you opt out during service without pay for maternity or parental reasons

There are no buyback options.

Know the limits on service without pay for maternity or parental reasons that count toward your pension

The Income Tax Act places restrictions on the total amount of service without pay for maternity or parental reasons that can be treated as pensionable during an individual's career and the maximum permitted is 3 years.

The Canadian Armed Forces Pension Centre will notify plan members in writing when they reach the Income Tax Act limit.

Pay for pensionable service during periods of service without pay

When you return to work, your pension contributions will be withheld from your pay in an amount equal to half of the contributions that you make on your earnings until the amount owing is paid in full. However, if you would like to pay the full amount owing in the form of a lump sum payment, you can avoid having the contributions withheld from your pay as long as you do so within 30 days of your return to work. Otherwise, you have the option of making a lump sum payment towards the balance owing at any time before it is paid in full. Lump sum payments can be made by:

• personal cheque, postal or bank money order payable to the Receiver General for Canada. Send your payment, together with a Payment Transmittal Form (CF-FC 570)

Payment options for pensionable service contributions during periods of service without pay

When you return to work, your pension contributions will be withheld from your pay in an amount equal to half of the contributions that you make on your earnings until the amount owing is paid in full. However, if you would like to pay the full amount owing in the form of a lump sum payment, you can avoid having the contributions withheld from your pay as long as you do so within 30 days of your return to work. Otherwise, you have the option of making a lump sum payment towards the balance owing at any time before it is paid in full. Lump sum payments can be made by:

• personal cheque, postal or bank money order payable to the Receiver General for Canada. Send your payment, together with a Payment Transmittal Form (CF-FC 570)

Required documents to send to the Pension Centre for service without pay

A copy of your child's Birth/Baptismal Certificate or Adoption Certificate should be provided to the Canadian Armed Forces Pension Centre for the following types of service without pay:

• Maternity leave
• Parental leave

Contact the Canadian Armed Forces Pension Centre if you have any questions regarding the required documents.