Bill C-58 "Support for Veterans and Their Families Act" (short title)

VERY good info THANKS TEEN

Teen,

When calculating for top up do they also include tax free income from those who are getting benefits from their PA pension ?

Or is it just taxable income ?

as long as I can opt out that is great for me since this is on application anyway I just don't have to apply so that I get .

yes I would lose money in these calculations but still leaving me above the floor.

my concern was will those in my position that may have brain injuries and such be given there calculations prior to applying ??? then given that they could make a more educated dissension?

propat

trooper we were told any tax-free payments are not included in the calculations.

propat there is no application for the RISB. It's an automatic conversion. So if you want to opt out you contact VAC before 65 and instruct them to not give you the RISB.

oh ok teen that's great just thought I could do this because the proposed legislation says.

40.1 (1) The Minister may, on application, pay a retirement income security benefit to a veteran who.

I guess they don't mind using very ambiguous language , most don't but what the heck right .

, on application , must mean something very different to what I think it means .

or they are saying they are doing one thing and righting into legislation something else but im sure they wouldn't do something like that .

thanks a lot

propat

Oh your a good man teen, thanks.

So I will give a scenario asking for anyone to correct anything in it for learning purposes.

First when you - or they say 70% of PIA/PIAS Earning Loss for the floor I'm going to guess that the Earning Loss would be changed to LTD for those who do not receive the ELB ?

If I'm right so far, a person 64 years of age who does receive the PIA or PIAS or ELB but does receive   $36000.00 a year from LTD.
The floor for that person would be $25200.00.

Now if that persons cf income is $31000.00 a year, and $12000.00 a year cpp. and oas is $5100.00 a year.
This totals $48100.00 a year.

This individual is SOL for the RISB ?

And just to turn things around just changing the bottom total from $48100.00 - to $39500.00
Would this individual get topped up to the minimum of $43000.00 which would benefit him - or her to the extra sum of $3500.00 qualifying them for the RISB - and or qualifying them for a top up ?

absolutely correct trooper .

propat

that was for the first part as for the second pert I am unsure right now .

propat

Thanks there propat, did you read what I edited in my post also ?

Ok, will wait for teen to return, I thought the Idea was to have all receive a minimum of $43000.00 ?

I would welcome those that are receiving the PIA and the PIAS to give their own scenario so we could all get a better understanding of where we stand.

yup got it to late so I added .  thing is I hared the aprox  $43000.00  . I may be missing something but as many times I have here'd  them say this I still do not see it in the proposed legislation for the RISB.

propat

So I found where it said minimum of $43000.00 + this amount is suppose to grow early with the consumer price index.

And in teen's recent explanation he say's in path three that the minimum is indeed correct at $43000.00.

Anyway teen, your recent post makes it much easier for all to actually see where they stand with regards to the RISB.



Just keep in mind when doing your own calculations, that you must be in path three to qualify for the $43000.00 minimum.

Here is another scenario using the the ELB, PIA, and PIAS.

ELB is $30000.00 PIA is $7200.00 PIAS is $12000.00 with a total of $49200.00 - Which puts this individual with a floor of $34440.00.

CF pension is $33600.00 OAS is $4800.00 CPP is $11000.00 with a total of $49400.00

In this case the individual does not need a top up.

Same scenario changing cf pension amount - ELB amount and floor amount.
CF pension is now changed to $17700.00 ELB is now changed to $13275.00
The new floor amount is now $22732.00

In this case the individual if on path three would be topped up to $43000.00 - $32475.00 = a difference of $10525.00 that would be of benefit to him or her.

If my scenario's are inline with how this RIBS is to work, it proves the very intent of it's purpose to ensure that Veterans have a set minimum amount of income when they reach 65.

Looking at different scenario's some with benefit from it, some will not, but one thing is for certain, those Veterans that are most in need when they turn 65, will benefit from this.

So for me, I give it two thumbs up.




.

(4) Subject to the regulations, the monthly amount of the retirement income security benefit that is payable to a veteran shall be determined in accordance with the formula





(A + B) – C





where





A is 70 % of the earnings loss benefit to which the veteran would be entitled for the month in which they attain the age of 65 years, calculated as if the benefit were payable for that entire month and not taking into account amounts that are payable to the veteran from prescribed sources referred to in subsection 19(1);





B is 70 % of the permanent impairment allowance, including any increase to it under subsection 38(3), payable to the veteran for the month in which they attain the age of 65 years; and





C is the total amount that is payable to the veteran for a month from prescribed sources.

propat