Your 2025 cost-of-living adjustment

We wanted to share that the cost-of-living adjustment (COLA) for 2025 is 2.7% for Public Service Pension Plan (PSPP) retired members and their survivors. You will receive your Retired Member Statement (RMS) with your personal annual COLA in January 2025, along with the breakdown of your gross monthly pension.

The annual COLA is a valuable benefit of your PSPP pension and helps to protect your pension from the impacts of inflation. We’ve heard these common questions from members:

• How is COLA calculated?
• How does COLA impact my pension?
• Why is it different than what the media is reporting?

To answer those questions and to help you understand more about COLA, click on the play button below to watch a short video we created.

Learn more about COLA and how it’s calculated on our Inflation Protection/COLA page.

In early to mid-February, you will also be able to view your T4A or NR4 for 2024 through your e-services account. You will still receive a tax slip in the mail from ADP.

To help you plan for your 2025 pension payments, we've posted pay dates for next year on our Pension pay dates page. We've also included information on how you can sign up for direct deposit for your pension payments – whether you live in Canada, the United States or another part of the world.

With the end of the year approaching, here are some items to consider:

• Has any of your personal information changed? Please update us by visiting e-services to update your personal information including your address, marital status, and more – or contact us directly to make any necessary updates.
• If your 65th birthday is in 2025, your PSPP early retirement bridge benefit will end at the end of the month you reach age 65.
• If you're holding on to medical and dental submissions for 2023, you may have until the end of 2024 to submit them for reimbursement. Visit our Insured benefits page for more details.
• If you haven’t registered for e-services yet, click 'Login' at the top right corner of this page and then click ‘Member Registration’.

Are you a retired TVO Plan member or survivor?

For members who retired under the TVO Plan and their survivors, your COLA for 2025 is 1.64%. This adjustment is calculated based on the TVO Plan rules. As a retired TVO Plan member, you will receive your RMS with your personal annual COLA in December with the breakdown of your gross monthly pension for the year.

Are you the survivor of a TVO pensioner?

Your personal annual COLA letter for your survivor pension will be mailed to you in mid-December. The letter contains a breakdown of your gross monthly pension for the year.

Are you a retired Ontario Northland Plan member or survivor in the Northline Transfer group?

Ontario Northland Plan members and survivors who are part of the Northline Transfer group will continue to receive a set annual increase. As a retired member of the Northline Transfer group, your RMS will be mailed to you in 2025.

For other members who retired under the Ontario Northland Plan provisions (i.e., before the merger with the PSPP received consent in the fall of 2019), the Ontario Northland Plan was not funded to provide increases automatically unless the pension plan could afford it. This means that each year OPB will assess and make a recommendation to the Plan Sponsor (the Government of Ontario) about whether an ad hoc COLA can be provided. Any recommended increase will be based on the PSPP's funding policy, which requires consideration of the funded status of the PSPP (and in particular, whether the PSPP has a surplus that exceeds a threshold set out in the funding policy) along with the cost of increase. A letter has been sent to you with a decision for 2025.

Contact us:

If you have any questions, our Client Care Centre is ready to assist you. Call us at 416-364-5035 or toll free (Canada and U.S. only) at 1-800-668-6203 or email us at clientservice@opb.ca.