Canadian Forces Superannuation Regulations

16 (1) Subject to subsection (2), the immediate annuity to which a contributor is entitled under section 20 of the Act shall be increased by an amount equal to the aggregate of

• (a) an amount obtained by multiplying

  • (i) the number of years of service in the regular force to the credit of the contributor while on an indefinite period of service after completion of an intermediate engagement, divided by 50,

  by

  • (ii) the average annual pay received by the contributor during any five-year period of pensionable service selected by or on behalf of the contributor or during any period so selected consisting of consecutive periods of pensionable service totalling five years, and

• (b) an amount equal to the amount by which

  • (i) an annuity calculated by multiplying

    • (A) the number of years of pensionable service to the credit of the contributor after having completed an intermediate engagement, divided by 50,

    by

    • (B) the average annual pay received by the contributor during any five-year period of pensionable service, including service in the regular force to the credit of the contributor while on an indefinite period of service after completion of an intermediate engagement, selected by or on behalf of the contributor or during any period so selected consisting of consecutive periods of pensionable service totalling five years

  exceeds

  • (ii) the annuity to which the contributor would have been entitled after having completed the intermediate engagement.

(2) The amount of the increase pursuant to subsection (1) shall, in the case of a contributor who is an officer, be reduced by five per cent of the aggregate of

• (a) the annuity to which the contributor would have been entitled under subsection 17(1) of the Act if he had ceased to be a member of the regular force in the circumstances described in that subsection, and

• (b) the amount of the increase determined in accordance with subsection (1),

for each full year by which his age at the time of his retirement is less than the retirement age applicable to his rank, except that the amount of the increase shall not be reduced to an amount that is less than the amount determined in accordance with paragraph (1)(b).

(3) The amount of the increase pursuant to subsection (1) shall, in the case of a contributor other than an officer, be reduced by five per cent of the aggregate of

• (a) the annuity to which the contributor would have been entitled under subsection 17(1) of the Act if he had ceased to be a member of the regular force in the circumstances described in that subsection, and

• (b) the amount of the increase determined in accordance with subsection (1)

for each full year by which his age at the time of his retirement is less than the retirement age applicable to his rank or for each full year by which his period of service in the regular force is less than 25 years, whichever is the lesser, except that the amount of the increase shall not be reduced to an amount that is less than the amount determined in accordance with paragraph (1)(b).