Defence Services Pension Continuation Regulations (C.R.C., c. 554)

26 The amount of the reduction of the monthly instalment of the pension of an officer who makes an election is equal to the amount determined as follows:

• (a) calculate the actuarial present value of the pension to which the officer is entitled under Parts I to III of the Act immediately before the election, and the supplementary benefits payable in respect thereof under the Supplementary Retirement Benefits Act;

• (b) convert the amount determined in accordance with paragraph (a) into a joint and survivor pension benefit that consists of

  • (i) a pension that is payable, during the life of the officer, by monthly instalments beginning on the first day of the month after the month in which the election is made, and that is determined taking into account the supplementary benefits payable under the Supplementary Retirement Benefits Act, as if the pension were a pension payable under Parts I to III of the Defence Services Pension Continuation Act, and

  • (ii) a pension that is payable during the life of the surviving spouse, by monthly instalments beginning on the first day of the month after the month in which the officer died and that is equal to 30, 40 or 50 per cent, in accordance with the election made by the officer, of the pension determined in accordance with subparagraph (i), and that is determined taking into account the supplementary benefits payable under the Supplementary Retirement Benefits Act, as if the pension were a pension payable under Parts I to III of the Defence Services Pension Continuation Act; and

• (c) subtract the first monthly instalment of the pension referred to in subparagraph (b)(i) from the first monthly instalment of the pension referred to in paragraph (a), and adjust the amount obtained to take into account

  • (i) that the reduction is effective during the lesser of

    • (A) the period of the life of the officer,

    • (B) the period of the life of the spouse, and

    • (C) the duration of the marriage,

  • (ii) that the reduction becomes effective in the month referred to in section 31, and

  • (iii) that the increase in the reduction under section 27 will apply to the reduction in each year referred to in that section.