IAM Pension Plans among the Best in Canada

By Ivana Saula

Saving on your own or through a group pension plan? It’s an important question and a tough decision, but a recent survey makes it clear, IAM pension plans are the best way to save for retirement.

In a survey examining 50 union pension plans in Canada, published in Pension and Benefits Monitor, our pension plans placed in the top 10.  Our plans came in 7^th overall, due to their stability and security, which ensures that our members can retire in dignity and maintain a comfortable lifestyle.

The fees and costs related to maintaining our plans are less than regular RRSPs, .67% versus 2.5%. Fees and costs are important as they impact your investment. Consider that annual fees of 2.9% result in 45% of your investment going towards paying fees to your financial planner, and the remaining 55% of your investment is paid as pension. The rate of return is another factor that sets our plans from the rest, because the rate of return is greater and more consistent; it has been 6.6% over a decade and more importantly, payouts to retirees are not dependent on fluctuating interest rates.

But don’t take it from us, read what our members have to say;

Multi-colour Offest Press Operator, Magellan Aerospace:
“The IAM Labour-Management Pension Plan will allow me to take early retirement. My financial planner has said our IAM Plan is one of the very best plans out there today. Now I can retire with dignity knowing that the money will be there each month for me. I don’t have to be relying only on the Canada Pension Plan.” – Mike Beard

Refund Services, Air Canada:
“Having the Multi-Employer Pension Plan is such a huge benefit. Most if us have to remember to contribute to our own RRSP to build retirement savings, and we have to figure out where to invest. With the MEPP, I know I’ll receive a target benefit, and I don’t have to worry about managing my own investments. It’s comforting to know I’ll have something for myself when I retire.” – Myranda Bachewich.