Solvency Information Return

Document Properties

  • Type of Publication: Instruction Guide
  • Date: January 2020

General

The purpose of this instruction guide (the Guide) is to assist administrators of pension plans registered or having filed an application for registration under the Pension Benefits Standards Act, 1985 (PBSA) in completing the Solvency Information Return (SIR) that is required to be filed with the Office of the Superintendent of Financial Institutions (OSFI).

The Guide does not supersede the requirements of the PBSA, the Pension Benefits Standards Regulations, 1985 (PBSR), the Directives of The Superintendent Pursuant To The Pension Benefits Standards Act, 1985(the Directives), or any guidelines that OSFI has issued or may issue regarding the administration of pension plans subject to the PBSA.

Who Must File

The administrator of a pension plan with defined benefit provisions registered or having filed an application for registration under the PBSA, or its agent, must file the SIR.

Filing Due Date

OSFI expects the SIR to be filed annually, before February 15 or within 45 days after the plan year end to which it relates, if later.

Filing Requirements

The administrator must file the SIR using the Regulatory Reporting System (RRS).Footnote 1 The information must be entered directly into the on-line web form in RRS. Attached lists or files will not be accepted. All amounts reported in the SIR must be expressed in dollars, not thousands of dollars, and may be rounded to the nearest thousand.

For further information on how to file using RRS, please consult the Manage Financial Returns User Guide for Insurance Companies and Private Pension Plans and other RRS training material available on the OSFI website. RRS training material can also be found in RRS in the Documents folder under Training and Support.

Solvency Information Return

Line 001 – Plan year end
Enter the end date of the period covered by the SIR, which is usually the plan year. A change in plan year endFootnote 2 will result in a SIR that covers a period of less than 12 months.

Line 002 – Amount of contribution holiday taken during the year
Enter in dollar amount the portion of surplusFootnote 3 used to satisfy funding requirements for the plan year. If there is no amount, enter "0".

Line 003 – Amount of letter of credit or ministerial reduction used to reduce solvency special payments
Enter in dollar amount the face value of a letter of creditFootnote 4 or ministerial reductionFootnote 5 used to reduce solvency funding requirements for the plan year. If there is no amount, enter "0".

Line 004 – Amount of employer contributions made to reduce letters of credit
Enter in dollar amount the employer contributionsFootnote 6 made to reduce the face value of a letter of credit in force during the plan year. If there is no amount, enter "0".

Line 005 – Amount of advance contributions used to reduce special payments
Enter in dollar amount the balance of additional payments in excess of minimum funding requirementsFootnote 7 used to satisfy funding requirements for the plan year. If there is no amount, enter "0".
 
Line 006 – Rate of return before fees
Enter in percentage format (2 decimal places) the annual rate of return earned on pension fund assets during the plan year in respect of defined benefit provisions of the plan (first column), and defined contribution provisions of the plan (second column), if applicable. The annual rate of return should be determined before considering investment and custodial fees, and other expenses.

Line 007 – Rate of return after fees
Enter in percentage format (2 decimal places) the annual rate of return earned on pension fund assets during the plan year in respect of defined benefit provisions of the plan (first column), and defined contribution provisions of the plan (second column), if applicable. The annual rate of return should be determined after considering (net of) investment and custodial fees, and before considering other expenses.

Contact Details

For further information, please visit the OSFI website or contact us at:

Office of the Superintendent of Financial Institutions
255 Albert Street
Ottawa, Ontario
K1A 0H2
Telephone: (613) 991-0609 or 1-800-385-8647
E-mail: ReturnsAdmin@osfi-bsif.gc.ca

Footnotes

Footnote 1

Returns are not considered received at OSFI until the filing process is complete and the returns have been accepted in RRS. If the plan has not registered to use RRS, it should do so immediately. The administrator must contact the Bank of Canada, as host of the RRS, to register for access to the Bank of Canada secure site and RRS. For assistance in registering, please contact RRS Support at the Bank of Canada by phone at 1-855-865-8636, or by e-mail at rrs-sdr@bank-banque-canada.ca.

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Footnote 2

A plan year end may be changed by plan amendment or resolution, which must be filed with OSFI.

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Footnote 3

Subsection 9(5) of the PBSR.

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Footnote 4

Subsection 9(13.1) of the PBSR.

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Footnote 5

Subsection 9(13.3) of the PBSR.

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Footnote 6

Subsection 9.1(3) of the PBSR.

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Footnote 7

Subsection 9(6) of the PBSR.

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