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How Canada Life is supporting you during COVID-19. Learn more

The Great-West Life Assurance Company, London Life Insurance Company and The Canada Life Assurance Company have become one company – The Canada Life Assurance Company. Learn more

The Great-West Life Assurance Company, London Life Insurance Company and The Canada Life Assurance Company have become one company – The Canada Life Assurance Company. Learn more

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Freedom 55 Financial is a division of The Canada Life Assurance Company and the information you requested can be found here.

A pension plan is a way for you and your employer to set aside money for your retirement. A defined contribution plan is the most common type of pension.

Both you and your employer contribute a percent of your salary over the time that you’re working, and when you retire you can convert that money into your retirement income. The amount that you receive depends on how much has been contributed and how well the investments have done.

Manage your pension or workplace savings plan using your online account. Check your balance, make account changes, create a retirement plan and more.

Canada Life only offers defined contribution plans, but you may have a defined benefits plan from another provider or an older plan.

Defined contribution plan    

Defined benefits plan

Overview

You know how much is going into the plan

You know how much you’re going to get out of the plan

How is your retirement income determined?

Depends on the market and how much your investments have earned when you retire

Determined by a formula, based on how long you’ve worked and your average earnings in your best years

What do you contribute?

Usually a percent of your income (maximum 18%)

You may or may not contribute – if you do, you’re usually required to pay less than half of the benefits

What does your employer contribute?

Usually a percent of the employee’s income (maximum 18%)

Employer must usually contribute at least half of the benefits

How do taxes work?

The money you contribute is tax-deductible

The money you earn from investments won’t be taxed until you withdraw it

The money you contribute is tax-deductible

The money you earn from investments won’t be taxed until you withdraw it

Learn more about defined benefits plans

Canada Life has been paying claims for 150 years. Work with one of our trusted advisors to help build a plan for you.