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Financial Hardship Pension Withdrawals Information:
Financial Services Commission of Ontario
5160 Yonge Street, Box 85
Toronto, ON M2N 6L9
or visit www.fsco.gov.on.ca for information on FINANCIAL HARDSHIP: PENSION WITHDRAWALS
Amendments to the Pension Benefits Act, 1990 and its regulations, effective May 1, 2000, will allow Ontarians who qualify to withdraw funds from locked-in accounts in cases of serious financial hardship.
If you visit the Financial Services Commission of Ontario website at:
www.fsco.gov.on.ca/english/forms/pension/comp_form6_eng_06.pdf
you will be able to access the Instructions for completing the application, the Form 6 application, guidelines and definitions, information about the process, etc.
Financial Hardship Access
To be eligible applicants must meet one of the following circumstances:
- Facing eviction from a principal residence as a result of arrears of rent
- Facing eviction from a principal residence as a result of debt secured on a principal residence (e.g. a mortgage or taxes)
- Reasonable non-reimbursed medical expenses for the treatment of illness or medical disability
- Reasonable expenses for renovations or alterations of a principal residence made necessary by illness or physical disability
- Requiring first and last month's rent to obtain a principal residence
- A total income from all sources before taxes of less than $25,000 per year
Applicants are limited to making one application per criteria per year. The minimum amount that can be applied for is $500.
Expenses Claimed
Applications can be made for expenses already incurred or for estimate of future expenses. Original receipts and estimates must be provided.
Medical Expenses
- For medical expenses and medically related home renovations, an applicant may claim expenses made on behalf of a spouse, a same sex partner or a dependent.
- If the medically related expenses are for a person with a disability, a statement from the doctor indicating that the applicant requires treatment or medically related home renovations must also be provided
- The expenses claimed must not be subject to reimbursement from any other source (e.g. insurance or OHIP)
Financial Disclosure of Assets and Liabilities is required from the applicant and their spouse or same sex partner. Assets and liabilities of dependents will also be considered in circumstances where the dependent is the intended beneficiary of the withdrawal.
How To Apply
Individuals facing financial hardship who own either a Locked in Retirement Account (LIRA) a Life Income Fund (LIF) or a Locked in Retirement Income Fund (LRIF) may apply to the Superintendent of Financial Services for the Superintendent's consent to withdraw funds necessary to meet their financial need.
Any application for consent to withdraw funds must be in writing using the application form provided by the Financial Services Commission of Ontario (FSCO) and must be accompanied by:
- A list of assets and liabilities
- Original receipts and estimates
- The written consent of the applicant's spouse or same sex partner agreeing the funds can be withdrawn from the account.
