Special 20- and 25-Year Plans

For PFRS Tier 2, 3, 5 and 6 Members, (Sections 384, 384-d and 384-e)

Partial Lump Sum Payment

Eligible PFRS members can choose a reduced monthly retirement benefit in exchange for a one-time lump sum payment. The lump sum payment is made when your retirement benefit is finalized.


To be eligible to choose a partial lump sum payment (PLS), you must:

  • Retire under a special 20- or 25-year plan;
  • Have been eligible to retire with a service retirement benefit for at least one year before your date of retirement; and
  • Retire with a service retirement benefit (not a disability benefit).*

Choosing a Lump Sum Payment

When we receive your retirement application, we will send you a special Option Election form if you are eligible for a PLS payment, so you can choose a PLS payment along with the standard pension payment option.

Lump Sum Payment Amounts

The amount of the PLS payment available to you is a percentage of the total actuarial value of your retirement benefit at the time you retire. The available percentages are based on the number of years you have been eligible to retire. The chart below outlines when various percentages become available. Your Single Life Allowance will be reduced by the same percentage as the PLS option you have chosen. If you choose a different payment option, we will calculate it based on your reduced Single Life Allowance.

Years You’ve Been Eligible to Retire Available PLS Payment Options*
1 5%
2 5 or 10%
3 5, 10 or 15%
4 5, 10, 15 or 20%
5 or more 5, 10, 15, 20 or 25%
*A percentage of the value of your retirement benefit.

For More Information

For more information, including the taxability of a PLS payment, please refer to our publication, Partial Lump Sum Payment at Retirement.


*If you receive a PLS payment under a service retirement benefit and are later approved for a disability retirement benefit, you must repay the PLS payment, plus interest, if you convert to the disability benefit. Severe tax consequences may apply in some situations.