81. Where a normal pension is postponed under this Act or where a pension plan allows a member who is entitled to a pension that has become payable to replace all or part of it, if he decides to postpone it until after normal retirement age, by an adjusted pension, the adjustment shall be made so as to ensure that the pension payable at the end of the postponement is actuarially equivalent to the pension the payment of which would have begun at normal retirement age, had the pension not been postponed.
The actuarially equivalent pension shall be determined on the basis of the assumptions referred to in section 61 and which, at the date the member attained normal retirement age, were used to determine the value of the pension benefits to which section 60 applies and to which the member is entitled on that date. In the case of a target benefit plan, the assumptions to be used are those determined by regulation and applicable at that date.
1989, c. 38, s. 81; 2000, c. 41, s. 45; 2020, c. 30, s. 251.