What is the current value of deferred benefit approach for the purposes of calculating the value of a spouse’s pension?

Alberta, Canada


The following excerpt is from Almeida v. Almeida, 1995 CanLII 9289 (AB QB):

I accept the current value of deferred benefit approach to be preferable here. If the wife’s salary increases between now and her date of retirement, her actual pension when received will bear no relationship to this figure. It will be based on her best six years which are likely to be future years, if inflation and merit cause her income to increase in the future. However, it is equitable that she take the benefit of that increase, not her ex-spouse, especially when he has elected to take immediate credit for the pension, rather than to await its eventual receipt. I note this approach was accepted by Stevenson J.A. (as he then was) in Wilson v. Wilson, supra.

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