SCHLUMBERGER - slb-benefits.ca New-Hire... · Schlumberger’s DPSP allows you to share in the...
Transcript of SCHLUMBERGER - slb-benefits.ca New-Hire... · Schlumberger’s DPSP allows you to share in the...
SCHLUMBERGER R E T I R E M E N T A N D S AV I N G S P R O G R A M
WHO TO CONTACT
CONTENTSSection 1: Take Action! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . page 2
Section 2: Learn . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . page 6
Section 3: Invest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . page 10
Section 4: Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . page 22
Section 5: What happens… . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . page 24
Please note: The Company retains the right to amend, modify or terminate the Schlumberger Retirement and Savings Program at any time . However, no amendment will reduce any employee’s entitlements which had accrued prior to the date of the amendment, modification or termination .
Sun Life Financial Customer Care Centre: 1-866-733-8612 Universal Toll-Free Number (UTFN): (+1) 800-9876-5470 (Any business day: 6:00 a .m . to 6:00 p .m . MT)
Call collect: 514-866-2562 (Monday to Friday 6:00 a .m . to 6:00 p .m . MT)
Your Retirement and Savings Program website: www.mysunlife.ca/Schlumberger
Planning for your retirement is an important responsibility . For you and Schlumberger, it’s a shared obligation . That’s why Schlumberger offers you a retirement program that gives you choice—over both the types of plans you can use for your long-term savings as well as control over your investment decisions . To make sound decisions, it’s important that you set aside time to learn about the different plans and investment options within the Schlumberger Retirement and Savings Program . You need to truly explore your choices to discover your full retirement savings potential .
Now, it’s your move—it’s your money and your future . Saving at work makes it even easier to attain your goals whether you are just starting your career, midway through it or close to retirement .
This guide has everything you need—practical information to help you enrol and save in the Schlumberger Retirement and Savings Program—with lots of additional information at mysunlife.ca/Schlumberger .
So take some time to focus on the financial side of life, and review the information that follows . Investing a little time now can start you on the path to achieving your short- and long-term savings goals .
A representative from Sun Life Financial will give you a welcome call to help get you started and guide you through enrolment . This includes help with understanding your investment options .
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WELCOME TO YOUR
PROGRAM@WORK
The checklist below tells you what you need to do to start participating in the Program . If you have any questions, contact the Sun Life Financial Customer Care Centre at 1-866-733-8612 .
Use your tablet, smartphone or computer to visit the Schlumberger mobile companion for anytime access to plan enrolment information . Go to sunlife.ca/welcometoschlumberger today!
Watch the mail for your welcome letter from Sun Life Financial that includes your account number; you will need this to register for your online access ID and password to sign in to mysunlife.ca/Schlumberger .
Register on mysunlife.ca/Schlumberger, using the account number in your welcome letter . Go to mysunlife.ca/Schlumberger>Register now . Then, follow the steps provided . Once you have registered, you will have your personal access ID and password, which will enable you to manage your plans online on an ongoing basis .
Enrol. Once you have signed into mysunlife.ca/Schlumberger, select my financial centre>Requests> Enrol>Let’s get started . At the bottom of the screen, you will see a box that says “Add a plan” . Select the plan you want to join, e .g ., DCPP, and select “Save and continue” . Then follow the prompts to complete your enrolment . Also, complete your profile information (e-mail address and phone number) . This will allow Sun Life to keep you up to date with your plan .
Reach out to a team of experts for one-on-one personal advice on the funds in your Program at 1-866-733-8612 .
Make investment selections for all of your accounts. You will need to set up investment direction for both your contributions (all accounts that you have) and Schlumberger’s contributions (DCPP and DPSP only) .
Sign in to mysunlife.ca/Schlumberger>my financial centre>Requests>Change investments .
If you do not make an active selection for your mandatory accounts (DCPP and DPSP), your account balances and future contributions will be automatically invested in the Sun Life Financial Granite™ Target Date Segregated Fund that is closest to, but not exceeding, your 65th birthday . This is the Schlumberger default fund .
Complete and submit your beneficiary forms. You will need a separate one for each of your accounts .
Beneficiary forms are available on mysunlife.ca/Schlumberger>my financial centre>Quick Links> Beneficiary info or at the back of this brochure .
Return all beneficiary forms to the address shown on the form.
Shortly before your automatic enrolment in the plan, Sun Life Financial will give you a call to make sure all of your questions are answered, help you with any parts of the enrolment process that remain outstanding, and make sure you understand the tools and resources available to help you manage your account .
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SECTION 1: TAKE ACTION!
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ENROL NOW—IT’S EASY!
Schlumberger offers you different ways to save for your retirement:
Defined Contribution Pension Plan (DCPP)—Both you and Schlumberger contribute to the DCPP . You will be automatically enrolled in the DCPP at a 3% contribution rate . On January 1 of the year following one year of participation, your contribution rate will be automatically increased to 4% . The following January 1, your contribution rate will be automatically increased to 5% (this is the contribution rate limit so there will be no further automatic increases) .
• Deferred Profit Sharing Plan (DPSP)—Schlumberger makes contributions to your DPSP account each year, based on the Company’s profitability .
• Registered Retirement Savings Plan (RRSP)—Voluntary, non-matched account . There are no Company contributions .
• Tax-free Savings Account (TFSA)—Voluntary, non-matched account . There are no Company contributions .
• Non-registered Account (NREG)—a non-registered plan that functions as a savings account . You will have an NREG account only for DCPP and DPSP contributions in excess of the annual Canada Revenue Agency (CRA) limits .
Whether you’re just starting your career, building a family, getting back on track or planning your retirement, Sun Life Financial is with you for the long term and can show you how to take advantage of everything your plan has to offer . For questions, call 1-866-733-8612 to access Sun Life Financial’s automated telephone system 24 hours a day, seven days a week, or talk to a Customer Care Centre representative any business day from 6 a .m . to 6 p .m . MT . Service is available in more than 190 languages .
Remember: you can make changes
to your contribution percentages
at any time . Visit mysunlife.
ca/Schlumberger>my financial
centre>Requests>Contribute>Payroll
deduction
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You’ll be able to enrol in your Company-sponsored plans (DCPP and DPSP) approximately six weeks before you’re eligible . This gives you the chance to make your investment selections ahead of time, and get ready for your first payroll contributions .
If you don’t enrol in the DCPP and DPSP ahead of your eligibility date, you’ll be automatically enrolled once you become eligible .
Unless you specifically request not to make contributions, you will be set up for deductions of 3% of your admissible compensation for the DCPP . On January 1 of the year following one year of participation, your contribution rate will be automatically increased to 4% . The following January 1, your contribution rate will be automatically increased to 5% (this is the contribution rate limit so there will be no further automatic increases) .
SECTION 1: CONTINUED
BETH One lesson my parents taught me was to split my income into three savings “buckets .” The first bucket of savings is to help me meet my day-to-day expenses, the second bucket is to provide funding for medium-term goals (like buying a car, or taking a special trip), and the third bucket is for long-term investing . It’s been tempting to skip one or the other from time to time, especially when it comes to saving for something so far out in the future, but I’m really glad I’ve had the discipline to stick to my plan . Starting early is really going to pay off for me .
Here’s an example of what I am aiming for:
• If I invest $100 a month starting at age 25, until I reach age 60, I will save $135,172 .43*
• If I wait until age 40, and start investing $200 a month until I reach age 60, I will save $90,149 .46* * assuming a net rate of return of 5.75%
Makes a lot more sense to me to start as soon as I can—not only will I accumulate more money, but it will make it a lot easier for me when I get older!
Remember: you can make changes
to your contribution percentages
at any time . Visit mysunlife.
ca/Schlumberger>my financial
centre>Requests>Contribute>Payroll
deduction
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mysunlife.ca/Schlumberger
is the online enrolment and
information website for your
Schlumberger Retirement and
Savings Program . You can access
this site from anywhere you have
internet access .
You can also join the voluntary RRSP or TFSA .
To enrol in any plan under your Schlumberger retirement and Savings Program, visit mysunlife.ca/Schlumberger>my financial centre>Requests>Enrol and follow the prompts .
MAKE THE PROGRAM WORK FOR YOU
There are 3 steps to making the most of your Schlumberger Retirement and Savings Program:
Step 1: Learn: Understand the plan components in your Program (DCPP, DPSP, RRSP, TFSA, NREG)
Step 2: Invest: Understand the types of investments available to you and your individual approach to risk and return
Step 3: Act: If you’ve decided on a contribution rate and chosen your investments, you’re well on your way . See page 2 at the front of this brochure for instructions on how to enrol . But enroling doesn’t mean you’re done . In fact, managing your retirement savings is an ongoing job . Make a plan to regularly check your account .
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ABOUT YOUR SCHLUMBERGER RETIREMENT AND SAVINGS PROGRAM
The Defined Contribution Pension Plan
The DCPP forms the foundation of your retirement savings . Both you and Schlumberger contribute to the plan:
• Schlumberger contributes 2% of your admissible compensation;
• You may contribute up to 5% of your admissible compensation; and
• Schlumberger will match your contributions—dollar for dollar—to a maximum of 3% of your admissible compensation .
What this means is that with your 5% contribution plus Schlumberger’s basic and matching contribution, you could be saving up to 10% of your pay in your DCPP, up to the limits set by the Canada Revenue Agency . What’s more, you’ll be deferring tax on your contributions—and any investment gains—until you receive it as retirement income . In addition to Company contributions, Schlumberger also pays all expenses related to your account .
You choose how your contributions and Schlumberger’s contributions are invested . You can learn more about your investment options in the INVEST section of this booklet, starting on page 10 .
The Deferred Profit Sharing Plan
Schlumberger’s DPSP allows you to share in the Company’s success and increase your retirement savings, all on a tax-deferred basis .
Based on the profitability of the Company, Schlumberger will make an annual discretionary profit sharing contribution to your Deferred Profit Sharing Plan (DPSP) account . The profit sharing contribution is a percentage of your admissible compensation . You control the investment of Schlumberger’s DPSP contributions–visit mysunlife.ca/Schlumberger to learn more about your investment options and making the right selection . Like the DCPP, Schlumberger pays all expenses related to your DPSP account .
Registered Retirement Savings Plan
An RRSP is a plan to which you can make voluntary contributions and which helps you save for retirement . All contributions made to your RRSP are tax-deductible and all investment earnings are tax-sheltered .
What’s admissible compensation?Admissible compensation includes base pay, overtime, bonuses, commissions and geographical coefficients .
SECTION 2: LEARN
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Tax-free Savings Account
A TFSA is an account funded with after-tax dollars, providing the benefit of tax-free investment gains .
Non-registered Account
An NREG account is funded with after-tax dollars . You will only have an NREG account if your DCPP and DPSP contributions exceed the annual Canada Revenue Agency (CRA) limits .
SUZANNE Through payroll deduction, I realize immediate tax savings by making additional contributions to the pension plan . Instead of waiting for my tax return, I have the ability to make my contributions through payroll deductions and they are made pre-tax, which means more bang for my buck .
Through payroll deduction, I can make a $500 registered contribution every month, but it only costs me $300!
The other advantage of making purchases over a regular period of time rather than in one lump sum is that I average the cost of my investments rather than running the risk of buying in bulk when the price is at its highest . This is called dollar-cost averaging and, over time, proves to be the best way of smoothing out costs .
No payroll deduction Payroll deduction
Gross salary $6,000 $6,000
Voluntary pension contribution None $500
Taxable income $6,000 $5,500
Tax (assuming 40% tax rate) -2,400 -2,200
After-tax pay $3,600 $3,300
You’ll need a beneficiary… just in case You need to name a beneficiary for each plan (DCPP, DPSP, RRSP, TFSA) to receive benefits in the event of your death . You may change or alter your beneficiary designation at any time through Sun Life Financial, the plan’s record keeper, online at mysunlife.ca/Schlumberger . Sign in, select my financial centre>Quick Links>Beneficiary info, or by phone .
For your DCPP, your beneficiary will automatically be your spouse, regardless of any other beneficiary you have named, unless your spouse signs a waiver . If you do not have a spouse or another beneficiary when you die, benefits will be paid to your estate .
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Defined Contribution Pension Plan
Deferred Profit Sharing Plan
Registered Retirement Savings Plan
Tax-free Savings Account
Non-registered Account
Eligibility Automatic participation on the first day of the month, after three months of service as a permanent employee .
Automatic participation on the first day of the month, after one year of service as a permanent employee . A participant must be employed in Active Service on December 31st of a calendar year to be eligible to receive a DPSP contribution in respect of that calendar year .
Voluntary participation on the first day of the month, after three months of service as a permanent employee .
Voluntary participation on the first day of the month, after three months of service as a permanent employee .
Automatic participation with contributions in excess of the annual CRA limits .
Fees paid by Schlumberger? Yes Yes No No Yes
Type of contributions (employer/employee)
Employee and employer Employer only Employee only Employee only Employee and employer
Your contributions You can contribute from 0% to 5% of your admissible compensation .
N/A You may make voluntary contributions, up to your RRSP contribution limit .
You may make voluntary contributions, up to your TFSA contribution limit .
In excess of annual CRA limits for the DCPP and DPSP .
Schlumberger’s contributions Basic contribution equal to 2% of your admissible compensation, and a matching contribution up to 3% of any contributions you make .
Discretionary, annual contribution . N/A N/A Employee and employer
Are contributions tax-deferred?* Yes Yes Yes No No
Are savings subject to tax on capital gains or investment income
earned while in the plan?
No No No No Yes
Are there taxes to be paid on withdrawal?
Yes Yes Yes No No
Withdrawals while in the plan? No No Yes Yes No
Contribution limits for 2015
NOTE: Contribution limits change annually
$25,370 $12,685
NOTE: DPSP awards in excess of this amount are subject to tax . The applicable tax will be withheld from the excess amount and the net remainder will be deposited in the Non-registered account .
Check your Notice of Assessment from CRA
$5,500A TFSA lets you carry forward unused contribution room, and amounts you withdraw can be added back to the available contribution room the following year . See the FAQ on Enrollment Central to understand how to find out your contribution room .
NoneDPSP awards in excess of the CRA limit are subject to tax . The applicable tax will be withheld from the excess amount and the net remainder will be deposited in the Non-registered account .
*The term “tax-deferred” means that you don’t pay tax on the income used to fund the contributions to your DCPP or DPSP when the money is deducted from your paycheque but you do pay tax when you withdraw the money .
HERE’S AN OVERVIEW OF YOUR PLAN FEATURES:
SECTION 2: CONTINUED
If you do not have a beneficiary for your DPSP, benefits from that plan will be paid to your estate, even if you have a spouse .
The definition of “spouse” varies by province .
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Defined Contribution Pension Plan
Deferred Profit Sharing Plan
Registered Retirement Savings Plan
Tax-free Savings Account
Non-registered Account
Eligibility Automatic participation on the first day of the month, after three months of service as a permanent employee .
Automatic participation on the first day of the month, after one year of service as a permanent employee . A participant must be employed in Active Service on December 31st of a calendar year to be eligible to receive a DPSP contribution in respect of that calendar year .
Voluntary participation on the first day of the month, after three months of service as a permanent employee .
Voluntary participation on the first day of the month, after three months of service as a permanent employee .
Automatic participation with contributions in excess of the annual CRA limits .
Fees paid by Schlumberger? Yes Yes No No Yes
Type of contributions (employer/employee)
Employee and employer Employer only Employee only Employee only Employee and employer
Your contributions You can contribute from 0% to 5% of your admissible compensation .
N/A You may make voluntary contributions, up to your RRSP contribution limit .
You may make voluntary contributions, up to your TFSA contribution limit .
In excess of annual CRA limits for the DCPP and DPSP .
Schlumberger’s contributions Basic contribution equal to 2% of your admissible compensation, and a matching contribution up to 3% of any contributions you make .
Discretionary, annual contribution . N/A N/A Employee and employer
Are contributions tax-deferred?* Yes Yes Yes No No
Are savings subject to tax on capital gains or investment income
earned while in the plan?
No No No No Yes
Are there taxes to be paid on withdrawal?
Yes Yes Yes No No
Withdrawals while in the plan? No No Yes Yes No
Contribution limits for 2015
NOTE: Contribution limits change annually
$25,370 $12,685
NOTE: DPSP awards in excess of this amount are subject to tax . The applicable tax will be withheld from the excess amount and the net remainder will be deposited in the Non-registered account .
Check your Notice of Assessment from CRA
$5,500A TFSA lets you carry forward unused contribution room, and amounts you withdraw can be added back to the available contribution room the following year . See the FAQ on Enrollment Central to understand how to find out your contribution room .
NoneDPSP awards in excess of the CRA limit are subject to tax . The applicable tax will be withheld from the excess amount and the net remainder will be deposited in the Non-registered account .
*The term “tax-deferred” means that you don’t pay tax on the income used to fund the contributions to your DCPP or DPSP when the money is deducted from your paycheque but you do pay tax when you withdraw the money .
DID YOU
KNOW?
Saving two dollars a day—one less coffee—
can add up to $3,700 in five years .
(This assumes a 4 .5 per cent annual rate of return .)
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SECTION 3: INVEST
Now that you know how the Schlumberger Retirement and Savings Program works, it’s time to think about making some decisions . While saving your money is the first step, investing your savings is important to make your money grow . Invested money can earn interest and dividend income, and can generate capital growth, like the growth in the value of a home . These earnings are needed to keep your savings a step ahead of inflation and to ensure you have enough money for your future . Here are your three key steps:
• Set your financial goals
• Decide on your contribution rate
• Choose your investment approach
SET YOUR FINANCIAL GOALS
Think carefully about what you really want to do when you retire . Set a target . Think about your retirement lifestyle .
Do you plan to stay close to home and spend time with family? Or are you planning to do a lot of travelling? What about hobbies or leisure activities?
We’ve used examples to illustrate
important concepts . These illustrations
are based on historical information
and are not intended to predict future
results . The assumed rates of return do
not represent the performance of any
particular investment . Investment returns
will fluctuate over time . The information
in this booklet is for educational
purposes only and should not be
interpreted as investment advice .
The amount of retirement income you’ll need relates directly to the lifestyle you envision . To give you a starting point, many experts suggest that the average Canadian will need between 60% and 80% of pre-retirement income to maintain his or her current standard of living into retirement .
But knowing exactly how much you’ll need is harder to figure out . Many things come into play:
• Will you have paid off your mortgage or downsized to a smaller home?
• What about your medical costs? Do you expect them to increase?
• Will you still be paying for children’s education?
Your Schlumberger Retirement and Savings Program is designed specifically to help you save for these costs in retirement . But this will likely not be your only source of retirement income . Government programs and personal savings are also important components of your retirement plan, and don’t forget about any pension benefits earned with previous employers .
DECIDE ON YOUR CONTRIBUTION RATE
The Schlumberger Retirement and Savings Program makes it easy to save . You can save as little as 3% of your admissible compensation to receive the maximum Schlumberger contributions—but why not save 2% more and maximize your savings? You’ll defer tax and you’ll be putting aside 10% of your income towards your retirement, but, with the tax savings, you’ll be contributing less than half of that amount .
How long till you retire?
Knowing your time horizon will help you set a strategy for meeting your financial goals . How far away from retirement are you? For example, let’s say you’re retiring in five years . Your investment strategy will be quite different from someone who has 30 years before retirement . Keeping your investment time horizon in mind will be important when it comes to thinking about your investment options . It’s worth completing the Retirement planner tool on mysunlife.ca/Schlumberger .
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We want you to maximize your retirement incomeThat’s why Schlumberger sets a default employee contribution rate of 3% of your admissible compensation for those who don’t actively enrol in the plan . A 3% employee contribution means that you automatically receive the maximum 5% from Schlumberger . Your contribution rate
will automatically increase on January 1 each year following one year of participation . See page 3 of this guide for more details .
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SECTION 3: CONTINUED
CHOOSE YOUR INVESTMENT APPROACH
The Schlumberger plan offers a variety of investments to choose from, with two distinct investment approaches: Built FOR Me and Built BY Me .
Look for more information on target date funds on the Schlumberger mobile companion at sunlife.ca/welcometoschlumberger or online at mysunlife.ca/Schlumberger>my financial future>Quick Links>Investment performance . On the right hand side of the screen select my fund performance>Morningstar® .
BUILT FOR METhe Built FOR Me approach is made up of target date funds structured to coincide with a key life event such as retirement . Target date funds have asset mixes that adjust automatically as you get closer to your target date (the date when you expect to need your money) . All you have to do is select the date when you will need your money; for example, your planned retirement year or the year you reach age 65, and then choose the target date fund closest to, but not exceeding, this date .
Example: If you are aged 36 in 2015, you would select a target date fund with a maturity date closest to but not exceeding 2044, i .e . the year you turn 65 . This would be the Granite™2040 fund .
Fund Category
Target date Sun Life Financial Granite™ 2020 Segregated Fund
Sun Life Financial Granite™ 2025 Segregated Fund
Sun Life Financial Granite™ 2030 Segregated Fund
Sun Life Financial Granite™ 2035 Segregated Fund
Sun Life Financial Granite™ 2040 Segregated Fund
Sun Life Financial Granite™ 2045 Segregated Fund
Sun Life Financial Granite™ 2050 Segregated Fund
Sun Life Financial Granite™ Retirement Segregated Fund
0 .40%
0 .45%
0 .51%
0 .51%
0 .51%
0 .51%
0 .51%
0 .35%
Fund Name FMFs*
*Fund Management Fees (FMFs) are applicable to the TFSA and RRSP only . FMFs as of October 31, 2014 . The FMFs displayed in this document do not include the applicable sales tax . However, these taxes are charged to your account . FMFs include, but are not limited to, fund operating expenses and investment management fees .
Target date funds available in your plan
Bill is in his mid-twenties; he’s busy starting his career, planning a wedding, and buying a house . Between upgrading his skills and managing his personal life, he doesn’t have much time to think about investing . Bill just wants to put some money away for his future but he doesn’t want to spend too much time managing a portfolio . Since Bill plans on retiring when he’s 65, he chooses the 2045 target date fund .
Beth is a single parent who just started a new job, Beth, 42, is busy balancing work with the demands of her family . With so much on her plate, she wants to save as much as she can and not think about it . Beth hopes to retire at 65 (even though she may have to work longer), so she selects the 2035 target date fund .
Carol is so close to retirement that she is actively planning her future . At 55, she has 10 or less years of work left . She wants to make sure she has a diversified portfolio that’s moving to a more conservative asset mix as she approaches retirement . To achieve this investment objective, she invests her money in the 2020 target date fund .
TIME in 2015 in 2025 in 2035 in 2045
ASSET MIX EVOLUTION
RISK LEVEL EVOLUTION higher risk lower risk
TIME in 2015 in 2025 in 2035
ASSET MIX EVOLUTION
RISK LEVEL EVOLUTION higher risk lower risk
TIME in 2015 in 2020
ASSET MIX EVOLUTION
RISK LEVEL EVOLUTION higher risk lower risk
Fixed income/cashEquities
Fixed income/cashEquities
Fixed income/cashEquities
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SECTION 3: CONTINUED
If you would like to build your own portfolio, you should know that there are different types of risk that can impact your investments . Before you use the Built BY Me approach, you should understand the different types of risk and how to manage risk . All investments carry some level of risk—as well as the potential for reward . The table below describes some different types of risk .
Your risk comfort level
You can get an idea of your risk comfort level by completing the Asset allocation tool (also known as the Investment Risk Profiler) on mysunlife.ca/Schlumberger . A paper version is included here . Once you’ve understood the different types of risk, you need to know how to manage risk .
TYPES OF RISK
This is the likelihood that the value of your investment will go up—or down—over time . Market risk is really the volatility of the investment . Typically, volatility is higher in the short term but decreases over time . Equities are most often associated with market risk because of the ups and downs in the stock market; however, bonds can also be volatile since their values fluctuate with interest rate changes .
This is the likelihood that the value of your investment will not keep pace with inflation over the long term . Inflation risk is low in the short term but increases over time . Fixed-income investments typically have a higher level of inflation risk .
Market risk Inflation risk
DID YOU
KNOW?
The investments in your Schlumberger Program are held
in segregated funds . Your workplace savings are held in
a separate account and are “segregated” from Sun Life
Financial’s other assets . The value of your segregated fund
assets and their rates of return are not guaranteed .
INVESTMENT RISK PROFILER
A quiz that matches your personality to your money
While growing your money is important, it’s equally important that you’re able to sleep at night . This tool will help you determine your tolerance for investment risk, and, in turn, help you select the investment options that are right for you . Answer each of the following questions, keeping your objective in mind .Answer each of the following questions, keeping your objective in mind .
1 . Which statement best describes your comfort level with fluctuations in the value of your investments?
a . I’d be very upset if my investments dropped in value over any period of time . 1 point
b . I’m willing to accept a lower, more predictable rate of return as long as fluctuations in the value of my investments are small . 10 points
c . I’m willing to accept some fluctuations in the value of my investments as I’m seeking a higher rate of return . 20 points
d . I want the highest rate of return possible, and understand the value of my investments can fluctuate significantly . 30 points
2 . How long will you leave this money invested before you’ll need a significant portion of it for your stated objective?
a . Less than 5 years . 1 point b . 5-10 years . 10 points c . 11-20 years . 20 points d . More than 20 years . 30 points
3 . How likely is it that you’ll need access to a large portion of this money earlier than expected? (E .g . taking early retirement)*
a . Very likely . 1 point b . Somewhat likely . 10 points c . Unlikely . 20 points d . I won’t need access to any of the money in this plan early .
30 points
* Early retirement is defined by pension legislation and can vary by jurisdiction .
4 . Which of the following pattern of returns would you be most comfortable with? Assume an initial amount of $5,000 invested for 10 years .
a . Your investment grows without losses to $8,100 . However, in one of the years the value of your portfolio does not increase . 1 point
b . Your investment grows to $10,100 in year 10, but slightly declines in value in two of the years . 10 points
c . Your investment grows to $12,400, but significantly declines in value in three of the years and was worth only $3,500 after the first year . 20 points
5 . With the four results below, how would you invest $10,000?
a . A guaranteed return of $500 . 1 point b . The potential of earning $800 but the risk of earning
only $300 . 10 points c . The potential of earning $1,200 but the risk of earning
nothing . 20 points d . The potential of earning $2,500 but the risk of losing
$1,000 . 30 points
6 . If your investment dropped in value by 20% in one month, how would you react?
a . I’d cash in my investment immediately . 1 point b . I’d make no changes until the value recovers and then
re-evaluate . 10 points c . I’d do nothing . I understand my investments will fluctuate
from day to day, but believe they will grow over the long term . 20 points
d . I’d invest more while the prices are low . 30 points
7 . How would you describe your investing personality?
a . I don’t like risk and can only tolerate moderate losses . 1 point
b . I’m willing to take some risk and can tolerate one year of poor returns . 10 points
c . I can tolerate more than one year of poor returns . 20 points
8 . Which of the following statements best describes your investment knowledge?
a . I’m a novice investor . 1 point b . I have some knowledge . 10 points c . I have good working knowledge . 20 points d . I consider myself an investment pro . 30 points
Add up your points for your total score:
My total score is
S C H L U M B E RG E R | New Hire Guide | 15
YOUR RISK PROFILE
Match your total score from the Investment risk profiler to one of the risk profiles below .
A score of 35 points or less — Conservative
You have a need for a predictable flow of income or have a relatively short investment horizon . Your tolerance for volatility is low and your primary goal is capital preservation .
A score of 36 to 85 points — Moderate
You seek a regular flow of income and stability, while generating some capital growth over time . Your tolerance for volatility is moderate and your primary goal is capital preservation with some income .
A score of 86 to 145 points — Balanced
You’re looking for long-term capital growth and a stream of regular income . You’re seeking relatively stable returns, but will accept some volatility . You understand that you can’t achieve capital growth without some element of risk .
A score of 146 to 190 points — Growth
You can tolerate relatively high volatility . You realize that, over time, equity markets usually outperform other investments . However, you’re not comfortable having all your investments in equities . You’re looking for long-term capital growth with some income .
A score of 191 points or more — Aggressive
You can tolerate volatility and significant fluctuations in the value of your investment because you realize that, historically, equities perform better than other types of investments . You’re looking for long-term capital growth and are less concerned with shorter-term volatility .
Cash equivalents*Bonds (fixed income)Canadian equityU .S . equityInternational equity*Bonds (fixed income) is the lowest-risk asset class available under the Schlumberger Retirement and Savings Program .
Once you enrol, you can access the Investment risk profiler on mysunlife.ca . Simply sign in using your access ID and password then select my financial centre>my money tools>Continue .
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S C H L U M B E RG E R | New Hire Guide | 17
How to manage risk
There are two key investment strategies to help you reduce your exposure to risk, especially market risk: diversifying your investments (not putting all your eggs in one basket) and dollar-cost averaging (putting your eggs in the basket one at a time rather than all at once) .
• Diversification
This is simply spreading your savings among several different types of investments . By doing so, you’ll have a better chance of avoiding the steep ups and downs in any one type of investment . Instead, if some investments drop in value, others could gain or hold their value to offset the decrease .
There are two ways to take advantage of diversification in the Schlumberger program:
o you can choose your own diversified investment mix (this is known as the Built BY Me approach); or
o you can choose the default fund, which uses a diversified investment approach to manage risk (this is known as the Built FOR Me approach . Your Schlumberger default fund is a target date fund— the Sun Life Financial Granite™ Target Date Segregated Fund closest to, but not exceeding, your 65th birthday .
• Dollar-cost averaging
The idea behind dollar-cost averaging is to invest the same each month—which you do automatically with the Schlumberger DCPP . By doing so, more fund units are purchased when prices are low and fewer units are purchased when prices are high . The point of this is to lower the total average cost per unit of the investment . This allows you to take advantage of changes in the price of the units you’re buying and selling . Assuming you invest an equal amount each time, it has been observed that over the long term:
o you’ll likely buy more units at lower prices; and
o you’ll likely buy fewer units at higher prices .
To take advantage of these strategies, you need to understand the risk levels in the different types of investments in your Program .
For advice on the investments available
in the Schlumberger Retirement and
Savings Program, use my investment
advice, a service available through
the Sun Life Financial Customer Care
Centre at 1-866-733-8612 . A specialized
professional will help you understand
more about your investments .
SECTION 3: CONTINUED
Risk levels in different types of investments
Bond (fixed income) funds:
These invest in bonds issued by governments and corporations . They are generally riskier when interest rates change . Bond fund values go down as interest rates go up, and vice versa .
Equity funds:
These invest mainly in stocks . When you buy a stock, you are buying an equity ownership share in a company . Equities tend to be more volatile than other types of investment funds, but have historically provided the best returns over long periods . Equity funds will often specialize in different parts of the world, different geographic areas or different economic sectors, or use a particular investment strategy, all of which affect their risk level .
Now that you know a little more about risk and return, you are ready to look at the Built BY Me approach to investing .
18 | S C H L U M B E RG E R | New Hire Guide
Understanding risk versus return
Low Risk High
Equities
Bond
Low
R
etur
n
Hig
h
Look for more information on Built BY Me funds on the Schlumberger mobile companion at sunlife.ca/welcometoschlumberger .
S C H L U M B E RG E R | New Hire Guide | 19
BUILT BY ME The Built BY Me approach allows you to create your own portfolio from a list of specially selected funds
(see chart below) and is best suited to individuals who want to actively choose and monitor their investments . If this is your preferred approach, it is advisable to complete the online Asset allocation tool, which will help you understand your personal risk tolerance . Go to mysunlife.ca/Schlumberger>my financial centre>Quick Links>my money tools and follow the steps . Based on your risk profile results, you can choose from the funds shown in the table below to create a portfolio that matches the asset mix recommended by your risk profile .
Look for more information on Built BY Me funds on the Schlumberger mobile companion at sunlife.ca/welcometoschlumberger .
Built BY Me funds available in your plan
Fund Category
PH&N Bond Segregated Fund
Templeton Global Bond Segregated Fund
CC&L Group Canadian Equity Segregated Fund
BlackRock US Equity Index Segregated Fund (Registered)— this investment is available for your DCPP, DPSP and RRSP
BlackRock US Equity Index Segregated Fund (Non-registered)— this investment is available for your TFSA and NREG
MFS International Equity Segregated Fund
MFS Global Equity Segregated Fund
0 .35%
0 .75%Fixed income / Bond
0 .30%Canadian equity
0 .14%
0 .14% U.S. equity
0 .59%International equity
0 .55%Global equity
Fund Name FMFs*
* Fund Management Fees (FMFs) are applicable to the TFSA and RRSP only . FMFs as of October 31, 2014 . The FMFs displayed in this document do not include the applicable sales tax . However, these taxes are charged to your account . FMFs include, but are not limited to, fund operating expenses and investment management fees .
SECTION 3: CONTINUED
20 | S C H L U M B E RG E R | New Hire Guide
BUILT FOR ME OR BUILT BY ME . . . WHICH APPROACH IS RIGHT FOR YOU?
Use the following chart as a guide, along with the results of the Asset allocation tool . Based on what is important to you, the suggested investment approach is check-marked .
Built FOR Me vs Built BY Me
I am looking for professional expertise in fund selection. √
√
√
√
√
√
I am looking for an approach that is 100% maintenance-free.
I want asset allocation and rebalancing issues taken care of.
I am interested in selecting my own funds.
I will take the time to read the fund pages and understand the risks involved.
I want an approach that fits my personal risk profile and I will re-balance my account as necessary.
Choose what is important for you from the following statements… Built FOR Me Built BY Me
IT’S
IMPORTANT!
Remember—whether you choose the Built FOR Me or Built BY Me approach, you need
to make investment selections . Choose a target date fund for the Built FOR Me approach,
or individual investments for the Built BY Me approach .
To learn more about individual investment funds in your Retirement and Savings
Program, you can use Morningstar®, a leading provider of investment news and analysis,
available through mysunlife.ca/Schlumberger . Select my financial future>Quick
Links> Investment performance . On the right hand side of the screen, select my fund
performance>Morningstar® .
To change your investments at any time, visit mysunlife.ca/Schlumberger>my financial
centre> Requests>Change investments . You can also update your account by calling
Sun Life Financial’s Customer Care Centre at 1-866-733-8612 any business day from
6 a .m . to 6 p .m . MT .
S C H L U M B E RG E R | New Hire Guide | 21
Possible charges for interfund transfers
There are no charges for transfers; however, a two per cent fee will be charged when you move money into a fund followed by a move out of the same fund within 30 days . This is known as short-term trading .
Monitor your investments
Regardless of which investment approach you take, you should monitor your investments on at least an annual basis . As a participant in a retirement program it’s your responsibility to:
• Understand your plan
• Keep your personal information and beneficiaries up-to-date with Sun Life Financial
• Choose how much to contribute
• Understand the available investment options
• Understand your individual risk profile
• Choose your investments for both your contributions and Schlumberger’s contributions, and monitor your account
• Seek independent financial advice from a qualified professional if that makes sense for you
Remember—your investment decisions will impact the amount you accumulate in the Program .
Who manages the managers?
With the assistance of investment
consultants, Schlumberger has selected
the investment managers for their
investment expertise, management
styles, experience and investment
track record .
Schlumberger’s Treasury Department
is responsible for reviewing the
investment managers’ performance
on a regular basis .
SECTION 4: ACT
22 | S C H L U M B E RG E R | New Hire Guide
If you haven’t already, make sure you enrol! Follow the enrolment instructions on page 2 at the front of this brochure .
YOU’RE NOT QUITE DONE YET…
Now that you’ve made your investment choices, it’s a good idea to set some time aside at least once or twice a year to review your retirement plan .
Monitoring your personal account
There are two ways to access up-to-date investment information and monitor your personal account: Either visit mysunlife.ca/Schlumberger or call the Sun Life Financial Customer Care Centre at 1-866-733-8612 . You can also access information on the Schlumberger mobile companion at sunlife.ca/welcometoschlumberger .
IT’S
IMPORTANT!
For your DCPP and DPSP, you will automatically be set up in the plan to ensure that you
benefit from Schlumberger’s contributions .
• Your contribution rate will initially be set to 3% of your admissible compensation,
the contribution level that maximizes the Company matching contribution This rate
will increase automatically until you reach 5% (the contribution rate limit) . See page
3 of this guide for more details . .
• If you do not select investments for your DCPP and DPSP, your contributions will
be automatically invested in the default fund—this will be the Granite™ Target Date
Segregated Fund closest to, but not exceeding your 65th birthday .
• If you do not submit a completed and signed beneficiary form to Sun Life Financial,
your beneficiary will default to your estate .
Remember—you can go online at any time to choose or change your contribution rate,
investment mix and beneficiary designation.
S C H L U M B E RG E R | New Hire Guide | 23
Reviewing and changing your payroll deductions
If you have selected investments and later decide that you would like to change the amounts you are contributing, you can sign in to mysunlife.ca/Schlumberger and select my financial centre>Requests>Contribute>Payroll deduction and allocate your contributions by completing the payroll deduction instructions .
Learning more about your investments through Morningstar®
Sign into mysunlife.ca/Schlumberger . Select my financial future>Quick Links>Investment performance . You will see a section entitled “My fund performance” on the right hand side of the screen . Under this, select Morningstar® .
Using the asset allocation tool
Sign into mysunlife.ca/Schlumberger . Select my financial future>Quick Links>my money tools . You will be directed to the Asset allocation page . Select Continue and follow the prompts .
Reviewing and changing fund allocations
If you have made investment selections and later decide that you would like to change these, visit mysunlife.ca/Schlumberger, sign in, select my financial centre>Requests>Change investments .
Accessing beneficiary forms
Visit mysunlife.ca/Schlumberger, sign in, select my financial centre>Quick Links>Beneficiary info .
Accessing your statements
Visit mysunlife.ca/Schlumberger, sign in, select my financial centre>Quick Links>Statements .
SECTION 5: WHAT HAPPENS . . .
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It’s important to understand what happens when things change in your life . The situations below are common situations that will impact your account balances . This section tells you what happens… .
…when you retire
Defined Contribution Pension Plan
You are entitled to the full balance of your DCPP and, if you are vested, your DPSP account . You must be a member of the DPSP for at least two years before you are entitled to the balance in your account .
When you retire, you may choose to use the value of your entire DCPP account to purchase a life annuity . A life annuity provides you with an income . You will pay tax on the income as it’s received . The income amount is based on the amount used to purchase the annuity, your age, interest rates at the time of purchase and how long the income is to be paid .
Note that annuity rates at the time you retire have a significant effect on the income from your annuity . If interest rates are low at the time you retire, your annuity value will be low too . If they are high, your annuity value will be high .
Depending on your province of employment, you may instead transfer the balances of your accounts to:
• A Locked-In Retirement Account (LIRA)—Your account balance can continue to earn tax-deferred investment income until you are ready to start receiving a retirement income .
• A Locked-in Retirement Income Fund (LRIF)—You can receive an income while earning tax-deferred investment income within the fund .
• A Life Income Fund (LIF)—This works the same way as a LRIF; however, once you reach age 90, you must use the remaining balance to purchase a life annuity .
• Any other plan permitted by applicable legislation—Depending on your province, there may be other plans available to you .
Deferred Profit Sharing Plan
You have similar retirement income options for your DPSP account; however, the balance does not have to be directed to a locked-in investment . For example, you can:
• Receive a lump sum cash payment; however, it will be taxed as income .
• Use it to purchase an annuity from an insurance company—you will pay tax on the income as it’s received .
• Transfer an amount to an RRSP . Canada Revenue Agency gives you 90 days from your last day at Schlumberger to transfer the amount . If you don’t, you will receive the balance of your account in cash and it will be taxed .
• Any combination of the above .
Registered Retirement Savings Plan
Your RRSP must be converted to a retirement income vehicle by the end
S C H L U M B E RG E R | New Hire Guide | 25
of the year in which you reach age 71 .
Tax-free Savings Account
There is no withdrawal requirement based on age— there is no need to convert it to another type of account at any age .
Non-registered Account
There is no withdrawal requirement based on age— there is no need to convert it to another type of account at any age .
…if you are disabled
If you are disabled and receiving Schlumberger Short-term Disability benefits, you will continue to be a member of the DCPP and Schlumberger will continue to make contributions to the plan on your behalf . As your pay remains in place while receiving Short-Term Disability benefits, your employee and Company matching contributions remain as well .
When the DPSP award is made for the year, it will be based on all admissible compensation, including your admissible compensation earned while you are on STD salary continuance benefits .
If you continue on to receive Long-Term Disability benefits, all contributions to the DCPP and the DPSP will be suspended until your return to work .
…if you leave Schlumberger
If you leave Schlumberger, you may take the balance in your DCPP and transfer it to:
• A Locked-In Retirement Account (LIRA)—Your account balance can continue to earn tax-deferred investment income until you are ready to start receiving a retirement income .
• A Locked-in Retirement Income Fund (LRIF)—You can receive an income while earning tax-deferred investment income within the fund .
• A Life Income Fund (LIF)—This works the same way as a LRIF; however, once you reach age 90, you must use the remaining balance to purchase a life annuity .
• Any other plan permitted by applicable legislation—Depending on your province, there may be other plans available to you .
• Use it to purchase an annuity from an insurance company—you will pay tax on the income as it’s received .
What is vesting?
Vesting refers to your ownership
of employer contributions in your
plan account .
SECTION 5: WHAT HAPPENS . . .
26 | S C H L U M B E RG E R | New Hire Guide
You have similar options for your DPSP Account; however, the balance does not have to be directed to a locked-in investment . For example, you can:
• Receive a lump sum cash payment; however, it will be taxed as income .
• Use it to purchase an annuity from an insurance company—you will pay tax on the income as it’s received .
• Transfer an amount to an RRSP but you must transfer the amount within 90 days of your last day at Schlumberger . If you don’t, you will receive the balance of your account in cash and it will be taxed .
• Any combination of the above .
You can also elect to receive a lump sum cash payment of your DPSP account (taxed as income) .
Note that you must make a decision about the disposition of your DPSP account within 90 days of your last day of employment at Schlumberger . If Sun Life Financial does not receive your payment option within this period, you will automatically receive a lump sum cash payment of your DPSP balance . There is no similar deadline for selecting a settlement option under the DCPP .
…if your marriage breaks down
If your marriage ends, a court order or separation agreement may require that your benefits be shared with your ex-spouse . For assistance and information regarding your assets in the event of a marriage breakdown, please contact the Sun Life Financial Customer Care Centre at 1-866-733-8612 .
….if you die prior to retirement
If you die before your DCPP has been transferred to a LIRA or annuity account, your spouse* or beneficiary will receive the total value of your account .
If your spouse is your beneficiary, your spouse may choose to receive the death benefit as:
• A transfer to their registered pension plan, if permitted by that plan .
• A transfer to a life insurance company to purchase an immediate or deferred life annuity .
• A transfer to a Locked-In Retirement Account (LIRA) or RRSP .
• A lump sum cash payment (less applicable withholding taxes) .
If you do not have a spouse on your date of death, the death benefit will be paid as a lump sum cash payment to your beneficiary .
*Spouse
PENSION JURISDICTION DEFINITION OF SPOUSE
Alberta Effective June 1, 2003, the term ‘spouse’ is replaced with the term ‘pension partner’. Pension plans can continue to use the term spouse if they so choose. However, the actual definition of pension partner must apply effective June 1, 2003, even if the plan has not been amended. The definition of pension partner is as follows:
“pension partner” means, in relation to another person,
(a) a person who, at the relevant time, was married to that other person and had not been living separate and apart from that other person for a consecutive period longer than 3 years, or (b) if there is no person to whom subclause (a) applies, a person who, immediately preceding the relevant time, had lived with that other person in a marriage-like relationship
(i) for a continuous period of at least 3 years, or(ii) of some permanence, if there is a child of the relationship by birth or adoption
British Columbia Spouse means, in relation to another person,(a) a person who at the relevant time was married to that other person, and who, if living separate and apart from that other person at the relevant time, did not live separate and apart from that other person for longer than the 2 year period immediately preceding the relevant time, or(b) if paragraph (a) does not apply, a person who was living with that other person in a marriage-like relationship for a period of at least 2 years immediately preceding the relevant time.
On retirement and pre-retirement death, member not considered to have a spouse if matrimonial property order is filed prior to pension commencement or death
Manitoba Spouse, where used to refer to the spouse of a member or former member, means the person to whom the member or former member is married.
“Common-law partner”, where used to refer to a common-law partner of a member or former member, meansa) a person who, with the member or former member, registered a common-law relationship under section 13.1 of The Vital Statistics Act, orb) a person who, not being married to the member or former member, cohabited with him or her in a conjugal relationshipi) for a period of at least three years, if either of them is married, orii) for a period of at least one year, if neither of them is married.
New Brunswick Spouse*, in relation to a member or former member, means two persons who,(a) are married to each other,(b) are married to each other by a marriage that is voidable and has not been annulled by a declaration of nullity, or(c) have gone through a form of marriage with each other in good faith, that is void, and have cohabited within the preceding year.
Common-law partner* means:(a) in the case of the death of a member or former member, a person who, not being married to the member or former member, was cohabiting in a conjugal relationshipwith the member or former member at the time of the death of the member or former member and was cohabiting in a conjugal relationship with the memberor former member for a continuous period of at least two years immediately before the death of the member or former member,(b) in the case of the breakdown of a common-law partnership, a person who, not being married to the member or former member, was cohabiting in a conjugalrelationship with the member or former member for a continuous period of at least two years immediately before the date of the breakdown of the common-lawpartnership, or(c) in any other case, a person who, not being married to a member or former member at the particular time under consideration, is cohabiting in a conjugal relationshipwith the member or former member at that time and who has so cohabited for a continuous period of at least two years immediately before that time;
*if a spouse and a common-law partner both make a claim, the eligible spouse is entitled to the benefit unless there is a valid domestic contract or a decree, order or judgement of a competent tribunal that bars the spouse’s claim.
Newfoundland Spouse means, except for the purpose of division of assets on marriage breakdown, at any date, a person who(a) is married to the member or former member, (b) is married to the member or former member by a marriage that is voidable and has not been voided by a judgment of nullity, or(c) has gone through a form of marriage with the member or former member, in good faith, that is void and is cohabiting or has cohabited in a conjugal relationship with the member or former member within the preceding year.
Cohabiting Partner means,(a) in relation to a member or former member who has a spouse, a person who is not the spouse of the member or former member who has cohabited continuously with the member or former member in a conjugal relationship for not less than 3 years, or (b) in relation to a member or former member who does not have a spouse, a person who has cohabited continuously with the member or former member in a conjugal relationship for not less than one year,
and is cohabiting or has cohabited with the member or former member within the preceding year.
Principal Beneficiary means the spouse of a member or former member, or where the member or former member has a cohabiting partner, the member’s or former member’s cohabiting partner.
- on retirement and pre-retirement death, if a member has a cohabiting partner, the cohabiting partner would have first rights to the survivor benefits. If there is no cohabiting partner, a legally married spouse, if there is one, would be entitled.
Nova Scotia Spouse, where used to refer to the spouse of a member or former member, means the person of the opposite sex who,(i) is married to the member or former member, or(ii) is married to the member or former member by a marriage that is voidable and has not been annulled by a declaration of nullity, or(iii) has gone through a form of marriage with the member or former member, in good faith, that is void, and they are cohabiting in a conjugal relationship or, if they have ceased to so cohabit, have cohabited in a conjugal relationship within the twelve-month period immediately preceding the entitlement date.
Common-law partner, where used to refer to the common-law partner of a member or former member, means, at any date, the person who is and has been cohabiting with the member or former member in a conjugal relationship for a period of at least two years, neither of them being a spouse.
- on retirement, a member is not considered to have a spouse/common-law partner if living separate and apart from spouse at time of pension commencement- on pre-retirement death, a member is considered to still have a spouse/common-law partner, even if living separate and apart from spouse at time of death, unless a division of the pension has been made. If a division has been made, then the spouse/common-law partner no longer has automatic rights.
Ontario spouse means either of two persons who(a) are married to each other, or(b) are not married to each other and are living together in a conjugal relationshipi) continuously for a period of not less than 3 years, orii) in a relationship of some permanence, if they are the natural or adoptive parents of a child, both as defined in the Family Law Act (“conjoint”)
• the requirement that the pension paid to a member who has a spouse on the date that payment of the first instalment of the member’s pension is due be in the form of a joint and survivor pension does not apply if the member is living separate and apart from his or her spouse on the date that payment of the first instalment of the member’s pension is due.
• if a member dies before payment of the first instalment of his or her pension is due, the person who is the spouse of the member on the date of death of the member is entitled to receive the pre-retirement death benefit. The preceding does not apply where the member and his or her spouse are living separate and apart on the date of death.
Prince Edward Island Please consult Plan Text
Quebec Spouse, in relation to a member, means the person who,(1) is married to or in a civil union* with the member, or(2) has been living in a conjugal relationship with a member who is neither married nor in a civil union, whether the person is of the opposite or the same sex, for a period of not less than three years, or for a period of not less than one year if - at least one child is born, or to be born, of their union, - they have adopted, jointly, at least one child while living together in a conjugal relationship, or - one of them has adopted at least one child who is the child of the other, while living together in a conjugal relationship.* a civil union is created when couples of the opposite or the same sex wish to make a public commitment to live together as a couple and to uphold the rights and obligations stemming from such status. A civil union:1. must be contracted openly before an official competent to solemnize marriages and in the presence of two witnesses;2. includes persons of either the opposite or same sex, 18 years of age or over;3. creates the same rights and obligations as a marriage.
• for deaths occurring on or after January 1, 2001, if a person is legally separated from bed and board they will lose their rights as a spouse to entitlement to a pre-retirement or post-retirement death benefit, even if the judgment of separation was rendered before September 1, 1990• effective January 1, 2001, the birth or adoption of a child during a marriage, civil union or during a period of conjugal relationship prior to the current period of conjugal relationship may allow a person to be recognized as a spouse• if there is a judgment of separation, divorce, dissolution or annulment of marriage or civil union, or cessation of conjugal relationship, the spousal rights in respect of pre-retirement and post-retirement death benefits are terminated. • if the member wishes to provide pension benefits to his former spouse, the member must appoint his ex-spouse as beneficiary, or advise the plan administrator in writing that pension payments are to continue to the ex-spouse, as the case may be. An existing beneficiary designation in favour of the spouse lapses upon judgment of divorce or annulment of marriage, or dissolution or annulment of civil union; therefore, if it is the member’s intention that the former spouse continue to be his beneficiary, then the member must designate that person again after the date of the divorce/annulment/dissolution. • in the event of judgment of separation (applicable only to married spouses) or cessation of a conjugal relationship, the beneficiary designation does not lapse; therefore, if the separated or former common-law spouse was named as the last designated beneficiary, that designation would be valid despite a judgment of separation or cessation of conjugal relationship. Note: A new spouse who meets the necessary conditions to qualify as Spouse at the date of death will have precedence over a former spouse who was designated as beneficiary.
Saskatchewan Spouse, where used to refer to the spouse of a member or former member, means, at any date, a person(i) who is married to the member or former member or, if there is no such person,(ii) with whom the member or former member is cohabiting as spouses at the relevant time and who has been cohabiting continuously for at least one year prior to the relevant time.
- on retirement and pre-retirement death, a married member is considered to have a spouse until such time as a divorce occurs, even if the couple are living separate and apart at time of pension commencement or death. A married spouse takes precedence over a common law spouse even where a married couple is no longer living together.
Page 1 of 6 C0Q0T BEN/PRV V E- 75 10-14
For SLF use: ENRLMNT
Beneficiary designation and authorization form
Return completed form to: Sun Life Financial, Group Retirement Services PO Box 2025 Stn Waterloo, Waterloo ON N2J 0B4
Please PRINT clearly. Nota : La version française de ce document est également disponible.
1 Plan and your personal information
*Your Social Insurance Number is used for administrative purposes so that information on this form is applied to your account.
Name of plan sponsor Client ID Plan
Schlumberger Canada Limited C0Q0T 01 First name Middle initial Last name
Date of birth (dd-mm-yyyy) Social insurance number * Identification number
– – Email address Telephone number (day) Telephone number (evening)
– – – –
Complete the appropriate section to designate a beneficiary for your account.
If you have a spouse when you die, the law may stipulate that all or part of the death benefit be paid to your surviving spouse, unless where provided, the spouse waives the death benefit. A beneficiary designation other than your spouse would only apply to those death benefits which are not, according to the law, payable to your surviving spouse. If you wish to ensure that your spouse receives all benefits even if he or she is no longer your spouse, please designate your spouse here. In the absence of a beneficiary designation, and if not payable to your spouse as prescribed by law, death benefits will be paid to your estate. It is therefore important for you to ensure that your estate plan is in order. To appoint a trustee for a beneficiary who is a minor, please complete the ‘Appointment of trustee for a minor beneficiary’ section. In Quebec, any amount payable to a minor beneficiary during his/her minority will be paid to the parent(s) or legal guardian on his/her behalf.
The following caution does not apply to residents of Quebec.
Caution: Your designation of a beneficiary by means of a designation form will not be changed or revoked automatically by any future marriage or divorce. Should you wish to change or revoke your beneficiary in the event of a future marriage or divorce, you have to do so by means of a new designation.
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2 Beneficiary designation - Pension plan
Contract numbers are for Sun Life Financial purposes only.
Contract number Plan name Registration number
79837-G Pension Plan for Participating Divisions of Schlumberger Canada Limited
1041110
Contract number Plan name Registration number
79838-G Schlumberger Wireline and Information Services Canadian Pension Plan
340430
Contract number Plan name Registration number
79839-G Schlumberger Well Services Canadian Pension Plan 904672
Contract number Plan name Registration number
79840-G WesternGeco Canadian Pension Plan 694679
Contract number Plan name Registration number
79841-G Pension Plan for the Employees of Geoservices North America Ltd. 1036045
I, the owner, revoke any previous beneficiary designations and name as beneficiary for benefits due on my death:
Beneficiary’s first name Middle initial Last name Relationship to you*
Percentage of benefits
%
%
%
*Quebec: if you name your spouse as beneficiary, please indicate if this person is your common-law spouse. Otherwise, we will deem this person to be your legal spouse. Important: Where Quebec law applies, a legal (married or civil union) spouse beneficiary is irrevocable unless you indicate otherwise. If you have an irrevocable beneficiary, you may not change your beneficiary designation and may not be able to withdraw/transfer your assets out of the plan unless you provide Sun Life Financial with the irrevocable beneficiary's written consent. To avoid this restriction and make your beneficiary designation revocable, you must check here: Revocable
Beneficiary
3 Marital/Relationship status designation - Pension plan
Contract numbers are for Sun Life Financial purposes only. Note: If your status changes in the future, please complete a ‘Change of records form’ and also notify your plan sponsor. * The definition of "spouse" can be found in the Schlumberger Retirement and Savings Program guide posted on the Sun Life Plan Member Services site (mysunlife.ca/Schlumberger) and Enrolment Central.
Contract number Plan name Registration number
79837-G Pension Plan for Participating Divisions of Schlumberger Canada Limited
1041110
Contract number Plan name Registration number
79838-G Schlumberger Wireline and Information Services Canadian Pension Plan
340430
Contract number Plan name Registration number
79839-G Schlumberger Well Services Canadian Pension Plan 904672
Contract number Plan name Registration number
79840-G WesternGeco Canadian Pension Plan 694679
Contract number Plan name Registration number
79841-G Pension Plan for the Employees of Geoservices North America Ltd. 1036045
I certify, at the time of this declaration, based on the definition of spouse* under applicable pension legislation:
I have a spouse*. I do not have a spouse.
Spouse’s first name Middle initial Last name
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4 Beneficiary designation – Retirement Savings Plan
RSP contract number Plan name
79844-G Schlumberger Retirement Savings Plan
I, the owner, revoke any previous beneficiary designations and name as beneficiary for benefits due on my death:
Beneficiary’s first name Middle initial Last name Relationship to you*
Percentage of benefits
%
%
%
*Quebec: if you name your spouse as beneficiary, please indicate if this person is your common-law spouse. Otherwise, we will deem this person to be your legal spouse. Important: Where Quebec law applies, a legal (married or civil union) spouse beneficiary is irrevocable unless you indicate otherwise. If you have an irrevocable beneficiary, you may not change your beneficiary designation and may not be able to withdraw/transfer your assets out of the plan unless you provide Sun Life Financial with the irrevocable beneficiary's written consent. To avoid this restriction and make your beneficiary designation revocable, you must check here: Revocable
Beneficiary
5 Beneficiary designation – Deferred Profit Sharing Plan
Contract number Plan name
79842-G Schlumberger Deferred Profit Sharing Plan
I, the owner, revoke any previous beneficiary designations and name as beneficiary for benefits due on my death:
Beneficiary’s first name Middle initial Last name Relationship to you*
Percentage of benefits
%
%
%
*Quebec: if you name your spouse as beneficiary, please indicate if this person is your common-law spouse. Otherwise, we will deem this person to be your legal spouse. Important: Where Quebec law applies, a legal (married or civil union) spouse beneficiary is irrevocable unless you indicate otherwise. If you have an irrevocable beneficiary, you may not change your beneficiary designation and may not be able to withdraw/transfer your assets out of the plan unless you provide Sun Life Financial with the irrevocable beneficiary's written consent. To avoid this restriction and make your beneficiary designation revocable you must check here: Revocable
Beneficiary
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6 Beneficiary designation – Non-Registered Savings Plan
Contract number Plan name
79846-G Schlumberger Non-Registered Savings Plan
I, the owner, revoke any previous beneficiary designations and name as beneficiary for benefits due on my death:
Beneficiary’s first name Middle initial Last name Relationship to you*
Percentage of benefits
%
%
%
*Quebec: if you name your spouse as beneficiary, please indicate if this person is your common-law spouse. Otherwise, we will deem this person to be your legal spouse. Important: Where Quebec law applies, a legal (married or civil union) spouse beneficiary is irrevocable unless you indicate otherwise. If you have an irrevocable beneficiary, you may not change your beneficiary designation and may not be able to withdraw/transfer your assets out of the plan unless you provide Sun Life Financial with the irrevocable beneficiary's written consent. To avoid this restriction and make your beneficiary designation revocable you must check here: Revocable
Beneficiary
7 Beneficiary designation – Tax-Free Savings Account
Contract number Plan name
79845-G Schlumberger Canada Tax-Free Savings Account
I, the owner, revoke any previous beneficiary designations and name as beneficiary for benefits due on my death:
Beneficiary’s first name Middle initial Last name Relationship to you*
Percentage of benefits
%
%
%
*Quebec: if you name your spouse as beneficiary, please indicate if this person is your common-law spouse. Otherwise, we will deem this person to be your legal spouse. Important: Where Quebec law applies, a legal (married or civil union) spouse beneficiary is irrevocable unless you indicate otherwise. If you have an irrevocable beneficiary, you may not change your beneficiary designation and may not be able to withdraw/transfer your assets out of the plan unless you provide Sun Life Financial with the irrevocable beneficiary's written consent. To avoid this restriction and make your beneficiary designation revocable, you must check here: Revocable
Beneficiary
8 Contingent beneficiary appointment
If you wish to appoint a contingent beneficiary, please complete this section.
If there is no surviving beneficiary at the time of my death, I declare that the following contingent beneficiary shall receive all benefits due on my death in accordance with any applicable legislation. If there is no surviving contingent beneficiary at the time of my death, the proceeds shall be paid to my estate. Unless I indicate otherwise, this contingent beneficiary appointment applies to the above beneficiary designations. I revoke all previous contingent beneficiary appointments.
Contingent beneficiary’s first name
Middle initial Last name Relationship to you
Percentage of benefits
%
%
%
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9 Appointment of trustee for a minor beneficiary (not valid in the province of Quebec) If you wish to appoint a trustee for a minor beneficiary, please complete this section.
First name of minor beneficiary Middle initial Last name
Note: the Trustee may have to account for its administration to the Public Trustee.
Any amount payable to a minor beneficiary during his/her minority will be paid to the individual named hereunder, as Trustee for the minor child.
First name of trustee Middle initial Last name
Relationship to you
Payment to the Trustee shall discharge Sun Life Financial. Sun Life Financial cannot be responsible for the effect or sufficiency of the appointment.
10 Your signature of authorization I require that all future communications, including this application and Group Plan documents, be provided
in English. If I terminate employment with my plan sponsor, I understand that I must provide Sun Life with transfer or
withdrawal instructions for my DPSP assets within 90 days of my termination. If I do not do so before the expiry of the 88th day from my termination, subject to any applicable legislation, I hereby authorize Sun Life to transfer my assets and benefits under the plan listed above to a group RRSP for terminated members. If this happens, the assets in my original plan will be transferred to the same funds under my new plan. If the same funds are not available under my new plan, assets will be transferred into a money market fund. I understand that fund management fees may vary from those under my original plan(s). I also understand that as my assets will be under a new plan, any death benefit will be paid to my estate, unless I designate a new beneficiary by completing a beneficiary designation form. If, however, under my original plan(s) my beneficiary designation was irrevocable, that beneficiary will become the beneficiary under my new plan.
I request Sun Life Assurance Company of Canada to file an election to register my arrangement as a Tax-Free Savings Account (TFSA) under the Income Tax Act (Canada) and any applicable provincial tax legislation. I appoint the plan sponsor named in this application to act as my agent for the purpose of submitting contributions, providing my investment, withdrawal and transfer instructions and any other instructions as may be required to administer my TFSA. I agree to be bound by the terms of the Plan and any amendments thereto.
I authorize Sun Life Assurance Company of Canada, its agents and service providers, to obtain, use and transmit to my plan sponsor, its agents and service providers, my personal information for the purpose of plan administration. I also authorize Sun Life Assurance Company of Canada, its agents and service providers to transmit my personal information to the advisor appointed by my plan sponsor, if any, or to my personal advisor for the purpose of enabling in-plan advisory services.
Unless I select ‘No’ below, I agree that my information may be collected, used and shared with the members of the Sun Life Financial group of companies*, their agents and service providers to inform me of other financial products and services that they believe meet my changing needs.
No, I refuse permission *The companies in the Sun Life Financial group of companies mean only those companies identified in Sun Life Financial’s Privacy Policy for Canada which is available on the Sun Life Financial website, www.sunlife.ca.
Your signature Date (dd-mm-yyyy)
X – –
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11 Keeping your information confidential
Sun Life Assurance Company of Canada, a member of the Sun Life Financial group of companies, is committed to keeping your information confidential. We may leverage our strengths in our worldwide operations and in our negotiated relationships with third party providers and reinsurers who, in some instances, may be located in jurisdictions outside Canada. Your personal information may be subject to the laws of those foreign jurisdictions. Sun Life Financial’s operations worldwide and our third party providers are required to protect the confidentiality of your personal information in a manner that is consistent with our privacy policy and practices. To find out about our Privacy Policy, visit our website at www.sunlife.ca, or to obtain information about our privacy practices, send a written request by email to [email protected], or by mail to Privacy Officer, Sun Life Financial, 225 King St. West, Toronto, ON M5V 3C5.
NOTES
Group Retirement Services are provided by Sun Life Assurance Company of Canada, a member of the Sun Life Financial group of companies . 11/14-vb-gm
Plan AdministratorSchlumberger Canada Limited
AskHR
Phone: 1-877-9ASKHR9 (1-877-927-5479).
E-mail: [email protected].
Official plan names and CRA registration numbers:Pension Plan for Participating Divisions of Schlumberger Canada Limited - 1041110
Schlumberger Wireline and Information Services Canadian Pension Plan - 0340430
Schlumberger Well Services Canadian Pension Plan - 0904672
WesternGeco Canadian Pension Plan - 0694679
Pension Plan for the Employees of Geoservices North America Ltd. - 1036045
RecordkeeperSun Life Financial
Customer Care Centre Phone: 1-866-733-8612 (Any business day: 6:00 a.m. to 6:00 p.m. MT)