Reminder: Changes to auto-transfer and age 71 default income solution

In January, we announced changes to auto-transfer and age 71 default income solution.

Changes to Auto-Transfer

Starting August 1, 2026, for eligible plan sponsors we’ll provide quicker access to Group Choices for plan members leaving their employer – without any action required by them or your Clients. Currently, for these Clients we automatically transfer the plan member’s assets to Group Choices 90-days after they leave.

The quicker auto-transfer applies to plans that have one or more of the following products: Registered Retirement Savings Plans (RRSPs), Tax-Free Savings Accounts (TFSAs), Locked-in Retirement Accounts (LIRAs). Plans that offer Deferred Profit Sharing Plans (DPSPs) will also be included.

Once you’ve notified us that a plan member has left your Sun Life administered workplace plan, they’ll receive this welcome letter introducing them to Sun Life Group Choices. Then, once they’ve set up a Sun Life Group Choices account, we’ll send them an email.

Here is a high-level summary of your plan changes.

Changes to Age 71 default income solution

Starting December 31, 2026, we’re changing the default income solution for plan members in the year they turn 71. This also applies to plan members who are 71 in 2026. Changing the default income solution provides plan members with greater flexibility, as they can access their savings at any time. In addition, plan members who want guaranteed lifetime income can still purchase an annuity with their savings whenever the time is right.

Beginning July 1, 2026, RRSP and/or TFSA group annuity policies and plan text amendments can be found in the Resource Library on our Secure Sponsor Website > Guides & information > Resource library > Contracts.

Questions? We’re here to help.

Please reach out to your Sun Life Group Retirement Services Representative.