Your group plan at work Securing your future with your group plan

Sources of Retirement Inco me

Your responsibilities under this plan As a member of a group retirement savings plan with more than one investment option, you are responsible for: Making sure you understand how your plan works. Taking advantage of the information and tools available to make your investment decisions. Taking advantage of the investment advisory services of a plan advisor if available. Making actual investment decisions. Determining how much you will contribute to your plan. Checking to see how your investments are performing Revising your investment strategy if personal circumstances change.

Sources of retirement income Old Age Security Government Retirement Benefits Canada Pension Plan / Quebec Pension Plan Old Age Security / Quebec Pension Plan Your company retirement program Personal savings 3 2 1

Monthly maximum payments 2016 * Amounts based on earnings, length of employment history and rate of your contributions. ** If your income reaches a certain threshold you may be required to repay some of your Old Age Security benefits. Government benefits Canada Pension Plan* Quebec Pension Plan* Old Age Security** Age 60$ $0 Age 65$1, $ Age 67$1, $ Age 70$1, $775.91

The tax advantage of automatic payroll deductions You get $100 for $75 Before RRSP Contribution After RRSP Contribution Gross pay$ 1500 Less RRSP$ 0$ 100 Taxable pay$ 1500$ %*$ (375) $ (350) Net pay$ 1125$ 1050 * Individual tax rates may vary.

RRSP Contribution limit Lesser of 18% of previous years earnings or $25,370 Unused RRSP Room (if any) + You are responsible for monitoring your personal RRSP limit as per your CRA Notice of Assessment For more information about your personal limits visit Year CRA RRSP Limit 2016$25, $26,010 - Less prior year’s pension adjustment

TFSA Contribution limit This year’s Contribution limit Unused TFSA Room (if any) from prior years + YearCRA TFSA Limit 2015$10, $5,500 + Withdrawals from prior year

DPSP Contribution limit YearCRA DPSP Limit 2015$12, $13,005 There is no minimum required employer contribution Maximum contribution is limited to lesser of 18% of your compensation for the year or the DPSP contribution limit RRSP contribution room is reduced by the DPSP contributions received in the previous year

Choice of three accounts Group RRSPDPSPTFSA Tax-deductible savings Tax-sheltered earnings Contribute up to RRSP limit Withdrawals are subject to withholding tax Ideal for retirement savings Employer shares profits by contributing to DPSP on behalf of each employee* No minimum employer contribution required Tax-deductible savings Tax-sheltered earnings Contribute up to DPSP limit Withdrawals are subject to withholding tax Ideal for retirement savings * Based on eligibility No tax-deductibility, but tax sheltering Contribute up to TFSA limit Tax-free withdrawals Withdrawals increase contribution room in the following calendar year Ideal for any savings goal

Investing details

Return LowHigh Risk Low High Bonds Bonds (Fixed Income) Promise to repay debt Pays a rate of interest Government and corporate Canadian, US, Global & International Equities Equities (Stocks) Share in company profits Canadian, U.S., Global & International Greater long-term growth potential Money Market Guaranteed Guaranteed interest during fixed term Less long-term growth potential Guaranteed Funds Money Market Government treasury bills (T-Bills) Less long-term growth potential Target Risk “Hands-free” approach Re-balances automatically Balanced Mix of cash, bonds and equities Automatic diversification Balanced Understand Risk vs. Return

Wide range of investment options Built FOR me - “pre-built” portfolio funds Money Market Guaranteed Funds (1, 2, 3, 4, 5 year) Fixed Income Balanced Canadian Equity U.S. Equity International Equity Global Equity Built BY me - Choose your own portfolio from the following asset categories: Milestone Target Date Funds with guaranteed maturity value Granite Target Date Funds Granite Target Risk Funds

Granite Funds™ – Target Date When do you need the money? Pre-built solutions – with an asset mix that changes over the life of the fund Managers were selected who have:  Superior long term performance  Expertise in their asset classes or investment styles Low cost multi-manager target date funds

Milestone Funds ® – Target Date Sun Life Financial Milestone Segregated Funds Target date funds All you have to do is choose the Fund that is closest to the date you’d like your money, and it takes it from there Maturity dates of June 30th

Milestone guarantee

Granite Funds™ – Target Risk Pre-built target risk funds 5 funds that correspond to a risk profile:  Granite Conservative Segregated Fund  Granite Moderate Segregated Fund  Granite Balanced Segregated Fund  Granite Growth Segregated Fund  Granite Aggressive Segregated Fund

The importance of diversification You should always be diversified in your approach to investing. –Investment Style Growth and value, active and passive fund managers –Asset class Cash equivalents, fixed income and equities –Geographic region Canadian, U.S. and International equities –Currency limit exposure to U.S. currency risk

Communication & Technology

C ustomer C are C entre Toll-free line Perform transactions 24 hours a day through the Automated Telephone System Customer Care Centre representatives available 8 a.m. to 8 p.m. ET any business day  Operate live in 189 languages

Plan member services website Fund and account balances Summary of contributions Move money between funds View tax slips and receipts Access historical fund performance information Update your future investment instructions Update your beneficiary Lump sum contributions Newsletters View historical account statements Convenient, Quick, Easy!

Plan member services website continued Complete the Asset Allocation Tool to help you determine your tolerance for risk and how you should invest. Use the Retirement Planner to help understand your retirement income goals and to determine if you are saving enough.

Statements and Receipts Annual account statements mailed directly to your home in December, unless you choose “paperless statements” at mysunlife.ca Semi-annual account statements available online in June and December Tax slips and receipts  Mailed directly to your home  RRSP receipts for income tax purposes sent twice per calendar year

Withdrawals, Termination, and Retirement Options

Withdrawals Withdrawals may be restricted during employment – ask your employer $25 fee will apply for each withdrawal from your RRSP and DPSP The first withdrawal from your TFSA in each calendar year is free. A $25 fee will apply for any additional withdrawals during the year. Termination withdrawals and transfers - $75 (except when transferring within Sun Life Financial) Withdrawals or transfers from guaranteed funds prior to maturity are paid at market value. Death benefits are paid without a market value adjustment. Withdrawals from a Milestone Fund prior to the maturity of that fund are calculated at the current market value of the fund, not the guaranteed maturity value

Termination and Retirement options At the point of Termination/Retirement: You will be mailed a package that outlines your various options If we don’t hear from you within 90 days after termination/retirement your account will be automatically transferred to a personal account in the Group Choices Plan

Getting Started

How do I get started? my savings Group RRSP, DPSP & TFSA Employee Enrolment Guide Complete and submit signed enrolment form(s) to your employer That’s it! my savings has been designed to make this entire process ‘quick and easy’.

How do I get started?

ABC Company

Completion of the TFSA enrolment form is necessary if you would like to contribute to the Tax-Free Savings Account How do I get started?

Your future is waiting… enrol today!