The 2018 pension breakpoint for Tier2/2A/3 retirees has increased to $80,537. This is a 3.4% increase over 2017 ($77,889) yet is $7000 lower than it would have been if we continued to use the straight 6% increase formula that was used from 1982 - 2014.
The breakpoint is the dividing line for the pension calculation: earnings above the breakpoint have a multiplier of 1.8333% for every year of service and salary below the breakpoint has a multiplier of 1.4% for each year of service.