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Olivia Zara is a member of a defined benefit integrated pension plan with the following formula: 2%of the average best 5 years of earnings up

Olivia Zara is a member of a defined benefit integrated pension plan with the following formula:

  • 2%of the average best 5 years of earnings up to the 3 year average of the year's maximum pensionable earnings (YMPE) plus
  • 3.5%of the average best 5 years of earnings that are above the 3 year average of the YMPE

Olivia's earnings were$77,627.00; the YMPE is$61,600.00.

Calculate the pension adjustment for Olivia, assuming that she worked and was a member of the pension plan for the full calendar year.

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