pensions 23 January 2012 at 3:30PM in UK armed forces MoneySaving 2 replies 1.6K views

cath000

question about army pensions please

I know a few years ago the new pension scheme was brought in and I remember hubby being told old one was better and should stay on that. Now I am looking at the army pension calculator and cant make sense of it
Hubby has been in for over 14 years hoping to do full 22.
So does that mean he gets a lump sum on leaving and a monthly 'pay' and another lump sum at 65 ??

any help appreciated and any opinions on what scheme was best thanks. :money:

molerat

Which scheme is he in, 75 or 05?

Your OP makes it look like he stayed on 75, if so then no to the 2 lump sums, they are only if leaving before the immediate pension point and service is split across 06 and paid at age 60 and 65. 75 pays a pension and 3x lump sum at leaving, no increases until age 55 then full inflation increased pension.

As for which is better ...... good question

Fergie76

Of course the pension scheme will change for the worst in a couple of years. Although we will have reserved rights to all ready accrued pension, we will have no option like last time and have to change to the new scheme.