Backdated Army Pension Entitlement

Minniesboy

Purely by chance I happened to see a post on another website that any ex military who got commissioned before completing 22 years as a soldier then resigned their commission before completing 5 further years may be entitled to an increase in military pension.

I enquired with Veterans UK and have just been told that I will be getting over £20,000 in backdated pension plus another amount in a lump sum which is totally unexpected. I wonder how many others are in the same position but are not aware?

However, and without wishing to appear to be ungrateful, with my other pensions this will take me above the £40,000 income level for the year so some of this will be taxed at 40% even though it relates to pension which I should have been receiving since 1995!! Doesn't seem fair??

Dox

Minniesboy said:

Purely by chance I happened to see a post on another website that any ex military who got commissioned before completing 22 years as a soldier then resigned their commission before completing 5 further years may be entitled to an increase in military pension.

I enquired with Veterans UK and have just been told that I will be getting over £20,000 in backdated pension plus another amount in a lump sum which is totally unexpected. I wonder how many others are in the same position but are not aware?

However, and without wishing to appear to be ungrateful, with my other pensions this will take me above the £40,000 income level for the year so some of this will be taxed at 40% even though it relates to pension which I should have been receiving since 1995!! Doesn't seem fair??

You say you 'should' have been receiving it. Can you clarify why you weren't i.e. was it a mistake on the part of the pension scheme, or was there a requirement that you had to 'claim' it in some way?

peteuk

Lump sums from Service pensions tend to be tax free!  If your worried the back payment takes you over the next tax threshold then will next years pensions also take you over that magic figure?