B benny fitt Registered User Messages 30 7 Oct 2014 #1 How is a tax free lump sum reduced when service is only 15 years
G gipimann Registered User Messages 5,097 7 Oct 2014 #2 You are entitled to 3/80th of salary for every year of service. 40 years service = 40x3/80 = 1.5 times salary 15 years service = 15x3/80 = 45/80 or just over half salary.
You are entitled to 3/80th of salary for every year of service. 40 years service = 40x3/80 = 1.5 times salary 15 years service = 15x3/80 = 45/80 or just over half salary.
B benny fitt Registered User Messages 30 7 Oct 2014 #3 Thanks for your reply but that relates to the pension scheme. If you have AVC and you expect 1.5 times salary as tax free lump sum isn't there an adjustment on the 1.5 for service less than 20 years?
Thanks for your reply but that relates to the pension scheme. If you have AVC and you expect 1.5 times salary as tax free lump sum isn't there an adjustment on the 1.5 for service less than 20 years?