New Pension Scheme

under the Pension Benefits Ordinance and

Regulations 1987

1

Unreduced

$72,000 x (360 + 1.25 x 30) x

675

annual pension

= $42,400 p.a.

- 5

Unreduced

annual

Old pension scheme

under the Pensions Ordinance and Regulations, Cap. 89

1

$72,000 x 360 x

600

=

$43,200 p.a.

If he opts to commute 50% of annual pension into a lump sum, he will receive

Commuted

$42,400 x 50% x 14

pension

gratuity

$296,800

pension

If he opts to commute 25% of annual pension into a lump sum, he will receive

Commuted

pension gratuity

**

$43,200 x 25% x 14

$151,200

plus

Reduced annual pension

(0057P)

=

$42,400 x 50%

-

$21,200 p.a.

plus

Reduced annual pension

$43,200 x 75%

= $32,400 p.a.

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