Assumptions
Annex B
A Provident Fund Scheme
(a)
For both new recruits and serving officers
Government contributions :
(b)
(i) (ii)
(c)
5% for first 10 years
10% for 11th to 15th years
(iii) 15% for years thereafter
Staff contributions : 5%
Withdrawal of Government contributions :
Year of service
1010
0-4
7
8
567
9
10+
of
0
50
60
70.
80
90
100
contributions
(a)
(e)
(£)
Withdrawal
employee
irrespective of year of service
100%
Past service does not count for qualifying service for determining rate of Government's contributions
Past service counts for eligibility for withdrawal of benefits
Excluding officers aged 50 or above by 1.7.1987 and MOD I staff
(g)
Wastage rate 6% p.a.
(h)
Cost at 1991/92 salary level
(i)
2% increase in salaries due to promotion/increment
(1)
No real increase in salary level
(k) New recruits at 1991/92 salary level
(1) Incomes from fund investment ignored
(m)
Zero growth in the Civil Service size.