MODEL A
ASSUMPTIONS FOR
CASHFLOW OF PROJECTED PENSION PAYMENTS
APPENDIX 1
Assumptions :-
(1) All members retire under the New Pension Scheme.
(2)
All
(3)
members buy back their services under agreement terms, if any, as pensionable service.
Salary
at retirement age is taken to be the maximum salary point of the officer's existing rank plus 15%.
No allowance for natural wastage.
(4)
(5)
Life expectancy for men is 74 and for women 80.
(6)
Age of retirement :-
Administrative Officers
: 57
Police Officers
: 55
Judges
Others
: 65
: 60
(7)
(8)
No adjustment of annual pension and salary for inflation.
Salaries and pensions are at 1 July 1992 level.
(9)
Those who retired before 30 June 1997 will commute 50% of their pension for a lump sum payment and those who retired after that date will take no commuted pension.
MODEL 8
Assumptions being the same as Model A except all members will commute 50% of their pension for a lump sum payment irrespective of the time of their retirement.