New Pension Scheme
3
Old Pension Scheme
3....
Example B
Assumptions :-
Example B
Assumptions :-
(a)
a Magistrate on 100% pensionability first appointed at the age of 35 on 1.7.1973 who retires at the age of 60 on 1.7.1998, having completed 300 months' pensionable service; and
(a)
(b) the highest annual salary is $382,380.
Total length of pensionable service (including deemed increase)
=
no. of months during 1.7.1973 to 30.6.1998 (300) + no. of completed months during 1.7.1988 to 30.6.1998 (120)
420 months
(b)
a Magistrate on 100% pensionability first appointed at the age of 35 on 1.7.1973 who retires at the age of 55 on 1.7.1993, having completed 240 months' pensionable service; and
the highest annual salary is $382,380.
Length of pensionable service
= 240 months
Unreduced
annual pension
$382,380 x 420 x $237,925.32 p.a.
1 675
Unreduced
annual
=
$382,380 x 240 x $152,952 p.a.
1 600
If he opts to commute 50% of his annual pension into a lump sum, he will receive
Commuted pension gratuity
=
$237,925.32 x 50% x 14
= $1,665,477.20
plus
pension
If he opts to commute 25% of his annual pension into a lump sum, he will receive
Commuted
pension
gratuity
=
-
- $152,952 x 25% x 14
$535,332
Reduced
annual
pension
$237,925.32 x 50%
$118,962.66 p.a.
(0016P : 21-23)
plus
Reduced annual
pension
=
$152,952 x 75%
= $114,714 p.a.