TNAG-1670-FCO40-23182-Future-of-Hong-Kong-continuity-of-administration-civil-serv-1987 — Page 43

New Pension Scheme

under the Pension Benefits Ordinance and

Regulations 1987

2

Old pension scheme under the Pensions Ordinance

and Regulations, Cap. 89

Example

A Category A officer retiring at the age of 60 after completing 450 pensionable months' service on 100% pensionability, with a highest annual salary of $72,000 -

Example

A Category A officer retiring at the age of 55 after completing 390 months' pensionable service on 100% pensionability with a highest annual salary of $72,000

Unreduced

annual pension

= $72,000 x 450 x

1

675

=

$48,000 p.a.

Unreduced

annual pension

=

$72,000 x 390 x

1. 600

= $46,800 p.a.

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

-

$48,000 x 50% x 14

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

Commuted

$46,800 x 25% x 14

II.

Commuted

pension

gratuity

=

$336,000

plus

Reduced annual pension

$48,000 x 50%

=

$24,000 p.a.

pension

gratuity

= $163,800

plus

Reduced annual pension

= $46,800 x 75%

= $35,100 p.a.

For Category B officer (i.e. officer occupying non-established office, or occupying an established office but not confirmed therein) retiring from service after completion of 10 years' service or more

Highest annual pensionable emoluments x service in months x (for service

Unreduced

annual

pension

675

prior to 1.4.87 and

800

for service as from 1.4.87)

(subject to a maximum of 2/3 of highest

pensionable emoluments)

Unreduced

annual

allowance

=

Highest annual salary x service in months x

1

1 ( for first 300 months service and

800 for service in excess of 300 months)

600

(subject to a maximum of 2/3 of highest annual

salary)