Discharge under PAP10 whilst on 2yr Veng

oxygna3

Clanker
Does anyone have any experience of discharge under PAP10 whilst on 2yr VEng (after serving 22yrs) on the AFPS75 scheme. I have a GIP on discharge and am aware that this will be abated if I leave naturally but I have been advised from above to consider pushing for discharge under PAP10 due to limited optopns for me now. My Normal ROD (pre VEng) would have been next month, therefore, with VEng I have just over 2yrs left. This is something I have never considered before and would greatly appreciate any advice on it.

Thanks in advance.
 
E

EScotia

Guest
According to JSP 765 (AFCS):

0402. Abatement of GIP. Where a person is entitled to a GIP for any period during which the person is also entitled to:

a. an invaliding pension or an ill-health pension which is paid for the same injury for which the GIP is paid, then the amount of the GIP is reduced by the full amount of the invaliding pension or ill-health pension.

b. a payment, or a pension, which is not an invaliding or ill-health pension paid for the same injury for which the GIP is paid, then the amount of the GIP payment is reduced by 75 per cent of the amount of that pension or payment.

Personally I'd ring the veterans agency and ask, following it up with a letter and keep their reply.
 

oxygna3

Clanker
Thanks E Scotia,
I've contacted the JPAC pension team this morning and will be dropping the Veterans Agency a letter / copy too but in my previous contact with both I have found that they tend to not answer specific questions and mainly only offer general advice. I'm also going to join the Pension Society and see if they can maybe clarify things. I'm basically expecting my GIP to be reduced by 75% as I will already be pensionable and would never expect both. I just need clarification on whether the PAP10 thing would be financially viable or not. Due to only having two years service left I doubt it'd make much difference to my lump sum or pesnion, whereby I'd probably be better just riding it out until the end. However, another consideration is; Despite being pensionable at the time of discharge, if I was to be discharged under PAP10, whereby discharged prematurely in terms of contract, would this be enough to constitute benefiting from (and only) the full tax free GIP instead of the normal pension? Confusing stuff!
 
E

EScotia

Guest
Thanks E Scotia,
I've contacted the JPAC pension team this morning and will be dropping the Veterans Agency a letter / copy too but in my previous contact with both I have found that they tend to not answer specific questions and mainly only offer general advice. I'm also going to join the Pension Society and see if they can maybe clarify things. I'm basically expecting my GIP to be reduced by 75% as I will already be pensionable and would never expect both. I just need clarification on whether the PAP10 thing would be financially viable or not. Due to only having two years service left I doubt it'd make much difference to my lump sum or pesnion, whereby I'd probably be better just riding it out until the end. However, another consideration is; Despite being pensionable at the time of discharge, if I was to be discharged under PAP10, whereby discharged prematurely in terms of contract, would this be enough to constitute benefiting from (and only) the full tax free GIP instead of the normal pension? Confusing stuff!
The question you possibly should be asking is "If I am medically discharged will my pension become a Service Attributable Pension (SAP) and therefore not liable to tax?" As you are already aware your pension is reduced by the amount of GIP so if it becomes tax exempt in effect you claw a little of that back.
 

oxygna3

Clanker
Thanks for your advice E Scotia,
That's exacxtly what I'll be asking. I'm now awaiting replies from the vererans Agency and the JPAC Pension team. As mentioned, I doubt any of them will commit to providing a direct answer to this but hopefully that's where the pension societly will be able to shine some light. That's my plan at the minuite anyway.

If anyone has any further info / knowledge / advice on this area it'd be very much appreciated.
 

oxygna3

Clanker
E Scotia, just as an update, after contacting both the JPAC Pensions Team AND the Veterans Agency (over 3 weeks ago) I still haven't had a response from either, so I've probably been chinned off. I've also joined the Pensions Society since my previous post on here so I think I'll have to contact them and see if they can do anything.
 
E

EScotia

Guest
E Scotia, just as an update, after contacting both the JPAC Pensions Team AND the Veterans Agency (over 3 weeks ago) I still haven't had a response from either, so I've probably been chinned off. I've also joined the Pensions Society since my previous post on here so I think I'll have to contact them and see if they can do anything.
Unfortunately qxygna3, 3 weeks is no time at all :sad: I'd expect a bit more of a wait before receiving any reply from either I'm afraid.
 

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