Saw some mind blowing graphics and figures today, not sure who is foolin' who. My thoughts on AFPS 05: If you leave much nearer to 55 than 40 it may be worth considering, but watch those MSF losses & the commutation penalties. If you intend dying in Service it may be worth considering. If you are going out onto a very high paid job and your pension will kick you into the Higher tax bracket it may be worth considering. Do not get confused by the second lump sum..it is only paying you back what they have kept from you over many years : eg AFPS 75 Pension @ 40 is 12k. Lump sum 36, IP 15 years @12k then uplift & RPI. AFPS 05 Pension 12k, Lump sum 36, EDP 15 years 6k, edp 55-65 8k+ RPI, 65+ 12k+RPI & 2nd lump sum index linked from endex. 15 x 6 =90, 10 x 4 = 40...90 + 40 = 130k....a lot of money - will your 2nd lump sum @ 65 (if you live that long) be worth it & won't you have needed the money earlier in life ?? Extra family benefits can be arranged much cheaper through a IFA Get on the pens calculator - for most people the new scheme is a no no.