pensions

Discussion in 'Army Pay, Claims & JPA' started by abbotboy, Feb 1, 2011.

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  1. I have received today a notice, from the mod pension office in Crawley w sussex, to the effect that my army pension is to be reduced by approx £88 a month, due to what it calls 'NI modification rules', anybody else heard of this or got such a letter yet?.
    regards.
     
  2. oldbaldy

    oldbaldy LE Moderator Good Egg (charities)
    1. Battlefield Tours

    I take it you have reached an age where you will receiving your state pension?
     
  3. Yes and that was one of the reasons given for this ni rule decrease.
     
  4. Tis all there in the small print!

    National Insurance retirement benefit-abatement from service retired pay or service
    pension

    10. a. An officer or soldier in receipt of service retired pay or pension shall,
    on reaching State pension age have his service retired pay or pension
    abated by the amount of the graduated retirement benefit, if it exceeds
    £0.10 a week, for which he is eligible under the National Insurance Act
    1965 for would be so eligible if he had retired from regular employment),
    in respect of graduated contributions paid or treated by virtue
    of section 58 of the National Insurance Act 1965, as having been paid
    by him during any period of his service reckonable for retired pay or
    pension when not contracted out of the Graduated Pension Scheme.
    The rate of abatement for awards at annual rates shall be £1.30 a year
    for each £0.025 a week of graduated retirement benefit in respect of
    which abatement is applied.
    b. In addition, except as provided in Articles 12 and 14, an officer commissioned
    or recommissioned, or a soldier enlisting or re-enlisting
    into the Army after 30 June 1949, shall, when he reaches State pension
    age have his service retired pay or service pension abated at the
    rate of £0.01667 a week (or £0.8708 a year for awards at annual rates)
    for each complete year of reckonable service prior to April 1980.
    c. An officer who transfers from either a short service or short career commission
    to pensionable terms, shall when he reaches State pension age
    have his service retired pay abated by any notional guaranteed minimumpension in respect of his contracted-in service whilst a short service or a
    short career officer before 6 April 1997.
    11. For the purpose of Article 10b:
    a. a short service officer who, before 1st July 1949, completed the period
    of service on the Active List which he had undertaken but who, after
    that date, rejoined the Active List during the reserve service which
    formed part of his commission;
    b. a soldier who rejoined after 30th June 1949 but whose colour service was
    broken only by service on the reserve portion of a regular engagement.
    c. an officer or soldier commissioned or re-enlisted after 30th June 1949
    but who gave continuous full pay service from before that date; shall
    be exempt from the provisions of the article.
    12. A retired officer or pensioned soldier who is exempt from the provisions of
    Article 10b shall continue to be so exempt notwithstanding that he may
    give further service reckoning for a revised or re-assessed award.

    There you go clear as mud!! (extract from the pensions warrant).

    PW