The Armed Forces Redundancy Scheme Order 2020

Amount of payment: long service commitment – leaves between EDP 2005 point and EDP 2015 point

This section has no associated Explanatory Memorandum

26.—(1) This paragraph applies to an eligible person who—

(a)had their service continued to the end of their commitment period, would have reached age 60 or become entitled to EDP 2015 payments, and

(b)actually ceases service on or after reaching age 55 or becoming entitled to EDP 2005 payments, but before either reaching age 60 or becoming entitled to EDP 2015 payments,

and in this paragraph references to service are to redundancy qualifying service.

(2) The amount payable under paragraph 8(1) is comprised of an AFRS 2006 style payment and an AFRS 2020 style payment.

(3) The AFRS 2006 style payment is calculated as follows—

Step 1: If R is more than or equal to 4, .

If R is less than 4,

where—

  • F is final relevant earnings, and

  • R is the number of years’ service the member had left to serve in their current commitment.

But if the person is entitled to a maximum pension as a member of AFPS 2005, step 1 can be no more than half of final relevant earnings.

Step 2: take the result of step 1, and multiply by

where—

  • RS is AFRS 2006 relevant service, and

  • TS is total service.

(4) The AFRS 2020 style payment is calculated as follows—

Step 1: If TS is less than or equal to 20, the result of step 1 is 10.2% x F x TS

If TS is more than 20, the result of step 1 is 10.2% x F x 20

where—

  • F is final relevant earnings, and

  • TS is total service.

Step 2: take the result of step 1 and multiply by

where—

  • Q is redundancy qualifying service, and

  • TS is total service.