Confusing pension plans and IPS

[pmoores]

Just spent a hour at a pension breifing and the new pension plan with the SMEE for the subject. He couldnt give the anwser. Stated that to call him in 30 days after hes assumed his new job as a civilian in charge of the pension plan.

Heres my scenario, 18.5 years in out of 20. Signed my IPS contract 1 year ago. Now this year the new policies come in to effect (differed pension to 50 etc).

He could not answer what happens.

In the past, you pass 20, you get 2% more per year. 5% penalty per year under 25 on the years after 20 but before 25. Standard stuff.

But he could not state the final numbers for someone on the grandfathered policy that stayed beyond 20 AFTER March 1st of this year but continued into their IPS.

My personal goal was 25 years then retire.

So what is the bottom line, if I got out at 23 years would I still get a 46% pension less 10% of year 21-23 and KEY at the day I leave? I really do want to stay in but not at the cost of having a pension differed to 50 (with penalities) or wait to 60.

 

[George Wallace]

That is a good question and one that you will have to sit down with your RMS clerk and discuss.

It is my impression that if you are "Grandfather Claused" your pension will remain as per the former plan.  Your problem may lie in the fact that if you get IPS, then you are in essence 'signing' a new contract, and may then have to fall under the new rules.  This is why you will have to see your RMS clerk for the official word.


Also interesting to know that your SME who couldn't answer your question is now stepping into the civilian job in charge of this pension plan.  Gives me a lot of reassurances.  :-\

 

[Rifleman62]

Very interesting indeed!!

 

[PO2FinClk]

More specifically, not just an RMS CLerk, the Release Section itself. The folks in your Release Section are truly the ones best suited to answer your question, or at the very least query DAPPP/DPS on the subject. I myself am an RMS for many moons and the direction issued as of late confuses even me, maybe that's saying somethingit shoudln't though ...

There could be a ctach where when you signed your IPS it was part of the new Pension/TOS package, and not the old fashion TOS (read old IPS) which we are all very familiar with. Either way, perhaps DAPatterson could better answer but would nonetheless contect the release folks.

 

[PO2FinClk]

My concern is that the IPS was signed after 01 Mar 05, the roll over to the TOS, which could in turn include a conversion from old-to-new once he starts serving on his IPS. That is a point which is possible based on previous and similar issues. However as I stated this should really be addressed by the folks in the Release Section, not for intent of releaseing but as information only.

Those few RMS in those positions would be the ones receiving the complete briefs and instruction on this policy administration. The average RMS would know only as much as the other unfortunately.