MTSF and EVR

[thevectra]

For my info under the MTSF what can I expect for VR? I am not sure how that agreement ready reckoner works for me.I am 57 years old,am in my 22nd year at RM joined in 1988 so must be in the POPS pension scheme.Would I get 6 months pay,enhanced pension till 60 and a lump sump now ? according to my recent pension forcast if I retire at 60 I would get 40.000 lump sum,is that the lump sum I get now? or would it be 104 weeks as a lump sum ?.Or would I be better of waiting another couple of years and getting my lump sum and pension when I reach 60 without taking VR ?. What elements of this if any are tax free ? if at all. Is the 6 months pay or 104 whichever I'd get basic pay before tax and does that include any allowances.I am currently on a 4 day Tues to Fri duty 06.00 till 16.00 currently recieving ex-phg allowance and TPM allowance.What I have found on this site so far is confusing because the MTSF agreement is not the easiest to work out,so would be useful if someone could explain in laymans terms please.

[baldrick]

I didn't think that POPS paid a lump sum, unless you converted part of your pension.

But my understanding of the present EVR terms are:
If you are 57 and take EVR your 22 years would be made up to 25 - ie you would get
what your pension forecast said you would get at 60. That was your pension forecast last
year, so it should have increased by 1.5%, taking into account last year's pay rise (if you
can call it that).
You would get an additional 26 weeks pay as 'enhanced redundancy compensation'.
Any pension lump sum is not taxable, as I understand it.
The first £30,000 of any 'enhanced redundancy compensation' is not subject to tax
or National Insurance, and you are not going to get anywhere near £30k so your total
lump sum should not be taxable.

If you do not take EVR, you can take any pension accrued until March 2010 when you reach 60.
At the present time, under MTSF, you could then take VR, if it was on offer, which with 24 years
service should give you a VR payment of 104 weeks pay.

But MTSF is apparently being renegotiated, and we don't yet know how it might be changed.

[thevectra]

Thanks baldrick,that's made it much clearer now.cheers