classic plus projected pension
As this is an illustration only, we base it on your current pensionable salary, although we will use your best year's earnings if you are closer to the projected age to give a more accurate illustration. We multiply your salary/earnings by your years of classic reckonable service by 1/80th, and multiply your salary/earnings by your projected years of premium reckonable service by 1/60th, and add the two amounts together. The projected amounts do not include any added pension you have bought. The value of this is shown on your Transaction Statement.
Example: If you are 50 at the statement date, your current salary is your best year’s earnings at £21,000 and you had 15 years’ reckonable classic service up to 30 September 2002, your projected classic pension for age 60 would be 15 x £21,000 x 1/80 = £3,937.50 a year.
Your projected premium pension for age 60 would be your premium service to date, e.g. 6 plus 10 (the number of years you have to go to 60) = 16 x £21,000 x 1/60 = £5,600 a year.
Your total projected classic plus pension would be £3.937.50 + £5,600.00 = £9537.50 a year.
You would also have an automatic lump sum of three times your classic pension (£11,812.50) and you would be able to exchange some of your pension for a higher cash lump sum.
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