Safeguarding Your Retirement: Learn More About Your Pensions Benefits
STATUTORY
These are benefits paid to officers who reach the mandatory retirement age as prescribed under section 33 of the pensions Act. In calculating benefits under this section, we consider the officers last annual salary multiply it by the length of service (in months) divided by age in months. The officer has the option to commute one third or two third as lump sum using an age factor prescribed in the Act.
ELIGIBILITY
Section 33 of the Public Service Pensions Act number 35 of 1996 stipulates 60 years as the mandatory retirement age of a public servant.
Formula for computation statutory retirement benefits
An officer shall retire on the Sixtieth anniversary of the date of his/her birth and the pension will be calculated as follows.
Last Annual Salary x Length of service = RP
                             Age in month
(a) Lump sum = RP * 2/3* 23.26
(b) Monthly pension = RP *1/3
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EARLY RETIREMENT
1)An officer may apply to go on early retirement at 55 years by applying 12 months before their Fifty Fifth anniversary.
2)Any member of the Defense Forces, or an officer of or below the rank of Chief Inspector in the Police Force, or an officer of or below the rank of Chief Officer III in the Prisons Service, may, on giving due notice, retire on or after attaining the age of forty-five years or after completing twenty years service whichever is the earlier.
Formula for computation statutory retirement benefits (55years)
An officer shall retire on the Sixtieth anniversary of the date of his/her birth and the pension will be calculated as follows.
Last Annual Salary x Length of service = RP
                          Age in month
(a) Lump sum = RP * 2/3* 25.84
(b) Monthly pension = RP *1/3
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BENEFITS ON RESIGNATION, DISCHARGE OR DISMISSAL
An officer or probationer who resigns/dismissed shall be entitled to a lump sum calculated as follows:
Sum of Contributions + (Sum of Contributions x Interest at Boz rate x Number of completed years the officer contributed).
NATIONAL INTEREST
An officer who retires on the abolition of his post or to facilitate an improvement by which greater efficiency or economy could be effected in the organization of the part of the service to which the officer belongs shall be entitled with effect from the date of the officers.
Their Pension is calculated as follows:
Last Annual Salary x Length of service + Last Annual Salary x Number of 3 years periods (Max of 10)
                                Age in month                              60
MEDICAL RETIREMENT
An officer who retires on medical evidence to the satisfaction of the appropriate authority that he is incapable by reason of infirmity of mind or body of discharging the duties of his office and that such infirmity is likely to be permanent shall, with effect from the date of the officer's retirement, be entitled-
(a) if the officer's pensionable service amounts to less than ten years, to a lump sum, calculated as follows:
Sum of Contributions + (Sum of Contributions x Interest at Boz rate x Number of completed years the officer contributed).
(b) if the officer's pensionable service amounts to ten years or more, to a pension calculated as follows:
(i) in the case where the officer's infirmity is, in the opinion of the appropriate authority, due to or occasioned by the officer's own default-
Last Annual Salary x Length of service
                     Age in month
(ii) in the case where the officer's infirmity is not, in the opinion of the appropriate authority, due to or occasioned by the officer's own default-
Last Annual Salary x Length of service + Last Annual Salary x Number of months to retirement x 7
                              Age in month                                  7200
DEATH LESS THAN 10 YEARS
A gratuity payable under the section shall be equal to the officer's annual pensionable emoluments as a SPECIAL DEATH GRATUITY plus a refund of the contributions plus interest at the Central Bank rate at the date of the officer's death.
DEATH 10-20 YEARS
These are benefits paid to estate of the deceased officer with a pensionable service of 10 years or more but less than 20 years. In this case the shall be equal to the officer's annual pensionable emoluments at the date of the officer's death. Where the deceased officer leaves a spouse or/and children, the spouse or/and children will be entitled to a monthly pension until death or remarriage for the spouse or until they turn 18 years for the children.
ELIGIBILITY
Section 46 (2) states that if an officer whose pensionable services is ten years or more dies and leaves children and a spouse, children's pension shall be paid a pension proportionate to the spouse' pension calculated under section 45 as follows :
Calculations
For one child - 25%
For two children - 40%
For three children - 50%
For four children - 60%
For five or more children - 66 2/3%
Sub-section (3) covers a situation where an officer leaves no spouse, the children shall be entitled to a pension proportionate to the spouse's pension calculated as follows;
For one child - 50%
For two children - 80%
For three children - 100%
For four children - 120%
For five or more children - 133 1/3%
DEATH 10-20 YEARS (REFUND)
This is where a deceased officer left no spouse and no children. A gratuity payable under this section shall be equal to the officer's annual pensionable emoluments as a SPECIAL DEATH GRATUITY plus a refund of the contributions plus interest at the Central Bank rate at the date of the officer's death.
POSTHUMOUS RETIREMENT
These are benefits paid to an officer who dies in service after a pensionable service of 20 years or more.
According to section 34, An officer who dies after completing twenty years’ service shall be deemed to have retired immediately before the date of his death.
Gratuity will be calculated as follows: -
Last Annual Salary x Length of service = RP
                           Age in month
(a) Lump sum = RP * 2/3* Age factor (eg. At age … 40yrs = 31.30, … 45yrs = 29.80 … 50yrs = 28.00)
(b) Monthly pension = RP *1/3
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MONTHLY PENSION FOR SURVIVING CHILDREN UNDER THE AGE OF 18 YEARS
Section 46 (2) states that if an officer whose pensionable services is ten years or more dies and leaves children and a spouse, children's pension shall be paid a pension proportionate to the spouse' pension calculated under section 45 as follows :
Calculations
For one child - 25%
For two children - 40%
For three children - 50%
For four children - 60%
For five or more children - 66 2/3%
Sub-section (3) covers a situation where an officer leaves no spouse, the children shall be entitled to a pension proportionate to the spouse's pension calculated as follows;
For one child - 50%v
For two children - 80%
For three children - 100%
For four children - 120%
For five or more children - 133 1/3%