Considering rejoining!

[Dan_Brown]

The commutation lump sum is like a loan. You undertook to repay the loan between your date of discharge and age 55. If your pension is in payment, the repayments come from your pension before tax. If your pension is not in payment, the repayments come from your pay after tax.

So, if you are repaying from your pension before tax, it is going to be an advantage to the tune of the tax you are not paying on the amount you are repaying.

Wut?!

 

[busby1971]

It costs more to pay it back if you rejoin, because it comes out of nett income, whereas if you don’t rejoin it comes out of gross income, probably wasn’t worth commutating in the first place.

 

[the_worrier]

Depends how bored/fed up in civvy st a person is!

 

[muttywhitedog]

Handing back £30,000+ and doing the job for 66% of the salary means you must be pretty bored!

 

[justintime129]

Depends how bored/fed up in civvy st a person is!

Can't you go back part time so you can still get your full pension plus the part time wage, which if you are smart enough won't take you over the full time wage.

 

[the_worrier]

Update..... commutation reduced my annual award (pension) by £2.5K. Having been back in service since late Mar 20 I now pay just under £200 /month from my pay (after tax) ‘for the privilege’ of being back in the RAF. Maybe I am mad but I am content with that as I have had the money which was used to reduce my mortgage. I’d be cheesed off it it had gone on a car or some other depreciating asset!

 

[vim_fuego]

Update..... commutation reduced my annual award (pension) by £2.5K. Having been back in service since late Mar 20 I now pay just under £200 /month from my pay (after tax) ‘for the privilege’ of being back in the RAF. Maybe I am mad but I am content with that as I have had the money which was used to reduce my mortgage. I’d be cheesed off it it had gone on a car or some other depreciating asset!

is it everything you hoped it would be? Any reductions in the T’s & C’s that have fecked you off? How’s morale? Better or worse than when you left the first time around?

 

[the_worrier]

Well its early days but I have bagged a free 4 month holiday! I’m off to Bagram early next year.

I would say things seem more or less the same so far. I’m happy with my decision.