Yes the flight lieutenant PAS and in danger of being hit by the Lifetime Allowance, but this will mainly affect wg cdrs and above, but it will begin to imact others over the next few years. I have done 32 years and, classifying myself as middle management, I don't quite meet the whole-life value yet, but will be hit if they remove the index linking of the allowance. It's an extremely regressive tax, which was brought in to stop people taking huge amounts of remuneration in a very tax efficient way. I am talking here about people who might take £1M in salary in a year and another £1M into the pension pot, avoiding a huge amount of income tax in the process. However, it has the impact of reducing the amount of time people want to work as has been raised earlier.
Within the regular RAF, it is difficult to imagine a situation where people reduce hours to 2 or 3 days a week (personally, I have always considered us to be a 24/7 organisation), but ASTRA and the Whole Force construct are moving us in that direction, and the more extensive use of reservists is allowing some very odd arrangements indeed, which allow us to tick boxes along the lines of 'yes we have person responsible for X or covering the requirement to do Y', when practically that might mean one person for one day per week or even fortnight. However, if that's what people have to do to reduce their tax liabilities, then I guess that's what they will do.
What I don't think we have seen in the article below, or in the discussion here, is anything to do with the Annual Allowance on pensions. Covered in some detail in another thread, the annual increase in the value of your pension (currently £40K) usually hits people hard on promotion (in my case I reckon on a tax bill of about 6-months net pay - to be paid in one or 2 instalments*!). If I have someone working for me in that position, should I be surprised if their dedication to the cause is not quite what it was the previous year? If the Whole Life amount is remaining the same, then I would be amazed if the 40K annual allowance (which has never been index linked) changes.
STH
*Yes there is an option to go for 'Scheme Pays', but the 'Scheme' simply removes the liability in return for reducing your actual pension when it is due.