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Old 22nd Jul 2005, 05:57
  #157 (permalink)  
Ginseng
 
Join Date: Jan 2003
Location: England
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timex

Because the effect of any index linking would be merely to preserve the value of the payment in 2005 pounds (or whatever year the calculation has been done for), which is what you are being shown. Of course it does mean that payments which are not index linked (EDP prior to 55 and AFPS75 pension prior to 55) will reduce in value for each passing year after retirement. It is left to you to judge the affect that inlfation may have on your payments throughout early retirement.

Regards

Ginseng
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