LTA % Used Calculation from EQUINITI
Al - superb posts as always!
Learned a lot from this particular LTA discussion but still not sure of how AFPS 05 LTA % used calculations are done by Xafinity and now EQUINITI ( not the preserved pension x 20 + .tax free lump sum ..bit, but how they derive the "% LTA used" figure).
Having retired after 25 yrs, OF5, AFPS 75 transition to 05 , I have received EDP statements since 2008 stating my Standard LTA used = 91.32%. This figure has not changed even though the value for LTA has been chipped away from £1.8M down to £1.25M. Surely a LTA USED % figure would change as the LTA figure was varied? I phoned them for clarification a year or so ago when the protection debate heated up and they wrote back confirming that the LTA I have used is 91.32% and this is what is in their records.
Apart from in not changing with a reducing LTA (not complaining) but this seems far too high a % figure for an OF5 retiree- salary and therefore pension ain't anywhere near 2* levels - isn't it at * rank when LTA maxing out is an issue?
91.32% is too close to LTA allowance allowed before tax when receiving second career pension contributions from generous employer - a point you have stressed to forum many times.
Question : is this 91.32% a figure realistic for "LTA used" after 24 yrs service, finish as OF5, AFPS 05? Seems too high.
Thanks Al