How Much is an Army Pension After 22 Years in the UK?

For those serving in the British Army, a military pension is one of the most valuable benefits of long-term service. If you have completed 22 years of service, you may be wondering how much your pension will be worth upon leaving the Armed Forces.

The amount you receive depends on which Armed Forces Pension Scheme (AFPS) you are part of, your rank, and whether you qualify for an immediate pension or must wait until pension age. This guide explains how Army pensions are calculated, what you can expect after 22 years of service, and how different factors may affect your final pension amount.

Which Armed Forces Pension Scheme (AFPS) Are You Under?

The UK Armed Forces Pension Scheme has changed over the years, and the rules for calculating pensions vary depending on when you joined. The main schemes include:

• AFPS 75 – For those who joined before April 2005.

• AFPS 05 – For those who joined between April 2005 and March 2015.

• AFPS 15 – For those who joined on or after April 2015.

If you have served for 22 years, you may have built up entitlements under more than one scheme due to pension reforms.

How is an Army Pension Calculated After 22 Years?

The way your pension is calculated depends on which scheme you are under:

AFPS 75 (Final Salary Scheme)

• Soldiers who complete 22 years of service qualify for an immediate pension upon leaving.

• The pension is based on final rank and length of service.

• A tax-free lump sum of three times the annual pension is also paid on retirement.

AFPS 05 (Final Salary Scheme with Deferred Pension)

• No immediate pension is paid unless retiring at age 55 or later.

• Instead, a deferred pension is paid from the age of 65.

• A tax-free Early Departure Payment (EDP) may be available for those with at least 18 years of service and aged 40+.

AFPS 15 (Career Average Scheme)

• Pension is based on career average earnings rather than final salary.

• No automatic immediate pension after 22 years; pension is payable from state pension age.

• Those who leave after at least 20 years of service and aged 40+ may receive an Early Departure Payment (EDP).

How Much Pension Can You Expect After 22 Years?

The actual amount varies based on rank, length of service, and the pension scheme. However, here are estimated figures based on historical data:

• Private (AFPS 75) – Around £10,000–£12,000 per year, plus a lump sum of £30,000–£36,000.

• Sergeant (AFPS 75) – Around £15,000 per year, with a lump sum of approximately £45,000.

• Warrant Officer (AFPS 75) – Around £20,000 per year, plus a lump sum of £60,000.

For those under AFPS 05 or AFPS 15, the pension amount will generally be lower immediately but can be supplemented by an Early Departure Payment (EDP) if eligible.

What is the Early Departure Payment (EDP)?

The EDP is a financial bridge for those who leave the Army before reaching full pension age. It is:

• Paid until the deferred pension starts (age 65 for AFPS 05 or state pension age for AFPS 15).

• Based on career earnings and length of service.

• Includes a lump sum payment and monthly income.

Can You Increase Your Army Pension?

There are ways to boost your pension benefits, including:

• Additional Voluntary Contributions (AVCs) – Extra pension savings alongside your main scheme.

• Longer Service – Staying in the Army longer increases your pension entitlement.

• Combining Pensions – If you have civilian pensions, you may be able to transfer or combine them.

Final Thoughts

After 22 years in the Army, your pension amount depends on which scheme you are part of, your rank, and whether you qualify for immediate payments. Those under AFPS 75 receive an immediate pension and lump sum, while those under AFPS 05 or AFPS 15 may receive an Early Departure Payment and a pension at a later age.

If you are unsure about your pension entitlement, you can request a forecast from Veterans UK or seek advice from a military pensions specialist.