Home  »  Articles   »   Military Pensions Adjusted

Articles
Military Pensions Adjusted

June 1, 2021

National Treasury

Military pensions have been adjusted.

National treasury published the new amounts in Government Gazette 44635 in terms of the Military Pensions Act.

The act refers to various formulas to be used in the determination of pension pay outs for South African National Defence Force members injured or disabled while performing military service.

In terms of formula one, factor A represents the amount as mentioned in the schedule or to be determined by the director general to a minimum of R 102 096.60 which is most advantageous to the member.

As regards formula two, factor C shall represent the amount of R14 911.80.

The notice also sets the gratuity to be paid to a member who suffers from a pensionable disability determined at 10% or less at R9 942.

The gratuity for a pensionable disability determined at more than 10% but less than 20% will be R19 882.00.

New amounts are also provided for those with a matric certificate or a three-year bachelor’s degree.

The adjusted amounts came into effect on 1 April 2020.

Other notices published include:


• Gazette 44636 – Public Finance Management Act – proposed regulations on accounting standards – Standards of Generally Recognized Accounting Practice – Employee Benefits GRAP 25 – proposed implementation date of 1 April 2023 – comment within 30 days of the date of publication;
• Gazette 44640 – Income Tax Act – proviso to the definition of “retirement annuity fund” – amount set at R15 000 with effect from 1 March 2021;
• Gazette 44641 – Unemployment Insurance Contributions Act – section 6(1) of the act to not apply to monthly remuneration that exceeds R17 712 with effect from 1 June 2021.