How Much Is an Army Pension After 22 Years

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

A career in the British Army comes with many rewards, including access to one of the most valuable public service pension schemes in the country. Serving for 22 years typically qualifies you for a substantial pension, although the exact amount depends on your length of service, rank, and which Armed Forces Pension Scheme (AFPS) you are part of.

This article explains how Army pensions work, what you might expect after 22 years of service, and how to calculate your benefits based on current rules.

Which pension scheme are you in?

Your Army pension will be calculated under one or more of the following schemes, depending on when you joined and whether you transitioned to a newer scheme:

1. AFPS 75 – for those who joined the Army before 6 April 2005

2. AFPS 05 – for those who joined between 6 April 2005 and 31 March 2015

3. AFPS 15 – for those serving from 1 April 2015 onwards

From 1 April 2022, almost all regular Army personnel were moved to the AFPS 15 scheme following changes prompted by the McCloud remedy, although earlier pension rights remain protected.

If you have been in service for 22 years, your pension is likely to be calculated across two or more schemes. Each portion is worked out separately and then combined at the point of retirement.

Immediate pension after 22 years under AFPS 75

If you served for 22 years and were in AFPS 75, you may qualify for an Immediate Pension if you enlisted before 6 April 2005 and have completed the qualifying length of service.

For most soldiers under AFPS 75:

• You qualify for an immediate pension after 22 years from your date of enlistment

• This means if you joined the Army at age 18 and served continuously, you could retire and begin drawing your pension at age 40

• You would also receive a tax-free lump sum equal to three times your annual pension

As a rough estimate:

• A sergeant or staff sergeant with 22 years of service might receive an annual pension of around £10,000 to £13,000 per year

• The lump sum would be around £30,000 to £39,000, depending on final rank and pay

Higher ranks such as warrant officers or commissioned officers would receive more.

Pension under AFPS 15

If part or all of your service was under AFPS 15, your pension will be calculated using the career average earnings method.

Each year, you build up a pension amount equal to one forty-seventh of your pensionable earnings for that year. This is then revalued annually with inflation until the date you retire or draw your pension.

After 22 years of full-time service, you might have built a deferred pension worth approximately:

• £7,000 to £12,000 per year, depending on your average salary over your career

• This is payable from age 60 or later unless you choose to take a reduced pension earlier

AFPS 15 does not provide an immediate pension after 22 years unless you are medically discharged or qualify for Early Departure Payments.

Early Departure Payments (EDP) under AFPS 15

If you serve for at least 20 years and are aged at least 40 when you leave, you may qualify for Early Departure Payments under AFPS 15.

With 22 years of service, you could qualify for:

• A monthly income equal to at least 34 percent of your deferred pension, rising each year with inflation until your pension age

• A tax-free lump sum of 2.25 times your deferred pension

This is not a full pension but provides income until your actual pension starts at age 60 or later.

Medical discharge pensions

If you are medically discharged from the Army before or after 22 years of service, your pension will be assessed differently, based on your medical grading and whether you can work again.

You may be entitled to:

• An immediate pension

• A tax-free lump sum

• Ongoing income depending on the severity of your condition

Each case is considered individually under Tier 1, Tier 2, or Tier 3 assessments.

Example calculation

Let us consider an example. A regular Army staff sergeant earns around £42,000 annually and leaves the Army after 22 years, having served under both AFPS 75 and AFPS 15.

• AFPS 75 portion: 15 years of service may provide an immediate pension of around £9,500 per year

• Tax-free lump sum from AFPS 75: £28,500

• AFPS 15 portion: 7 years career average earnings built up to a deferred pension of around £2,000 to £3,000 per year, payable from age 60

• If eligible for EDP, they may receive an income of £1,500 to £2,000 per year from age 40 to 60 in addition to the lump sum

These figures vary based on rank, exact length of service in each scheme, and pay progression.

How to check your Army pension

For an accurate projection:

• Contact Veterans UK for a personal pension forecast

• Access the AFPS pension calculator via Defence Gateway if you are still serving

• Speak to your unit administration officer or Service Personnel and Veterans Agency

It is recommended to start this process at least a year before leaving service.

Final thoughts

After 22 years in the British Army, your pension could range from an immediate income of £10,000 to £15,000 per year to a combination of deferred and early departure benefits, depending on your entry date, scheme membership, and final rank.

The Armed Forces Pension Scheme provides reliable, inflation-protected income in retirement and remains one of the most generous in the public sector. To make the most of it, understand which scheme applies to you and request a personal forecast before you transition to civilian life.