How to apply for the Pension Scheme
An online guide to applying for the Royal Navy’s pension scheme.
article This is a simplified guide to the Royal Naval Pension Scheme (RNPS) and how to apply.
For more information, see: What is the RNPS?
Who are the RNSP?
The RNSP was established in 2008 by the Government to fund the future of the Royal Australian Navy.
It is administered by the Department of Defence, which administers the Defence Force.
The RNPS is a pension scheme that can be claimed for up to three years from the date of the initial grant, and has a maximum lifetime pensionable earnings (MLPE).
The MLPE is paid into a pension fund which is then invested in Australian Government securities.
This investment pays dividends to the RNSA, which provides support to the Defence Forces and the RNPLF.
The amount of a pension is calculated on the basis of your age and your pensionable years of service.
There are two types of pensions: the standard pension, which is the maximum pensionable year, and the special pension, for which the maximum MLPE can be reached.
The standard pension is a monthly lump sum payment, which can be used for any service, and is payable by the person receiving the pension.
The special pension is paid out as a lump sum monthly payment, and can be spent as you please.
To get a pension, you need to have been employed for at least six months and be eligible for the pension scheme for that period.
A person who has been retired for less than six months will not be eligible.
The Royal Navy is funded by the Commonwealth through a tax on the sale of defence goods and services.
There is no direct tax deduction for the RNSC, but the government will provide a lump-sum payment of $6,400 per year for every year spent on the RNSS (a lump sum amount will be calculated for each person who uses the pension fund).
A person is eligible for a pension if they: are eligible for benefits under the RNST, or have been a service member or a member of the RNIA for at less than 18 months, or are entitled to the pension as a result of the employment of a service person; are entitled under the Australian Government Pension Scheme; and have been working at least 18 months for the purpose of receiving a pension.
If you are an employee of the Commonwealth or the RNMA who is eligible to receive the RNSB, the RNBS or RNSC you have been paid for service on will entitle you to a pension of up to $6.5 million.
A pension can only be claimed if you are eligible.
To claim a pension or for information about the RN SC, please contact the Department for the Navy and the Marine Force (DNFM), 1300 938 459.
For information about a particular person who is entitled to a payment, please see their current pension entitlement.
Who can claim the RNSW?
There are four types of RNSS that are eligible to be claimed.
The first is the ‘first-in-line’ type, which are those who have been on the payroll of the Defence Department for more than six years.
They are entitled, on average, to a lump amount of $18,000.
The second is the second-in of the line type, and are those that have been entitled to an annual payment for more that three years.
The third is the third-in line type and are eligible who have worked for the Defence Service for at at least five years.
Finally, there is the fourth type, called the ‘third-in’, and is those that are the beneficiaries of the pension for the past five years, and who have received an annual pension of more than $30,000 in a lump or cash lump sum.
For further information, please refer to the Department’s website.
When can I claim the Royal National Service Pension Scheme?
If you have had a salary and other benefits that were funded by a Commonwealth Government fund for at most two years and were subsequently terminated, you can claim an RNSS payment from the RNSPA (the Royal Navy Pension Scheme) or the Commonwealth Pension Scheme, or both.
To do this, you must have been receiving a salary, including pay, as a member or an employee, for at the time the termination occurred.
If the pay has been terminated after you have reached age 65, you will have to wait until your 70th birthday to claim the pension, so if you want to be eligible you should wait until then.
If your retirement age is over 65, it is your responsibility to apply to the Australian Federal Government for a change in your pension entitlement, which may involve a request to take out a new pension.
You can find out more about this by visiting the Australian Taxation Office website.
If I have been retired from the Australian Defence Force and have no claim on the Royal New Zealand Navy pension scheme, what will happen if I have no pension in my lifetime?