Currently States members do not get a pension, instead receiving a 15% uplift in pay. The incentive to save has been suggested to encourage States members to set an example to the rest of the island.

Here are the steps in Excel: To see how this all works, let’s look at an example. In Figure 1, I compare a lump-sum offer of $500K to the 100% joint survivor pension option, which is $25K a year.