Singapore legislation

Regulation 4

of Sultan Hussain (New Scheme for Payment of Annuity or Commuted Gratuity) Regulations

Regulation 4

Option for commuted gratuity

Subregulation 1

Subject to this regulation, a relevant person to whom an annuity is to be granted under regulation 3 may, at his option exercisable in accordance with this regulation, be paid a commuted gratuity ascertained in accordance with paragraph (4) in lieu of the annuity.

Subregulation 2

The option under paragraph (1) may be exercisable by a relevant person at any time.

Subregulation 3

If a relevant person has exercised the option under paragraph (1), his decision shall be irrevocable.

Subregulation 4

The commuted gratuity referred to in paragraph (1) shall be a lump sum equal to the net present value of the outstanding future stream of annuities payable to the relevant person under regulation 3 and discounted at such rate as the Minister may determine.