Don't be fooled by the figure of lump sum payments when discharged from the military. If you take a lump sum payment for any of the disabilities you gained through military service, these will affect your overall pension total. Your leave and superannuation payments are not part of this, just anything disability related.

You have to work this out for yourself, whether its better to take a lump sum payment, or the higher pension. For example, if your 50 years of age when diagnosed with PTSD, then you could be better off taking a lump sum payment with reduced pension, that way you can enjoy your money before death. If your 30 years of age, then your probably better off taking no lump sum payment, and having the increased pension rate, as your theoretically going to live longer than someone aged 50 currently, thus you will actually gain more in the long term from the increased pension, than a lump sum with reduced pension.

The facts of the matter are, people are living longer. Medicine, the way of life, etc etc, are all contributing factors to this. If you live until your 85 years of age, and are diagnosed with severe PTSD at 30, then that's another 55 years of living, where a higher pension rate is definately going to favour you than taking a lump sum with reduced pension rate for the next 55 years.

See my point? All I'm suggesting, is that you think about it, don't be impressed by big money amounts straight up, and look to the future, not the now!