Posted on Nov 20, 2013
SGM Matthew Quick
7.59K
27
15
3
3
0
High-3 to High-5?

Military retirement pay is calculated, in part, on the average basic pay over a service member’s three highest earning years in uniform, almost always the last three. As part of a larger reform in government retirement, the Congressional Budget Office (CBO) said $2.1 billion could be saved over 10 years if retirement pay was calculated on average basic pay over a service member’s five highest earning years in uniform.

The CBO envisions applying the change to those who retire starting Jan. 1, 2015. The net effect would be an average 3 percent reduction in the lifetime value of military retired pay.
Posted in these groups: Retirement_logo Retirement38326e5d Military Pay
Avatar_feed
Responses: 7
MSG Curtis Lange
7
7
0
This should not apply to Soldiers with a Basic Active Service Date prior to the date of the retirement law change. Precedence is that changes made to retirement in a negative way do not apply to Soldiers on active duty or return to active duty in a way that the date used for retirement calculations. Look at implementation of the 15-year payment and retirement calculation with lower percentage with a one-time adjustment, change from high-pay to the high-three (got me on that by about 2-months prior to DEP), or changes in calculation of leave payment back 1974 or 1975.

This is saving money at the expense of Soldiers, Sailors, and Airmen serving in combat environments. Not likely to be a positive for politicians seeking reelection in areas with large military voting populations.
(7)
Comment
(0)
Lt Col Luis A. Rojas
Lt Col Luis A. Rojas
>1 y
I concur...those already on active duty should and probably will be grandfathered.
(1)
Reply
(0)
LT Regional Practice Manager, Hwsl
LT (Join to see)
5 y
I agree, but remember the Ryan act? That crap would have impacted even those already retired. Thank God it was repealed quickly.
(1)
Reply
(0)
Avatar_small
CPT Battalion Adjutant
4
4
0
I did the math on it, looking at several pay grades and lengths of service. The cut does not seem that drastic, but on principle I don't support any cut to military may or benefits that is not preceded by cuts to congressional pay and benefits.
(4)
Comment
(0)
Avatar_small
LTC Joseph Gross
2
2
0
I have to agree with MSG Lange and hope he is correct. The three current retirement plans, really four when you include redux, were all based on BASD. Also I can't see anything perceived as being bad for the Soldiers passing. That is the political world we live in.

And I'm retiring in just under two years so they better hold off!
(2)
Comment
(0)
Avatar_small

Join nearly 2 million former and current members of the US military, just like you.

close
Seg?add=7750261&t=2