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Retirement Plan Hurting US Military: Study

'Inequitable, inefficient' system handcuffs brass, needs overhaul

By Dustin Lushing, Newser Staff

Posted Aug 5, 2008 2:45 PM CDT

(Newser) – The retirement plan for the US military is "inequitable, inflexible, [and] inefficient," says a study released today by the Pentagon. It recommends the current system be swapped for a combination of cash and deferred compensation that kicks in with as few as 10 years of service, the Military Times reports, instead of the current 20-years-or-nothing version.

“The compensation system is actually shaping the force, rather than having the force managers be able to do any force-shaping,” said a former Defense official. A new program, with cash and deferred pay, he argues, would cost the government less while providing more benefits to service members. And with soldiers staying enlisted longer, recruiting costs would also be reduced.

Officials tell the Military Times that the vast majority of those who serve never come close to qualifying for retirement pay under the current 20-years-or-nothing system. (AP Photo)

"The compensation system is actually shaping the force, rather than having the force managers be able to do any force-shaping," a former official said of the Pentagon's predicament. (AP Photo)

A quadrennial review recommends a broad overhaul for the US military's retirement and compensation plans, including incentives for reaching time-served milestones. (AP Photo)

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Retirement Plan Hurting US Military: Study

'Inequitable, inefficient' system handcuffs brass, needs overhaul

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Islamic Extremist Gets Life for Killing 2 US Airmen

Arid Uka shot at servicemen in Frankfurt last year

Marine Corps Snipers Posed With Nazi Logo

Scout sharpshooters stood with flag whose logo resembles that of SS

US Military Looking for Foothold in Philippines

But doesn't intend to reopen bases

Pentagon Opens More Jobs to Women

Females will still not be able to serve as infantry, however: sources

Pentagon Weighs Syria Options

Arming rebels not being considered 'right now'

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Retirement Plan Hurting US Military: Study

'Inequitable, inefficient' system handcuffs brass, needs overhaul

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OTHER STORIES ON OUR RADAR

US military • retirement • US troops • US Army

MOST POPULAR STORIES

[ By Views ]

[ By Comments ]

More Newser Stories

Islamic Extremist Gets Life for Killing 2 US Airmen

Arid Uka shot at servicemen in Frankfurt last year

Marine Corps Snipers Posed With Nazi Logo

Scout sharpshooters stood with flag whose logo resembles that of SS

US Military Looking for Foothold in Philippines

But doesn't intend to reopen bases

Pentagon Opens More Jobs to Women

Females will still not be able to serve as infantry, however: sources

Pentagon Weighs Syria Options

Arming rebels not being considered 'right now'

About Us

Site

Newser By Users

Community

Site Maps

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What is Newser?