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Tax Advantage Retirement Savings for the Military
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The erosion of the military retirement system is a contributing cause to readiness problems in the Air Force. It is time to change the retirement system to one which provides more to the military member than the current plan implemented under the Military Retirement Act of 1986 (commonly referred to as REDUX). The introduction previews the problem, its background and its significance. In chapter 2, the history of the military retirement system is analyzed to provide the reader with the necessary background of why the retirement system is structured in its current format and what legislative ac...
The erosion of the military retirement system is a contributing cause to readiness problems in the Air Force. It is time to change the retirement system to one which provides more to the military member than the current plan implemented under the Military Retirement Act of 1986 (commonly referred to as REDUX). The introduction previews the problem, its background and its significance. In chapter 2, the history of the military retirement system is analyzed to provide the reader with the necessary background of why the retirement system is structured in its current format and what legislative action led to the current plan. In the next chapter, the affects of the retirement plan on military readiness is analyzed, specifically, its impact on retention, recruitment and morale. Chapter 4 covers the possible changes to the retirement plan now under review by various agencies. In chapter 5, the author outlines his proposal to improve the retirement system. The basic REDUX plan remains, however he proposes an immediate basic pay raise and a vehicle for tax advantaged savings. Next, he suggests a new investment strategy for the military retirement account. This change will help defray the cost of the immediate increase in basic compensation. Finally, chapter 6 concludes the project with a summary of the paper and urges the changes proposed in chapter 5.
