Determining a Discount Rate for Calculating Lump Sum Payments to Eligible Military Retirees

Abstract

The Department of Defense (DoD) established the Blended Retirement System (BRS) in fiscal year 2016.Among other provisions, the new retirement system provides military personnel who retire after 20+ years of service with an option to cash out a portion of their retirement annuity upon separation. This provision was designed to give retirees greater choice in how to realize their retirement benefit. The Secretary of Defense was responsible for determining how to calculate the lump sum payments offered, and DoD turned to IDA for assistance.

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Document Details

Document Type
Technical Report
Publication Date
Jul 01, 2019
Accession Number
AD1122243

Entities

People

  • Stanley A. Horowitz

Organizations

  • Institute for Defense Analyses

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Conversion
  • Department Of Defense
  • Enlisted Personnel
  • Executives
  • Governments
  • Management Personnel
  • Military Personnel
  • Military Separation
  • National Governments
  • Simulations
  • United States Government

Readers

  • Life Cycle Cost Analysis
  • Military Mobilization and Reserve Forces Studies.