Report of the Tenth Quadrennial Review of Military Compensation. Volume 2: Deferred and Noncash Compensation

Abstract

The military compensation system includes a complex package of cash, deferred, and noncash benefits. In general, this system works effectively to attract and retain the high-quality personnel needed in the uniformed services of the 21st century. That said, there is room for improvement to increase the system's flexibility and better enable force managers to respond to changing requirements in support of national security missions. Improvements can also increase member choice, serving to enhance recruiting and retention efforts in the uniformed services. Volume 1 of the Report of the Tenth Quadrennial Review of Military Compensation (10th QRMC) covered cash compensation the single largest component of military compensation. This volume, Volume 2, builds upon that effort with the results of the QRMCs evaluation of deferred and noncash compensation an evaluation that examined military retirement, health care, and quality of life programs. Cash compensation accounts for almost half of service members compensation; deferred, or future, benefits another 31 percent; and noncash compensation, such as health care, educational benefits, and many quality of life programs, the remaining 21 percent. The combination of deferred and noncash compensation is significantly higher than what is typically seen in civilian compensation plans, where these elements account for only one third of employee compensation. As compensation tools, deferred and noncash (or in-kind) benefits present unique challenges to force managers seeking to optimize the use of compensation resources. They are less efficient, their value is less easily understood by military personnel and their families, and, at least in many cases in the current system, they are relatively inflexible.

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Document Details

Document Type
Technical Report
Publication Date
Jul 01, 2008
Accession Number
ADA484580

Entities

Organizations

  • United States Department of Defense

Tags

Communities of Interest

  • Biomedical

DTIC Thesaurus Topics

  • Business Administration
  • Employment
  • Enlisted Personnel
  • Families (Human)
  • Health Services
  • Management Personnel
  • Medical Personnel
  • Military Medicine
  • Military Personnel
  • National Security
  • Organizational Structure
  • Patient Care
  • Personnel Management
  • Physicians
  • Recreation
  • Students

Readers

  • Military Mobilization and Reserve Forces Studies.
  • Systems Analysis and Design