Retirement Choice: 2010

Abstract

Military personnel who entered service after 31 July 1986 and who are eligible and intend to serve for 20 years must choose between two retirement plans at their 15th year of service. Once the final selection is made, the choice is irrevocable. The two options are: 1. High-3 retirement plan: Retirement pay is based on the highest average basic pay for 36 months of a servicemember's career. These are usually the last 3 years. 2. REDUX retirement plan plus a $30,000 bonus paid at the 15th year of service: In return for accepting the bonus, REDUX provides smaller retirement checks. How should Marines, Sailors, Airmen, and Soldiers decide which option to take? A Department of Defense (DoD) website provides information and examples to help servicemembers. We have used a different approach that many have found useful in evaluating these retirement choices. Here, we update that work for those making the retirement choice in 2010.

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Document Details

Document Type
Technical Report
Publication Date
Mar 01, 2010
Accession Number
ADA516944

Entities

People

  • Aline Quester
  • Anita Hattiangadi
  • Lewis G. Lee
  • Robert Shuford

Organizations

  • Center for Naval Analyses

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Abstracts
  • Department Of Defense
  • Education
  • Enlisted Personnel
  • General Officers
  • Government Employees
  • Governments
  • Investments
  • Management Personnel
  • Marine Corps
  • Military Personnel
  • Money
  • National Governments
  • Naval Personnel
  • Personnel Management
  • Price Index
  • Warrant Officers

Readers

  • Military Mobilization and Reserve Forces Studies.