15 Year Military Retirement??

[arvie.mcdaniel]

What are the implications for the services if Department of Defense approves a Temporary Early Retimement Authority similar to the drawdaown after the Persian Gulf War in the early 1990's? Is there potential to lose "the best and brightest" and be stuck with a hollow force? After more than 10 years of war, is the force too worn out to keep going for a twenty year career?

[Stan]

Arvie,
Welcome aboard !

You have a valid point and some of the best will be lost with cash in hand and off to greener pastures. But the obvious purpose behind TERA is a mixed bag unless you get into how the USG manages money (which they don't). In addition to needing a draw down of forces...

TERA retirements are drawn from a smaller pay account until the date the service member would have completed his or her 20 years of active service; so until that 20-year date, the retiree will have a reduced retirement benefits package. Medical eligibility is the same as for other retirees and their families, but other benefits, such as life insurance, are reduced until the eligibility date for a 20-year retirement.

More importantly, the difference between a 38 percent of-base-pay-rate with the 15-year retirement and the 50 percent for a 20-year retirement, over the average life of a retiree, can be substantial.