Accession Number:

ADA516944

Title:

Retirement Choice: 2010

Descriptive Note:

Final rept.

Corporate Author:

CENTER FOR NAVAL ANALYSES ALEXANDRIA VA

Personal Author(s):

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

Report Date:

2010-03-01

Pagination or Media Count:

38.0

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 servicemembers 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.

Descriptors:

• *RETIREMENT
• *MILITARY PERSONNEL
• FINANCIAL MANAGEMENT
• SALARIES
• CAREERS
• PLANNING
• INVESTMENTS
• DEPARTMENT OF DEFENSE
• PERSONNEL MANAGEMENT

Subject Categories:

• Personnel Management and Labor Relations
• Military Forces and Organizations

Distribution Statement:

APPROVED FOR PUBLIC RELEASE