Feb 8, 2015

Panel's Retirement Claims Draw Skeptics

"...Claims that a new proposal for overhauling military retirement may give service members a bigger and more lucrative benefit in the end are facing initial skepticism from military compensation and pension experts.

"It is premature to say whether this is better or worse because there are so many variables that are as of yet undefined," said Scott Spiker, CEO of First Command Financial Planning, a Texas-based company that specializes in helping military families manage their money.

The Military Compensation and Retirement Modernization Commission's highly anticipated report released Jan. 29 calls for shrinking pensions for military careerists by about 20 percent and creating a new benefit of 401(k)-style contributions for troops who leave before reaching the 20-year milestone.

At the core of the report are charts comparing the current military retirement system with the commission's proposed "blended" system..."

Read more at militarytimes.com