I have been meeting more and more young people who are in various branches of the military. I was told by 3 marine recruits that, once they retire in 20 years, they will be getting $5,000/month retirement. Is this true and, if so, where is all this money going to come from? Will it REALLY be there, as promised?
2007-11-04 01:14:08 · 7 answers · asked by Henpecked 4 in Politics & Government ➔ Military
This figure is probably true. It depends on the rank of these individuals. The retirement pay is based on the active duty rank.
In addition to retirement, they also get health insurance.
You also need to consider that the military pay is often below the civilian pay for the same job.
For instance, American contractors are often paid more than three times the regular pay of soldiers in Iraq.
The retirement benefit is a big aspect in retaining the soldiers - it is a good thing.
2007-11-04 01:24:24 · answer #1 · answered by Anonymous · 3⤊ 0⤋
It's not so different from a civilian pension or retirement package.
There are several different ways to caculate military retirement pay. (See link below.) Most members get 50%of their base pay (excludes housing and other allowances) if they retire at 20 years. The actual pay depends upon their rank at retirement. They also get medical care. There is also a cost of living adjustment to keep up with inflation.
The funding comes from tax revenues just like other federal programs. However, the amount spent on military retirement benefits is miniscule compared to Social Security.
2007-11-04 10:40:03 · answer #2 · answered by World Traveling Woman 2 · 2⤊ 0⤋
Yes the money will be there, except for one other thing. The total number of military retirements is minuscule compared to the tidal wave one new Social Security recipients who will begin to flood the system in earnest in about ten years. The problem with SS is the program was never supposed to be a retirement system. When it was enacted in the 30's the average life span was 47 years and the benefit age was set at 55. This was envisioned as a fund to help those who were ancient, feeble and unable to care for themselves. As we have improved our health care, lifestyles, and preventive care our average life spans have increased drastically, while the SS retirement age has not kept up. to return to the intent of the program and keep it from bankrupting the US, we need to cut back on benefits, make it a disability fund, and/or raise the age to begin getting benefits to 80 or 85.
2007-11-04 09:29:31 · answer #3 · answered by MSG 4 · 0⤊ 4⤋
Take into account that $5,000 now and $5,000 in twenty years are two different things. You may be impressed with that amount now. But, it could be chump chains two decades from now when those men retire.
2007-11-04 09:31:20 · answer #4 · answered by penhead72 5 · 2⤊ 1⤋
One deal that the government never backs out of is military pensions. And it makes perfect sense, they would have a revolt of the active duty military if that were to happen.
2007-11-04 09:26:46 · answer #5 · answered by Yo it's Me 7 · 3⤊ 0⤋
No matter who is president when they retire, because of totally empty wallet and war materials bill left by Bush it will most likely have to be borrowed. No sure of exact figure, it is high but to get to amount your talking about in fine print is listed rank you would need to reach, and in very fine print is stipulation to get it you'd could not resign your rank or in other words you could get called up anytime.
2007-11-04 09:32:15 · answer #6 · answered by Mister2-15-2 7 · 1⤊ 3⤋
The money will, likely, never be given out. If it does, it can onyl be raised through taxes or treasury bonds.
2007-11-04 09:21:31 · answer #7 · answered by baddius 3 · 0⤊ 4⤋