Tag: COLA
More SBP details

More SBP details

Let me disrupt the posting schedule for a day with some additional SBP information from Monday's post. One of the book's contributors forwarded me not one but four separate SBP briefs put out by the Air Force Personnel Center. With the gracious permission of Mr. Dan McCullough, who added some clarification slides, ...

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Survivor Benefit Plan

Survivor Benefit Plan

(Thanks again to Tomcat98 for backing up my research with impressive actuarial data!) This "simple little SBP summary" mutated into a two-part description. Today we'll cover SBP for active-duty retirees and in the next post we'll cover the Reserve Component SBP. The SBP will cost you up to 6.5% of your pension, so ...

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Effect of inflation on a REDUX military pension

Effect of inflation on a REDUX military pension

Veterans entering the service after July 1986 are eligible to choose between two different retirement systems. The first system, High Three, offers a multiplier of 50% at 20 years of service and raises it 2.5%/year to 75% at 30 years of service. Each year after retiring, the pension is raised by a cost of living ...

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Military pension inflation protection

Military pension inflation protection

  Let's consider some of the details behind a military pension and its COLA. First, just like active duty pay or drill pay, the pension is paid in arrears. In this case it doesn't show up until the first of the month and it's only paid once a month. The first payment may even be delayed a week or two if the ...

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COLA calculations

COLA calculations

    The Department of Defense applies the Social Security Administration's calculation for COLAs to military pensions. Although the money comes from different agencies, the numbers are the same. The COLA for the following year (applied in January) is calculated from the third quarter of the current year. ...

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