Military Advantage

Retiree COLA Reduction Delayed

By Bryant Jordan - Military.com

A move to reduce retirement pay increases for future career service members by 1 percent lower will not go into effect for another year under the 2015 defense budget agreed to by the Senate and House armed services committees.

The provision, which is targeted toward working-age retirees -- those under 62 -- has been criticized by military associations and veterans groups since it was first proposed in 2013 as a way to rein in spending.

Delaying the start of the COLA-minus-one plan until Jan. 1, 2016, means anyone entering the military over the next year and remaining in for a full career will be exempt from the provision.

The National Defense Authorization Act still must be voted on House and Senate, which is scheduled to occur before Christmas.

Read the rest of Bryant's story on Military.com.

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