Congress: “Bah Humbug” to Military Retirees

Military retirees are getting the short end of the stick in the budget deal struck by Rep. Paul Ryan (R-Wis.) and Sen. Patty Murray (D-Wash.).

According to the Associated Press, the budget deal:

Reduces retirement benefits for working-age military retirees, including those who retire early because of disability. Starting Dec. 1, 2015, the cost-of-living adjustment for pensions received by people under 62 would be modified to equal inflation minus 1 percent. Upon reaching 62, retirees would receive a “catch-up” increase that would restore their pensions to levels as if the cost-of-living adjustment had been the full consumer price index in all previous years. The change would save $6 billion.

The Iraq and Afghanistan Veterans of America (IAVA) put it this way:

Iraq and Afghanistan Veterans of America (IAVA) today joined U.S. Senators and other leading military and veterans groups calling on Congress to reject a key component of the Congressional budget agreement that would reduce the annual cost-of-living adjustment for military retirees and survivors, leading to a 20 percent cut to retirement benefits over the course of their lives.

According to Military.com, “The cumulative effect would be to cut the lifetime value of military retirement by roughly $83,000 for a typical enlisted member who retires at age 40 after 20 years’ service. The typical officer retiring at age 42 after 20 would lose about $124,000.”

I imagine most of the people who voted for or against the bill probably did not know about the military retiree provision in the bill. Sadly, most people serving in Congress (and their staffers) never served in the military and probably don’t really care that much about military retirees.

That was evident in this Washington Post report:

In justifying the change, Ryan’s House Budget Committee called military retirement “an exceptionally generous benefit, often providing 40 years of pension payment in return for 20 years of service.”

I am sure most military retirees would trade their “exceptionally generous benefit” for Rep. Paul Ryan’s meager retirement benefit as a member of Congress.

The budget bill passed the U.S. House 332-94 and passed a cloture vote in the Senate 67-33. It is scheduled for a final vote today. Montana’s Congressman, Steve Daines, voted against the bill in the House because he said it “does not provide Montanans with a much-needed solution to our debt crisis.”

While I applaud the compromise from the Republicans and Democrats, Congress needs to fix the military retiree provision as soon as possible. From what I have heard and read there is some bipartisan support to change it, but it won’t be changed until after the holidays. The House has basically wrapped up their work for the year.

Sadly, the House and Senate essentially said “Bah Humbug” to military personnel and retirees during this holiday season.

 

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5 thoughts on “Congress: “Bah Humbug” to Military Retirees

  1. Come on Mike, do you really expect Daines to comment on every portion of the Bill and can’t you admit his vote was in your favor and that of the retirees and active military. We’ll see how Baucus and Testor vote, I bet they are all for it!

    • Barry – If Daines (and his staff) were on top of their game, they should have seen the military issue beforehand and capitalized on it. We don’t really know if he read the bill or not or went with what the Tea Party Express told him.

      Although I don’t agree with retiree section and I think it will be changed I am glad they came to a compromise. It’s fair game to use against those who vote for it. I expect Baucus and Tester to vote for it. There were about 10 Republicans who voted for cloture and will probably support final passage. -JmB

  2. As I posted previously, this administration will take from the military your Tricare benefits but didn’t see the reduction in retirements coming. As much as you dislike Steve Daines, his vote was in your favor!

    • Hey Barry – Merry Christmas! I think Congress will fix the military retiree problem in January. As for Daines, did he even know about the problem with military retirees before his vote – he never mentioned it in his statement. He and/or his military staffer should have been all over this. Daines has got to decide what he is – a Tea Party Republican or moderate Republican or in campaign mode all the time instead of waking up each day and checking the wind direction. -JmB

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