Military Retirement
When Services Really Pay

When somebody has done something good, it is right to provide him or her some rewards. For all the hardships and continuous service to the community, a worker is entitled to all the required benefits in exchange for all the services that he or she has done.

It is for this reason that retirement benefits are extremely important. It is solely the best gratification one could ever have after so many years of working hard.

In the military, people who work for the government and for their respective community should likewise be entitled to receive the benefits that are due for them.

Basically, military retirement is available in three remuneration plans. These plans were authorized by the Congress, which are entitled for every military personnel who have rendered the needed services to the government and to the whole country as well.

Military retirement plans are unique on its basic concept inclusive of the service dates, in which the amount of retirement benefits will be based from.

These military retirement benefits involve the “primary service dates” that provides the DIEMS or the “Date of Initial Entry into Military Service” and the service date as stipulated in the Title 10, Section 1405 of the United States Code.

For a complete understanding of the benefits in military retirement, here is a list of the three remuneration plans.

1. DIEMS before September 8, 1980
For military personnel whose DIEMS is before September 8, 1980, the military retirement benefit is based on the product of the military personnel’s monthly income and the 2 ½% of the concerned personnel’s years of service.

This plan is known as the present military retirement plan.

2. DIEMS between September 8, 1980 and July 31, 1986
Any military personnel whose service dates falls between September 8, 1980 and July 31, 1986, the expected retirement pay is the product of the 2 ½ % of the personnel’s years of service and the average of a personnel’s “highest 36 months” of the basic take-home pay based on the days of active duty.

This military retirement plan is known as the “High 36/50 Percent Plan.”

3. DIEMS on or after August 1, 1986
Any military personnel whose DIEMS is on or after August 1, 1986, the amount of the expected retirement benefit is the product of 2 ½% of the personnel’s years of service, but less than 1% for every year of service that is below 30 years, and the average of the personnel’s maximum income on a 36-month remuneration.

This plan is called “High 36/40 Percent Plan.”

Indeed, any of these three plans will definitely give the military people enough financial aid by the time they retired from service.