Carter Describes Retirement Plan Changes

Details of key retirement-system changes, which are scheduled to take effect Jan. 1, 2018, are emerging. The Pentagon outlined its three main elements Feb. 12. Included are: a 401k-style plan, in which the Defense Department would offer matching funds, for entry-level and other service members; a mid-career continuity bonus; and a retirement plan comparable to the present one, for those who complete 20 years of service. The plan would “grandfather in” the new changes, allowing service members who now serve to continue toward retirement under the current system. Pentagon officials promised that more details will become public as the implementation date nears.