Toward Efficient Military Retirement Accrual Charges

Toward Efficient Military Retirement Accrual Charges

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This report presents a theoretical model of the retirement accrual charge, critically reviews reforms suggested by past studies, and provides empirical estimates of the inaccuracy in each service's total and marginal accrual charges under the current system and indicates how this could be fixed by service-specific accrual charges with separate charges for officers and enlisted personnel.