Retirement

Discussion in 'Air Force Academy - USAFA' started by Hendo, Feb 28, 2017.

  1. Hendo

    Hendo New Member

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    So when I get accepted to the Air Force academy will I be able to keep the old legacy retirement system? I would really like to stay enrolled with legacy program when the new BLended system kicks in Jan 2018. My situation is a bit odd. I am currently serving active duty and have about 2.5 years in the service. I get the fact that at the academy I am not in the Air Force technically. However, I am using a Air Force active duty program, LEAD, to get in. Does that not count for anything? I was hoping that the higher figures that handle thus would see that I had served before the academy and allow me to fall back into the legacy.

    Is there any document I would need to have finance sign perhaps? I.E MFR, letter
     
  2. HowstheCow

    HowstheCow Member

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    Retirement system is based on your DIEMS (Date Initially Entered Military Service). I don't believe your attendance at an SA would affect you based on your prior service. I enlisted in USMCR to fulfill 4-yr NROTC requirement back in the day and subsequently received late appointment to SA. My retirement system was based on my DIEMS. You are still on the active duty rolls at the Service Academy (just not for accruing time for pay/retirement purposes).

    Here is what I pulled from the Military Compensation website: http://militarypay.defense.gov/BlendedRetirement/

    • All members serving as of December 31, 2017, are grandfathered under the legacy retirement system. No one currently-serving will be automatically switched to the Blended Retirement System.
    • Though they are grandfathered under the legacy retirement system, Active Component Service members with fewer than 12 years since their Pay Entry Base Date, and Reserve Component Service members who have accrued fewer than 4,320 retirement points as of December 31, 2017, will have the option to opt into the Blended Retirement System. The opt-in/election period for the Blended Retirement System begins January 1, 2018, and concludes on December 31, 2018.
    • All Service members who enter the military on or after January 1, 2018, will automatically be enrolled in BRS.
    To verify the DIEMS part...I also found this on same website...different page...

    To decide which method applies to you, you must determine the date that you FIRST entered the military. This date is called the DIEMS (Date of Initial Entry to Military Service) or DIEUS (Date of Initial Entry to Uniformed Services). The date you first entered the military is the first time you enlisted or joined the active or reserves. This date is fixed---it does not change. Departing the military and rejoining does not affect your DIEMS.
     
    Last edited: Feb 28, 2017
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  3. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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  4. Hendo

    Hendo New Member

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    Sorry for the late reply but thanks for the information. I took it to my Finance office. Unfortunately they were almost no help as they couldn't find any regulations specifically for the brs system.
     
  5. HowstheCow

    HowstheCow Member

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    If USAF finance is like Army finance, they will wait until last minute to issue implementing guidance to the field in the form of some chain teaching that leaves more questions than answers :) I am fairly confident you are safe. You may get a notice to elect one or the other although I never received one for REDUX choice at 15-years....not that I would have taken it.
     
  6. Badfinger

    Badfinger Member

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    So for "kids" entering the USAFA class of 2021 with no prior military...when do they officially "enter the military"? Is it after BCT, or after they graduate in four years?
     
  7. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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    This link was posted by me on the Bank Accounts post, but may be of some interest to those on this site. It covers the good & not so good about USAA membership:

    **Link removed**
     
    Last edited by a moderator: Mar 16, 2017
  8. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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    It is my understanding from reading the above posts that you join the military on the day you enter the Academy unless you are a prior, then it's that date. The real question to me is whether to join the BRS or traditional pension. If you plan to "5 & dive" then it's a no-brainer-BRS. However, if you plan to stay the whole 20 years then it gets complicated. Can you do the whole 20? What about medical injuries, drawdowns, etc... Lastly, what about pilots & other assignments that require a 9 year commitment? Seems that's about the time govt. matching funds can start to apply. Hard to foresee into the future 9 years from now when you are in your 20's; marriage, children, possible disenchantment with the military lifestyle, ;)etc. When your decisions affect the both of you (then add kids) , lots of sleep will be lost. Either way your decision as to what retirement program to join has to be made by January 1st, 2018.

    For my 2 cents
    , given all the variables from military year 1 to 20, BRS seems to be the way to go. The possibility that one could serve 19 years 11 months then be dismissed from the military & have no pension is a big, big factor. Don't know how often that occurs though, it's seems like a big gamble though.
    Also, as the Marine Corp. study points out, the example of the 20 year person comparison for BRS vs traditional is traditional is better, (of course) but BRS isn't that bad. Recommend you do lots of research as it's a very, very important life decision whose deadline is rapidly approaching, & one not to be based solely on one newspaper article's interpretation or my interpretation of the study. Also rec. you spend some time with the financial affairs dept. at the Academy, or Economics professor, etc for as much info as possible. Definitely hope some posters with more insight will respond to this because it's that important & I want the most info./opinions possible for our young men & women. Good luck!
     
  9. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    There are lots of misinformation everywhere regarding BRS. For SA grads commissioning after 1 Jan 2018, your only option is BRS. For those commissioned before 1 Jan 2018, you could opt to keep the old one, or convert to BRS AND get matching right away which is not applicable to those graduating on or after 1 Jan 2018 (have to wait for two years for matching).

    You maybe able to take the actual course at JKO, or get the info from First Command's site.

    http://jko.jten.mil/courses/brs/leader_training/Launch_Course.html

    **Link removed**
     
    Last edited by a moderator: Mar 16, 2017
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  10. AROTC Parent

    AROTC Parent 5-Year Member

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    ktnatalk - I am not sure the part I bolded in your post is accurate. If SA members sign a DD Form 4 (ENLISTMENT/REENLISTMENT DOCUMENT ARMED FORCES OF THE UNITED STATES) or a similar enlistment contract as ROTC Cadets do there are other rules for BRS that apply. Key is the date you sign the original 'enlistment document' even if it is in a reserve (IRR) status.

    https://paycheck-chronicles.military.com/2017/03/03/blended-retirement-system-updates/ thank you user @Sled

    There are other links in this thread too. https://www.serviceacademyforums.co...nded-retirement-and-afrotc.54482/#post-538605
     
  11. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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    • From the DoD website in the first command link above:
    • https://www.defense.gov/News/Articl...amps-up-training-on-blended-retirement-system

    • "Everyone serving as of December 31, 2017 will be grandfathered under the current retirement system.
    • Service members who have served fewer than 12 years on active duty or accrued fewer than 4,320 retirement points in the reserve component will have the option of remaining covered under their current retirement system or enrolling in BRS.
    • Service members who join on or after Jan. 1, 2018, will automatically be enrolled in BRS. (To me, this applies to the Class of 2022 as your DIEMS date will be in June, 2018, unless prior or prep, not commissioning date.)
    • Members eligible to opt in to BRS will have until Dec. 31, 2018, (not Jan 1st, 2018, as I previously posted, sorry) to decide if they want to switch to the new plan."
    • Those with greater than 12 years on active duty or more than 4,320 retirement points in the reserve component will stay under their current system.
     
  12. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    @AROTC Parent, I should have been more clear - I was straightly talking about SA grads who commission on 1 Jan 2018 or prior to that day. Those who were enlisted by 31 Dec 2017 have a choice to make. I am not familiar with ROTC and can't speak to that.
     
  13. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    I believe Class of 2018 of all SA's falls under BRS. No option to choose unless they were prior enlisted or were in ROTC?
     
  14. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    @Wishful, both DD (class of '18) and DS (class of 20) who entered USNA directly after HS have a "0" in the DIEMS block on their LES (Leave and Earning Statement). I believe once they graduate they will have a DIEMS in the month they graduate/commission. I can confirm that next year.
     
  15. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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    Thanks for the update. Unfortunately I am non-military so I do not know. I will email the parent liaison & advise.
     
    Last edited: Mar 14, 2017
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  16. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    @AROTC Parent, SA midshipmen do not sign a DD Form 4 or any enlistment contract.
     
  17. AROTC Parent

    AROTC Parent 5-Year Member

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    Per the link here - as long as they enter an SA as of 31 Dec 2017 they are grandfathered for the old High 3 retirement system and can opt in to the BRS in their first 30 days on active duty even if that first 30 days occurs after 31 Dec 2018.
    "Grandfathering of delayed entry enlistees and ROTC and Academy cadets:
    • Any midshipman/cadet attending one of the Service Academies or under contract in ROTC as of 31 Dec 2017 who has signed an agreement to serve as a commissioned officer in an Uniformed Service upon graduation, will remain grandfathered into the High-3 retirement system, but will be also eligible to enroll in the new BRS. Except for those commissioning during 2018 who have all of CY18 to enroll, the others will have 30 days from the first day of entering active duty in which to elect to enroll in BRS otherwise they will remain grandfathered in the High-3 system for the remainder of their military career."
    This link also supports the premise that 2018, 2019, 2020, and 2021 SA graduates, having signed an agreement to serve as a commissioned officer prior to 31 Dec 2017, are eligible for High 3 and can opt in to BRS.

    Read the Introduction to Blended Retirement dated 02/2017 in the second link. It is part of the Resources.
    Page 13 of the .ppt - 'Which RC Members Are Eligible to Opt In' Read the notes/talking points at the bottom.
     
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  18. AROTC Parent

    AROTC Parent 5-Year Member

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    But they do meet the criteria of 'signed an agreement to serve as a commissioned officer upon graduation.'

    And as you indicated previously we will know for sure when your DD/DS graduates in 2018.
     
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  19. ktnatalk

    ktnatalk Sailor. Shipmate. Parent.

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    Thank you for the updates. It's nice to know they have a choice to opt-in to BRS, when they have yet to commit to a 20 plus years of serving. There is a lot of looking into the crystal ball to assess the future is what I don't like about it, yet the ability to take something with you after a few years of service is nice. Whoever came up with this to save money is a genius!
     
  20. Wishful

    Wishful "Land of the free, because of the brave..." 5-Year Member

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    I was able to get thru Resources to Introduction to Blended Retirement but it's dated 3/17. I was unable to find either page 13 or the title, 'Which RC Members Are Eligible to Opt In' I must be doing something wrong, can you help? thx.