If the military went to a 401k plan, do you think more people would leave sooner?

2014-06-28T20:30:40-04:00

If the military went away from the retirement benefits and went towards a 401K plan, do you think SM's would stay in after they learned their skills and/or earned a certification in their specific job?

Response by PO1 Private RallyPoint Member made Jun 28 at 2014 8:57 PM

2014-06-28T20:57:47-04:00

I'd want to hear more.....there's much to a 401k...but it requires some attention to detail.

Response by LTC Yinon Weiss made Jun 28 at 2014 9:03 PM

2014-06-28T21:03:57-04:00

Yes, I don't believe many people actually stay in just for retirement... I don't think it's even a serious consideration for most until they get 10-15 years into their service.

Besides, people who are staying in the military just because they are "sticking around for retirement" are not necessarily the people the military would want to encourage retaining.

Response by MSgt Private RallyPoint Member made Jun 28 at 2014 11:51 PM

2014-06-28T23:51:07-04:00

Quite possibly, but I can see service members more liable to leave the service sooner rather than later.

Response by SSG William Sutter made Jun 29 at 2014 4:40 AM

2014-06-29T04:40:37-04:00

401k's earn less than TSP. So if a persons decision to stay rested solely on the basis of the TSP/401k option, yes people would leave.

Response by SGT John T. Atkins made Jun 29 at 2014 8:44 AM

2014-06-29T08:44:35-04:00

That's a tough one. I don't think it would matter much on the first re-enlistment but more and more every subsequent one.

Response by SSG John Erny made Oct 3 at 2014 5:52 PM

2014-10-03T17:52:31-04:00

After 20 years in the uniform most of us a broken in one manner or another. Who would want to do the hard core stuff knowing that when you retire your body is not able to handle labor intensive job. I know mine cannot. Bad Jumps, back injuries, falls.

Response by MSG Private RallyPoint Member made Oct 4 at 2014 9:27 AM

2014-10-04T09:27:18-04:00

I don't they would stay as long or maybe not even join. Most Soldiers love the retirement idea and getting paid. If Soldiers had to pay into their own retirement plan they would not like it. It is paying to put your life on the line...not cool

Response by CPT Zachary Brooks made Oct 9 at 2014 4:06 PM

2014-10-09T16:06:53-04:00

As someone who currently contributes to a 401k, the TSP, and a Roth IRA for retirement, I can tell you I would certainly leave the service earlier if they removed the great benefits we have. I love the military, absolutely love it and those who serve, but every day it feels more and more like the people we are serving, and the people we are working for, do not appreciate us. Many of those in the higher up positions in government, I feel, do not have the respect for the military and the sacrifices we make. This can also be seen by the entitled behavior of the civilians that we are fighting to protect.

The benefits are there to make a risky and sometimes crappy job about more than just your personal pride and service, which can be taken too far.

Response by LTC Paul Labrador made Jun 2 at 2015 10:02 AM

2015-06-02T10:02:12-04:00

The current "retirement pension" plan (and I use quotes because it's not really a pension...but that is a discussion for different time) is designed specifically to encourage people to stay in for a career, because professional armies absolutely require long serving individuals. My concern is this will enocurage people to leave, and we will have a talent drain on a massive scale.