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Military Life News, Commissary Rewards and Military Discounts

Is Selling Liquor at the Commissary a Good Idea?

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Is selling liquor at the commissaries a good idea?

A study is currently being conducted to determine the feasibility of selling distilled spirits at the commissaries. At the end of July, 12 commissaries began selling beer and wine as part of a 90-day trial. So far, the trial has gone well.

The Defense Commissary Agency (DeCA) reported $70,658 in revenue from beer and wine sales by mid-August. That’s simply from 12 commissaries. When the trial ends, all commissaries will begin selling beer and wine.

DeCA does not need approval from the government to add distilled spirits to its shelves. That means you could be seeing liquor in the commissary in the near future.

Is Selling Liquor at the Commissary a Good Idea?

Alcohol abuse is common in the military. It isn’t just the service members that have a problem with alcohol. Military spouses do as well.

One of the reasons members of the Defense Department cited for wanting to add liquor to the sales floor was convenience. They said it was inconvenient for people to have to make multiple stops throughout their day to buy groceries and liquor.

Yes, it would certainly be more convenient to buy everything you need in one location.

The question though is, is selling liquor at the commissary a good idea?

If the commissary sells hard liquor, does the government become an enabler for service members abusing alcohol?

Problems stemming from the misuse of alcohol have cost the military greatly in terms of both money and productivity.

A study found that alcohol abuse costs the government $1.12 billion annually. That includes medical costs, the loss of 320,000 work days, 10,400 active duty service members becoming unable to deploy as well as 2,200 that separated from the military for alcohol-related reasons.

There are as many as 34,400 arrests each year of service members that involve alcohol.

These numbers are staggering.

Those on Capitol Hill said that of course the military does not condone excessive drinking and therefore, commissaries are not to glorify it. Carla Gleason, a Pentagon spokeswoman, had this to say,

Like all other activities on the installation, the commissaries will fully support the department’s programs, policies, and procedures to deglamorize the use of alcohol and discourage its irresponsible use. To this end, the commissary stores will offer only a limited assortment of beer and wines, and will be prohibited from engaging in marketing practices that would glamorize the sale or use of alcoholic beverages.”

A lack of advertising isn’t going to prevent a service member or a family member from binge drinking. The military has not provided any information on the effects of having liquor readily available at commissaries.

Hopefully this feasibility study will include information about alcohol abuse and not just profit potential.

The proposal to sell liquor at commissaries should not necessarily only focus on the people that have a problem with alcohol. There are many patrons of the commissary that are responsible drinkers.

Should they be given the opportunity to purchase liquor in the commissary?

Would shoppers prefer to keep liquor in places such as Class Six stores?

That’s what the feasibility study is really about. The results of the study are expected to be delivered by the end of next month.

What do you think? Should the commissary sell liquor along with beer and wine?

The Commissary’s 5% Surcharge Isn’t Going Away

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There are so many changes happening at the commissary that many people have questioned if the 5% surcharge will be going away as well. At this point, the Defense Commissary Agency (DeCA) hasn’t announced that it is considering it.

The Commissary's 5% Surcharge Isn't Going Away

When the commissary was first approved, it was set by law that goods would be sold at cost plus a 5% surcharge. The surcharge covers the cost of maintaining and improving commissary infrastructure.

The government is always looking for ways to save money and the commissary certainly takes a big chunk of the defense buget. The government wants DeCA to be more self-sufficient. If they drop the surcharge, then more taxpayers’ money would have to fund the commissary.

When the commissary was first approved, it was set by law that goods would be sold at cost plus a 5% surcharge. The surcharge covers the cost of maintaining and improving commissary infrastructure. The government funded the rest.

For FY 2018, DeCA requested $1.3 billion in appropriations to cover costs such as: civilian and military labor, labor contracts, transportation of commissary goods overseas, and other general and administrative support. Many new programs have been implemented since to help reduce federal funding.

What has changed at the commissary?

Quite a lot has changed recently.

Have you noticed prices at the commissary aren’t the same? That’s because DeCA moved from set prices to variable pricing. That means that prices are not consistent across the country now. If you live near D.C., you’ll find prices are higher there than at a commissary in Georgia. That’s because the cost of living is higher in D.C. and therefore, items cost more.

Goods fluctuate with market prices as well.

Previously, prices changed at the commissary when the cost changed through the manufacturer. Now they change with the market similarly to how commercial grocery stores handle pricing.

Commissary shoppers are still getting great savings even with the 5% surcharge. In some areas, shoppers are seeing as much as 44.2% savings. You can read more about variable pricing here and see how much your region is saving.

DeCA has made some substantial changes in a relatively short time to start relying less on the government for their funding. The success of these is noticeable in how much money DeCA requested in appropriations for FY 2019. They asked for $123 million less than they did for FY 2018. While you would think the government would be happy about that, they are already asking how much more money they can reduce their appropriations.

From the customer’s standpoint, how do you feel about these changes?

The government wants to save money but DeCA still wants to bring great savings to military families. The commissary benefit is a part of the compensation package and is a great recruitment and retention tool. It isn’t going away.

Neither is the 5% surcharge. The surcharge is one thing that customers ask about a lot.

The exchange doesn’t have a surcharge; so many people don’t understand why the commissary does.

The commissaries and exchanges are two different entities and are funded differently. For now, the 5% surcharge stays in place, but if another change occurs, combining the commissary and exchange, you might see something different. That’s a long way down the road though as a new study just began this month.

What questions do you have about the commissary’s 5% surcharge?

Veterans Annoyed with Office Depot’s Logo on New Veteran ID Card

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After waiting nearly three years from the time the government approved a veteran ID card, the ID cards are finally getting into the hands of veterans.

The new veteran ID card identifies veterans for the purpose of receiving military discounts.

Some companies require proof that a person is a veteran in order to receive a discount. For those that did not retire from the military, they do not have a way to prove they are veterans unless they carry their separation papers known as DD-214 discharge papers.

Who carries their DD-214 around with them? A veteran ID card is a much easier way to prove that you are a veteran at a restaurant.

Many people are happy that a veteran ID card is available, but they are not happy that the Office Depot logo is on the back. The reason their logo is on the back is because they are printing the cards.

While the government approved the production of a veteran ID card, the government did not provide funding to pay for the ID cards.

That’s when Office Depot stepped up.

It makes sense from a business standpoint to get some free advertising out of the huge cost. The company is not only paying to produce the veteran ID cards, but they are also covering the cost of mailing them. They have agreed to do so until the end of fiscal year 2020. That will add up to a huge investment for Office Depot.

Veterans Annoyed with Office Depot's Logo on New Veteran ID Card

Who carries their DD-214 around with them? A veteran ID card is a much easier way to prove that you are a veteran at a restaurant.

The veteran ID card is highly requested. When they initially launched the website to apply for the veteran ID card, the site crashed. After adjustments were made, Vets.gov was able to get the program started again.

As of mid May, nearly 99,000 applications for the veteran ID card had been received and over 26,000 had been approved. More than 10,000 people were mailed a veteran ID card before the end of the month.

A veteran ID card sounds great, but many veterans are annoyed about the Office Depot logo on the back. They feel like it cheapens the card and makes it look unprofessional.

The back of the card has the Veterans Crisis Line phone number, the Office Depot logo and a tagline that reads: “Saluting you today and every day. Thanks for taking care of business.”

The back of the new Veteran ID card includes the Office Depot company logo. Photo credit: Military.com

When I first saw the veteran ID card, I thought the Office Depot logo on the back made the card look unofficial. It’s nothing like a standard issued military ID. Perhaps that’s on purpose.

The veteran ID card is only to show proof that a person is a veteran in order to receive military discounts.

The veteran ID card cannot be used as an official government ID card.

You cannot use it to access a military base and it does not replace the VA’s ID card that veterans use to identify themselves at VA clinics.

You also cannot use it to get through security at an airport since it is not an official government ID card.

The veteran ID card is specifically to be used for public and some government situations in lieu of carrying the DD-214 paperwork when proof of service is required. It is only available to veterans that were discharged as honorable or general.

Veterans interested in obtaining a veteran ID card must prove that they are former service members to receive a physical card. You can find out more information and apply for a veteran ID card online at Vets.gov.

While some people might not like having the Office Depot logo on the back, I’m sure they like that the card is free. Sometimes you get what you pay for.

What do you think of having Office Depot’s logo on the back of the new veteran ID card?

Cheers to the Commissaries Selling Beer, Wine

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You read that correctly – commissaries will begin selling beer and wine this summer.

The exact date hasn’t been announced, but it is official. A memo written by Robert Wilkie, Under Secretary of Defense for Personnel and Readiness, stated that commissaries will begin selling both beer and wine. This should happen by the end of July.

I was excited when I found out commissaries would be selling both beer and wine.

OK, I wasn’t nearly as excited about the beer as I was about the wine. I’m more of a wine person. I shop at the commissary weekly and this will be so much more convenient to buy both groceries and wine in one place rather than driving to the other end of town just for wine. It looks better when you buy a full cart of groceries with a bottle of wine than buying only wine. I tell myself that anyway.

The Dahlgren commissary, the closest one to me, is tiny. It has six aisles and usually just one cashier. I love it though. Somehow I manage to buy most of my week’s worth of groceries in that little place.

I can’t help but think, where are they going to fit the wine and beer? What products will lose placement? Will they sell the type of wine I like or am I getting excited over this for no reason?

Selling beer and wine in larger commissaries means more of a selection of both. Luckily in the D.C. area, where I live, there are a number of commissaries.

I was lucky enough to be at the grand opening of the new commissary at Fort Belvoir last year. It is massive. I will be going back to see what their beer and wine selection looks like once it’s on the shelves. I’m sure it will be much larger than the one available at Dahlgren.

It will be interesting to see how the prices compare as well.

The commissaries have run a few tests of selling beer and wine previously, but this will be the first time they will be sold at all commissaries as a standard.

There are a few specifics that were released. Commissaries will purchase beer and wine from the exchanges and resell it to commissary patrons. This is to hopefully reduce the impact beer and wine sales at commissaries will have on sales of the same items at exchanges. Profits from sales at military exchanges fund on-base MWR programs and officials don’t want to take away from that.

Prices therefore are supposed to be comparable to those at exchanges.

Related: Why I Think Military Wives Are More Likely to Binge Drink

Item pricing at commissaries moved to variable pricing last year. That means that all commissaries don’t sell products at the same price now. Prices vary based on the market. Wine and beer prices will therefore also be different from place to place. According to Robert Wilkie, prices should be comparable to those at local grocery stores.

One thing that local grocery stores don’t have that commissaries might have is hard liquor.

The Subcommittee on Military Personnel recently tasked the Secretary of Defense with having a study conducted on adding the sale of distilled spirits to commissaries. In this study, they will look at local and state laws as well as provide estimated revenue from sales. The secretary will brief the Committee on Armed Services by September.

Your favorite alcoholic beverage might be on the shelf of your local commissary before long if things work out.

When will your commissary have beer and wine?

Unfortunately, I can’t give you a set date as those dates haven’t been made public yet. Check with your local commissary for an announcement. Wine and beer are set to make their debut by the end of July.

What do you think of the commissaries selling wine and beer?

Navy Extends Deadline for Female Sailors to Join the Submarine Service

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The Department of the Navy announced eight years ago that women would be allowed to serve on Navy submarines. This was a historic moment for female sailors.

Navy Extends Deadline for Female Sailors to Join the Submarine Service

If you are a female sailor interested in transitioning into the Silent Service, submarine life, talk to your detailer today.

There are now almost 80 female officers and 50 enlisted women assigned to the submarine service. Military personnel anticipate the number of female sailors on subs to reach into the hundreds in the next few years and they are actively searching for candidates to fill these positions.

In doing so, the Navy has extended the deadline for enlisted female sailors to apply to the submarine force. The previous deadline was April 2018. Female sailors in the ranks E-1 through E-8 now have until June 1, 2018, to submit their application.

Female Sailors Get an Additional Two Months to Apply for the Submarine Service

The USS Michigan was the first Navy submarine to have enlisted female sailors added to its roster. The USS Florida followed it with 30 female sailors in its ranks. By 2020, the Navy expects to add 550 female sailors to seven Ohio-class subs. That would make up about 20% of the crews.

To accommodate female sailors on these two subs, simple modifications were made to berthing and bathrooms.

Now new submarines are designed specifically with female sailors in mind. It isn’t just adding separate living and bathing areas either.

The USS New Jersey will be the first submarine built with features tailored to female sailors. This includes making valves easier to turn as well as lowering them to accommodate the height of female sailors.

Steps will also be built in front of triple high bunk beds and washing machines will be stacked. Emergency air masks will also be placed on the side instead of the ceiling to make them easier to reach.

The USS New Jersey, the first Columbia-class ballistic-missile sub with these modifications, is expected to be delivered in 2021.

In an effort to fill the positions upon these subs, the Navy is actively recruiting females from outside the Navy as well. The overall manpower of the military is on the decline. There was recently a hearing in the House Armed Services military personnel subcommittee where the personnel chiefs were challenged to recruit more service members. The focus on primarily recruiting males has shifted to searching for female candidates.

As of February of this year, about 16% of the 1.3 million service members that make up the total military force are female.

People do not feel compelled to join the military like they once did. It is estimated that only 29% of males and females between the ages of 18 and 23 would meet the qualifications to join the military.

Recruitment is tough with many young men and women choosing to go to college, trade school or straight into the workforce after high school. There just aren’t many people that want to join the military these days.

Aggressive recruitment strategies are now in place to fight for recruits.

Recruiters are now being sent to talk to female athletic teams.

Previously, recruiters would mostly just go to male athletic departments. The military believes that individuals that are a part of athletic programs are more likely to want to join the military and be qualified to do so.

With more ratings, such as submarine service, now opened to females, military personnel feel strongly that they will be better able to attract these younger individuals. Only time will tell if this new marketing approach works.

If you are interested in joining the military talk to your local military recruiter.

If you are a female sailor interested in transitioning into the Silent Service, submarine life, talk to your detailer or find out more information here.

Are you a female sailor? Tell us your story by submitting a guest post today.

The Debate Surrounding Transgender Troops Serving in the U.S. Military

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Beginning last summer, the U.S. military community has been debating whether transgender troops are fit to serve. President Donald Trump and Secretary of Defense James Mattis, along with many military leaders, seem to be at odds over a policy relating to transgender troops.

The Debate Surrounding Transgender Troops Serving in the U.S. Military

The White House is anticipated to release its final verdict and policy on transgender troops this month.

Final Policy Pending

Mattis was under a February 21, 2018, deadline to return his recommendations to the president. According to The Washington Post, it is anticipated that Mattis will support transgender troops currently serving, as well as those wishing to join in the future. Mattis made his official recommendation regarding Trump’s proposed transgender military policy on February 23, 2018. The Pentagon has not confirmed or commented on Mattis’ final recommendation.

As of January 1, 2018, individuals identifying as transgender are free to enlist or seek a commission in the U.S. Armed Forces.

Mattis’ likely position could be supported by a 2016 Rand Corporation study that was commissioned by the Obama administration. Former President Barack Obama and his administration had removed the ban on transgender troops who serve openly in June 2016.

This study found that less than 1% of active duty troops identify as transgender.

Approximately, between 1,320 and 6,630 active duty troops identify as transgender. Additionally, the study found that total medical costs related directly to transgender-specific medical care would be negligible, amounting to less than $10 million annually. This is a “relatively small” amount in the military budget. It represents a 0.04% to 0.13% increase in the overall active duty health care expenses.

Finally, not all transgender troops would elect to transition medically, with surgery. The study concluded that between 29 and 129 service members would experience a disruption to deployment readiness as a result of transgender-specific medical care.

Currently 1.3 million troops are on active duty.

Trump Tweets New Transgender Policy

On July 26, 2017, Trump tweeted his desire to reinstate a ban on transgender troops. He cited the increased cost of medical care for transgender troops as well as the disruption of military service. His announcement, which claimed that he had consulted with top military brass, seemed to catch Mattis and other military leaders off-guard. At the time of the tweets, Mattis made no immediate official comment.

Days later, military leaders appeared to walk back Trump’s sweeping policy change. Joint Chiefs of Staff Chairman Joseph Dunford made clear that transgender personnel would continue to serve until Mattis received clear direction from Trump. Then, that direction would need to be implemented over time. This decision was supported by Mattis.

According to recently released emails, Dunford communicated to the other service chiefs that he was “not consulted.” Dunford appeared willing to confirm this to the media and wrote that this policy change “was unexpected.”

Ban Blocked in Court

On October 30, 2017, the U.S. district court in Washington, D.C., issued an injunction in favor of 8 transgender individuals who were in ROTC programs or enrolled at service academies. The D.C. court’s decision was backed by the Maryland district court in a November 12, 2017, ruling. The Maryland judge also issued an impending injunction that blocked Trump’s proposed ban to take effect due to constitutional violations of the plaintiffs. Both cases are still pending a final ruling.

The initial rulings from Maryland and D.C. allowed these individuals to continue to take steps toward active duty service. The injunctions also swayed the Pentagon to allow transgender individuals to enlist starting on January 1, 2018.

Trump directed Mattis, per an August 25, 2017, executive order, to review the current policy as well as his proposed policy. His recommendations were due back to the White House on February 21, 2018.

The White House is anticipated to release its final verdict and policy statement on March 23, 2018.

Questions Remain for Transgender Troops

In the middle of all of this political discussion, are the openly transgender troops currently serving. Their continued service is potentially at risk. In addition, as of January 1, 2018, openly transgender individuals are allowed to join active military service.

Trump’s March 23 decision could have immediate ramifications for troops currently serving, as well as those who are beginning their initial processing and training. Troops who are currently serving may be forced to resign without benefits. However, the actual proposed policy regarding current transgender service members remains unclear.

What do you think? Should transgender service members be allowed to serve openly in the U.S. military?

Is Congress Being a Bully to Military Families?

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Sometimes I feel like Congress is the bully on the school playground. They make all the rules and tell everyone how to play the game they want to play. They give out great toys, our military benefits, but they constantly taunt us saying they’ll take them away.

Military families want Congress to play fair.

When they promise us something, we expect them to live up to it.

Is Congress Being a Bully to Military Families?

What do you think? Is Congress being a bully to military families?

Every year Congress looks at military spending. They question how to save the government money. Military benefits are put on the chopping block every time. Think about the benefits you or your service member were promised when enlisting.

Are you getting everything you were promised? Probably not.

I’ve been part of the military community my entire life. My parents were both in the Army and my husband is in the Navy. I have seen firsthand how Congress plays. I read the transcripts from subcommittees that debate changes to military benefits.

I pay close attention to the wording of bills I follow to see how they progress through the Senate and the House. Not many people do, which is why I enjoy writing about what Congress is doing in regards to changes that affect military families.

I want you to know what is going on so you aren’t blindsided.

So many changes have occurred recently. Have you kept up with what Congress is doing or have you been thrown a curve when you’ve needed a benefit?

Tricare had significant changes start on January 1, 2018, for example. Did you know that while Tricare Prime remained the same, Tricare Standard and Tricare Extra merged to become Tricare Select? A significant part of the change is that beneficiaries will no longer be able to switch between Tricare plans at any time. There will now be an open enrollment window. Life events will continue to enable you to switch however.

I’m sure you know that we got a pay raise this year. That’s one thing military families keep track of. There are some important things to consider though. Congress isn’t necessarily giving away extra money without caveats. You might want to read up on BAH rates for locations you are considering for your next PCS. Rates have gone up, slightly, in some locations and down in others.

Did you know that Congress wants military families to start covering 5% of BAH starting as early as next year?

Military retirement changed on January 1 as well. Congress made the most significant change to military retirement pensions in 70 years. The old plan, known as the legacy retirement system, stayed the same. A new retirement program known as the blended retirement system allows incoming service members to basically set aside money that is matched by the government up to a point. They will no longer be required to stay in the set 20 years to earn a retirement benefit.

The post-9/11 GI Bill also changed. Previously there was a 15-year cutoff date to use or lose the benefit after a service member left the military, if they left after 2013. That was eliminated. Reservists will now see their benefits increased. Surviving dependents and Purple Heart recipients get better benefits as well. A great thing is that those who attended a college that closed in 2015 or later, who ended up losing their money, will now get a new allotment.

These are just a few of the changes Congress sent our way already this year. It’s great that those entering the military will have some improvements to benefits such as the retirement plan and the post-9/11 GI Bill. Those that have been in for a while are excluded from many benefit improvements coming though. Tricare is a major benefit that many people joined the military for. That’s taking a big hit. Copays for medication increased. The dental plan changed, and not for the better, not to long ago. The commissary has changed so that prices fluctuate with the area.

In some ways it’s like Congress is making friends with the new kids and bullying their other classmates on the playground. The bully didn’t play favorites during the recent government shutdown though. Congress mandated that service members continue to work, even if they weren’t going to get paid. And our representatives didn’t lose money or sleep over this decision.

What do you think? Is Congress being a bully to military families?

The New Blended Retirement System and What It Means for Your Service Member

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The new blended retirement system for service members went into effect on January 1, 2018. The blended retirement system takes the previous retirement program, known as the legacy retirement system and builds upon it.

Not all service members are eligible to participate in the new program and there are many factors to consider when deciding to switch.

Here are the key points of the blended retirement system to help you understand the new program.

What are the 2 retirement systems for service members?

Under the legacy retirement system, a service member is required to serve a minimum of 20 years to receive retirement pay. If they get out before then, they received nothing toward retirement. The military has realized that not many service members stay until the 20 year mark.

The new blended retirement system was created to allow all service members to leave with something toward retirement even if they do not stay in the service for a long period of time.

The new program blends the legacy retirement pension with a defined contribution that goes toward a service member’s Thrift Savings Plan (TSP). This is basically like combining the pension plan with a 401(k) type plan. The longer a service member stays in, the higher their pension will be. The blended retirement system also takes into account inflation and adjusts based on the annual cost of living adjustment.

The New Blended Retirement System and What It Means for Your Service Member

The new blended retirement system was created to allow all service members to leave with money toward retirement even if they do not stay in the service for 20 years.

Who is eligible?

Anyone entering the military from January 1, 2018, on will be automatically entered into the blended retirement system. All service members that are active as of December 31, 2017, are already in the legacy program and will remain in it. They will not be automatically switched to the new blended retirement system.

Service members with less than 12 years as well as Reserve with less than 4,320 retirement points as of December 31, 2017, have the option to switch to the blended retirement system. These service members have all of 2018 to make the decision to switch, but once the decision is made, it cannot be changed.

Those that do change to the blended retirement system will be required to take a mandatory opt-in course through Joint Knowledge Online or through Military OneSource.

Who is not eligible?

All service members with 12 years or more in service prior to December 31, 2017, are grandfathered into the legacy retirement system and remain in it. There is nothing in their retirement plan that will change. If you are in this category and would like to review the legacy system, you can see that here.

What are some benefits of the blended retirement system?

Should you opt into the new blended retirement system or stay with the legacy retirement? This mostly depends on how long you plan on staying in the military.

If you serve less than 20 years and are on the legacy system, then you won’t get a monthly annuity or government contributions to your TSP account when you get out. If you switch to the blended retirement system, then you will have money toward retirement.

Here are a few benefits to consider in the new program.

Contributions

Under the blended retirement system, the government will automatically contribute 1% to your retirement. Additionally, you can receive up to 4% in service matching contributions if you elect to put more toward your retirement. Automatic and matching contributions will end at 26 years of service.

New service members are not eligible for the up to 4% match until the start of the 25th month of service. They will however get the automatic 1% contribution after being enrolled for 60 days.

Portability

When you leave the service, you can have your TSP transferred to an IRA or to an eligible employer’s 401(k).

Bonus Pay

Service members can receive a one-time bonus pay by agreeing to serve more time. This is known as continuation pay and is payable between performing 8 and 12 years of service. The bonus pay could be between 2.5 and 13 times your regular pay based on the service-specific retention needs. If this bonus pay puts you in a higher tax bracket, you can opt to receive your bonus in 4 equal payments over 4 years instead.

Lump Sum

When you retire, you’ll have the option to take your retirement payment as a lump sum. That sum would be a discounted portion of the retirement pay however. You can choose to take 25% or 50% as a lump sum.

If you do not choose to do a lump sum, then you will receive your retirement check monthly.

As you can see, the new program has many benefits.

What questions do you have about the new blended retirement system?

2018 Brings Pay and BAH Increases…Or Does It?

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It’s the new year and along with resolutions, new tax regulations and the Winter Olympics, we also have the annual military pay increase.

2018 Brings Pay and BAH Increases...Or Does It?

For active duty, the 2.4% pay increase will be the largest pay raise since 2010. But is it enough?

In years past the raise has been a little lackluster, but this year most folks are pretty happy with the pay increase. How much are we going to see? For active duty, the 2.4% pay increase will be the largest pay raise since 2010. For my spouse, that means a monthly increase of just under $100 a month. Not too shabby, maybe we can finally institute a monthly date night.

For retirees, the annual cost of living adjustment (COLA) pay increase will be 2%, a definite increase over years past.

To see how much the pay increase for active duty personnel will benefit your household, check out the 2018 Military Pay Rates chart here. Retirees and disabled veterans can find more information about the new COLA rate by clicking here.

In addition to all the stir about the pay increase, you might also have heard that BAH rates are ticking up slightly. And by slightly, I mean just barely at 0.7% on average, but an increase is an increase, I suppose.

The average service member will see less than a $20 increase in their BAH rates, but over the course of the year, an extra $240 can come in handy. If you’re like me, that’s my budget to replant my vegetable garden and buy a new watering can.

Keep in mind that the uptick in BAH is not a blanket increase. Some places will see as much as 10% to 15% (Beale AFB, Mountain Home AFB and Fort Wayne), while other places like Fort Riley, Camp Lejeune and Pensacola will see BAH drop as much as 5% or more.

Don’t worry if you already live in one of the areas that will see a decrease. Current regulations prevent BAH dropping for personnel already stationed at a particular location. Only incoming personnel will be affected by the drop.

That being said, make sure you do your research if a PCS is in your future.

One thing many folks may not be aware of, however, is the current BAH dampening plan to push 5% of housing cost responsibilities back to service members by 2019.

Even with the increases offered to many this year, service members will see the increase in their BAH not stretching as far as it did in years past. The published 2018 BAH rates will only cover 96% of the average housing costs, with an additional 1% reduction expected next year. The thought is that this plan will free up some much-needed funds in the defense budget.

I’m not sure how I feel about this idea. In part this feels like another inch in the steady erosion of military pay and benefits. In many specialty job positions, services are struggling to retain qualified military personnel who reap the benefits of training while in service only to be romanced away by the large salary and benefit offers coming from civilian employers.

I understand the money has to come from somewhere, but in my experience, BAH has frequently not kept up with growing housing costs and given that service members have no say in the duty stations they are assigned to, reduction in the BAH benefits will make PCSing to some duty stations that much harder.

In places like Virginia Beach, San Diego and Washington, D.C., where the cost of living is already 15% to 40% higher than the national average, even a 5% reduction in benefits will hit service members’ wallets hard.

And it doesn’t exactly scream “stay in” when it comes time to consider re-enlistment.

When you consider this pay increase – that’s not really an increase – along with some of the jumps in medical costs put out by Tricare for 2018, the benefits so many service members expected as part of their pay is slowly but surely being whittled away.

Don’t get me wrong, I’m certainly not going to turn down a pay increase, but it’s important that we remain aware of what those increases actually mean. And when you consider that the call to serve is answered by so few, I have a hard time understanding why pay and benefits seem to be on the steady decline.

What do you think of this year’s pay increase for service members?

What the New GI Bill Means for Military Families

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Brace yourselves. Changes are coming to the GI Bill as we know it.

President Donald Trump signed the Forever GI Bill into law in August 2017. With this new bill, changes are in the works, including transferring benefits, housing allowances and the deadline to access GI Bill funds.

What the New GI Bill Means for Military Families

Time Limit

Under the Post-9/11 GI Bill, beneficiaries had 15 years to use their earned education benefits. With the new GI Bill, there is no time limit to complete a degree, license or education program.

This is arguably the most important change to the bill since it extends the time that beneficiaries have to complete their education.

It allows for unexpected life events or changes along the way.

This is limited to veterans, troops and designated dependents who became eligible on or after January 1, 2013.

Housing Allowance

Under the current GI Bill, non-active duty students rate the Overseas Housing Allowance (OHA) for an E-5 with dependents based on the location of their school. Additionally, students receive a portion of the total allowance based on how many credits they are taking. In order to qualify, students must be enrolled at greater than half-time.

Starting Jan. 1, 2018, the housing allowance will be calculated using the reduced BAH schedule.

Previously, the GI Bill has been exempted from the yearly 1% BAH reduction started in 2015 and ending in 2020. Students using the GI Bill before January 1, 2018, will continue to receive their current housing allowance rates.

Additionally, the location used to calculate housing allowances will be tied to the location where students physically attend classes. This could impact students who attend a satellite campus in a location with a lower BAH rate. This change goes into effect on Aug. 1, 2018. Students enrolled before this date will follow the current rules.

Housing for members of the reserve will be prorated by quarter, semester or term starting on Aug. 1, 2018.

Expanded Access

Currently, eligibility for GI Bill benefits is calculated based on time in service or discharge due to service-related injury. Under the Forever GI Bill, all Purple Heart recipients will be rated at the 100% funding level or with 100% of their tuition and fees of in-state tuition paid for.

Additionally, certain members of the Reserve will be eligible for benefits under certain conditions. If Reserve troops deployed to support a combatant command or within their state in response to a natural disaster, they may now be able to access GI Bill benefits. This includes Reservists who deployed in these capacities after 2009.

Reservists who used the Reserve Education Assistance Program (REAP) will now be able to access the GI Bill under certain circumstances. Students who qualified before Nov. 25, 2015, but whose benefits have expired may choose to have that time in service credited toward the Post-9/11 GI Bill. This change applies to coursework started after Aug. 1, 2018.

Previously, students could be considered eligible for 40% of total GI Bill benefits (40% of in-state public college tuition and fees paid for) based on time in service. This category has now been eliminated.

Instead, the 60% level has been expanded to include more veterans. The minimum benefits level is now set at 50%, meaning that up to 50% of tuition and fees at an in-state public college would be paid by the VA.

Overall, more veterans and designated beneficiaries will be able to access higher education or career training with increased funding possible.

Transferring Benefits

Veterans can designate a dependent to receive GI Bill benefits. In the past, if that person passed away, the benefits disappeared.

Now, veterans are able to select another eligible dependent should their original designee die. Dependents who have received benefits are also able to pass on the GI Bill to another designee. This is only able to happen after the veteran who earned the benefits has passed away.

This now allows GI Bill benefits to continue on beyond the veteran or original designee in the event of death. This could prevent these valuable benefits from going unused.

Extra Protection

If your college closes before you earn a degree, the GI Bill now offers protections. Time spent at a college that has closed can now be partially or fully reinstated.

Students can also potentially earn GI Bill time back for courses that were not approved or for courses in which no credit was earned.

This is retroactive to programs, courses and colleges that were discontinued after Aug. 1, 2015. The change takes effect 90 days after the bill was signed.

Programs and Licenses

Students may begin using their benefits at accredited area career and technical schools that provide post-secondary education and/or vocational skills. This allows students to pursue a career path outside of traditional college level education.

Veterans at the 100% benefits level, with at least 60 credit hours of work and who will be reaching the end of their benefits before they complete an eligible degree in science, math, engineering, medicine or certain teacher training programs can apply for an extension.

This is a one-time 9-month benefit bonus. It cannot be transferred or be used in conjunction with the Yellow Ribbon Program. There is a $30,000 cap. This change begins on Aug. 1, 2019.

Entitlement charges for professional licensing and certification exams will be prorated based on the actual amount charged for the test.

Additional Benefits

Spouses and dependents who qualify for the Fry Scholarship may now also access the Yellow Ribbon Scholarship as well. This opens up new funding possibilities to supplement the GI Bill at private colleges or out-of-state schools. Purple Heart recipients will also be qualified for Yellow Ribbon Scholarships. These changes take effect on Aug. 1, 2018.

Beginning on Aug. 1, 2022, active duty troops using the GI Bill will be able to access the Yellow Ribbon Program. This will expand their ability to complete coursework at a larger number of institutes of higher learning while still serving their country.

Students who were eligible under the Survivors’ and Dependents’ Educational Assistance program now have 36 months of benefits instead of 45 months. This change applies to students who enroll after Aug. 1, 2018.

This same change increases the amount payable per month to $1,224 for full-time students, $967 for students enrolled at three-quarter time and $710 for half time enrollment. This increase is effective Oct. 1, 2018.

Will these changes to the GI Bill impact your family? Share your thoughts in the comments.