Panel Calls for 3-year Freeze on Military Pay

A three-year freeze on basic pay and military housing and food allowances is among 58 recommendations contained in the draft report of President Obama’s National Commission on Fiscal Responsibility and Reform that was released November 10th. The Debt Commission, as it is informally known, said Regular Military Compensation — basic pay, basic allowance for housing, and basic allowance for subsistence, as well as the tax advantage of those two tax-free allowances — is expected to grow by $9.2 billion from 2011 to 2015. “A three-year freeze at 2011 levels for these compensation categories would save the federal government $7.6 billion in compensation and tax expenditures,” as well as another $1.6 billion in future retirement pay, for a total of $9.2 billion in savings in 2015. To read more on this topic, go to:http://www.armytimes.com/news/2010/11/military-debt-commission-recommendations-111010w/