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Approaches to Changing Military Compensation

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  • Congressional Budget Office

Abstract

The Department of Defense (DoD) and the Department of Veterans Affairs together spent about $350 billion in 2019 on compensation and benefits for current and former military personnel. Compensation for military personnel is a mix of cash earnings and noncash benefits received while they are serving, as well as the deferred pay and benefits they may receive after they leave.

Suggested Citation

  • Congressional Budget Office, 2020. "Approaches to Changing Military Compensation," Reports 55648, Congressional Budget Office.
    • Handle: RePEc:cbo:report:55648
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    File URL: https://www.cbo.gov/system/files/2020-01/55648-CBO-military-compensation.pdf
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    More about this item

    JEL classification:

    • D15 - Microeconomics - - Household Behavior - - - Intertemporal Household Choice; Life Cycle Models and Saving
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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