The Survivor Benefit Plan
The Survivor Benefit Plan

Author:

Publisher:

Published: 2007

Total Pages: 53

ISBN-13:

DOWNLOAD EBOOK

Investing for one's future is a concern for the majority of military retirees. Service members have more choices than their civilian counterparts when planning for retirement. One alternative available to military members is the Survivor Benefit Plan (SBP), which allows retirees to provide for their family's welfare in the event of their untimely death. The purpose of this paper is to analyze the cost effectiveness of SBP in comparison to other insurance or investment options. This paper provides an overview of SBP and possible alternatives. Additionally, a mathematical model has been constructed that conducts a cost-benefit analysis of SBP and alternatives to determine the most beneficial course of action for future retirees. Our major conclusion is that SBP is the most attractive available option only if the military member expects to live for a sufficiently long period and also expects his (or her) spouse to outlive him by a significant amount. However, this result is sensitive to rate of inflation.

Survivor Benefit Plan
Survivor Benefit Plan

Author: Andrew W. Hovanec

Publisher:

Published: 1995

Total Pages: 0

ISBN-13:

DOWNLOAD EBOOK

The Survivor Benefit Plan is a voluntary program designed to provide income protection for dependent survivors of members of the armed forces who die in retirement or while on active duty after reaching retirement eligibility. Obligations of the Federal government, arising under the Survivor Benefit Plan, to survivors are paid from the Military Retirement Fund. United States Code Title 10, Section 1452 requires persons participating in the Plan, and not entitled to retired pay, must deposit in the U.S. Treasury vice the Military Retirement Fund the premium payments that would otherwise have been deducted from their retired pay for that period. The member is required to pay premiums due to the Plan through a process called direct remittance. This thesis determined the annual amount of direct remittances arising from the Survivor Benefit Plan, and analyzed the financial loss to the Military Retirement Fund due to the diversion of these funds to the U.S. Treasury. An understanding of this process and the unique problems that direct remittances from the Survivor Benefit Plan represent provides a valuable contribution to understanding the accounting and valuation process of the Military Retirement Fund.

Survivor Benefit Plan
Survivor Benefit Plan

Author: Andrew W. Hovanec

Publisher:

Published: 1995

Total Pages: 85

ISBN-13:

DOWNLOAD EBOOK

The Survivor Benefit Plan is a voluntary program designed to provide income protection for dependent survivors of members of the armed forces who die in retirement or while on active duty after reaching retirement eligibility. Obligations of the Federal government, arising under the Survivor Benefit Plan, to survivors are paid from the Military Retirement Fund. United States Code Title 10, Section 1452 requires persons participating in the Plan, and not entitled to retired pay, must deposit in the U.S. Treasury vice the Military Retirement Fund the premium payments that would otherwise have been deducted from their retired pay for that period. The member is required to pay premiums due to the Plan through a process called direct remittance. This thesis determined the annual amount of direct remittances arising from the Survivor Benefit Plan, and analyzed the financial loss to the Military Retirement Fund due to the diversion of these funds to the U.S. Treasury. An understanding of this process and the unique problems that direct remittances from the Survivor Benefit Plan represent provides a valuable contribution to understanding the accounting and valuation process of the Military Retirement Fund.

Study of the Survivor Benefit Plan for Members of the Uniformed Services
Study of the Survivor Benefit Plan for Members of the Uniformed Services

Author: ASSISTANT SECRETARY OF DEFENSE (MANPOWER RESERVE AFFAIRS AND LOGISTICS) WASHINGTON DC.

Publisher:

Published: 1979

Total Pages: 313

ISBN-13:

DOWNLOAD EBOOK

Like any management or benefit structure, the military Survivor Benefit Plan is subject to evolutionary change as sociological, economic, and legislative progress is made. Statutory amendments in social security and veterans can have a dramatic impact on the military Survivor Benefit Plan that may not be immediately identifiable or originally considered. Additionally, inflationary pressures impact upon the cost to members, the value of the survivor annuity itself and long-term financial obligations of the government. These operate in concert with changes that occur in our national society and the military community's position in that social order. The military survivor systems must be responsive to these changes in order to remain a viable item of military compensation. This Study addresses those items enumerated by the Senate Committee on Armed Services, and the additional items requested for inclusion by the Honorable Strom Thurmond.