My husband is approaching 15 years of military service and was given paperwork for an opportunity to take a $30k “career status bonus”. In this case the $30k would be taxed before we even see it, and then once my husband retires his pension would be substantially less. The way this is stated is that the pension would be calculated at a reduced multiplier until age 62, and also be subject to reduced cost of living adjustments with a one time catch up at age 62. If he retires in 30 years vs 20, the amount of pension would grow closer to the high-3. Our question is should we take the $30k (minus taxes) and invest in a home, pay off bills, etc., which will allow us to put more money away (in savings), or not touch the pension plan at all. The link for a better explanation is http://www.dod.mil/militarypay. I want us to make the best possible decision being that my husband worked so hard and served our country for all of these years. Some say that it’s the govt’s way of keeping a large amount of servicemen’s pensions for themselves. Thanks so much!