Armed Forces News Weekly Newsletter To Military Personnel & Their Families Friday, January 27, 2006
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Since 01-29-06


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In Today's Issue:
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1. International Direct Deposit Program Snowballs The Defense Finance and Accounting Service commenced International Direct Deposit (IDD) for U.S. military retirees and annuitants living in the following five foreign countries, effective with the Dec. 2005 pay date: Australia, Canada, France, Germany and the United Kingdom. Commencing Feb. 2006, DFAS will send enrollment packages to retirees and annuitants living in Anguilla, Antigua & Barbuda, Austria, Bahamas, Barbados, Belgium, British Virgin Islands, Cayman Islands, Cyprus, Denmark, Dominican Republic, Finland, Greece, Grenada, Haiti, Hong Kong, Hungary, Ireland, Israel, Italy, Jamaica, Malta, Mexico, Netherlands, Netherlands Antilles, New Zealand, Norway, Panama, Poland, Portugal, South Africa, Spain, St. Kitts, St. Lucia, St. Vincent & Grenadines, Sweden, Switzerland, Trinidad & Tobago. Under IDD, electronic payments go to the retirees' banks in local currency, often saving conversion costs. Eligible retirees who do not receive enrollment packages can get them at www.dtic.mil/whs/directives/infomgt/forms/eforms/of1199i.pdf.
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2. Congress Puts Brakes on Medical Job Conversions A plan supported by Defense Secretary Donald Rumsfeld to civilianize thousands of military medical care positions caught a one-two punch when the fiscal 2006 authorization act became law. First, the act forbids any conversion of military medical or dental positions into civilian slots before June 1. After that, conversions can be made only if the Defense Department certifies that they will not diminish the quality of care or increase taxpayer expenses. Each certification will require a market survey to show that medical care and costs for beneficiaries in the area would not be adversely affected. The original plan contended that, although civilians might be paid more than service members, the net cost would be less because civilians don't create transfer and retraining costs. Service members and their families seen by physicians, dentists, nurses and technicians in U.S. military installations worldwide would be affected by the plan.


3. Montgomery GI Bill Payments Rise The Department of Veterans Affairs has increased its Montgomery GI Bill-Active Duty Payment rates for full-time school attendance from $1,004 monthly to $1,034 a month. MGIB-Selective Reserve payments for full-time students went from $288 monthly to $297. Activated Reserve MGIB payments went to as high as $827 based on the length of activation. Survivors and Dependents (DEA) rates went to $827 monthly for full-time institutional training. For other rates, visit http://www.gibill.va.gov/education/rates.htm.
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4. Timely Tax Tips The Armed Forces Tax Council has summarized key issues of tax year 2005 for service members and their families. For example, the council advises victims of hurricanes Katrina, Rita and Wilma to visit their installation tax center or the Internal Revenue Service. The council warns that provisions of the code affecting them are lengthy and complicated, and can include extensions for tax filing and help for those who lost homes or property. In addition, all income earned in 2005 by enlisted members in a combat zone, such as Iraq, Afghanistan, Bosnia and Kosovo, is exempt from tax. Officers' income is exempt to a limit of $6,529 a month. And, starting for 2005, members can elect to include their combat zone income as earned income to qualify for earned income credit and child tax credit. Such income will not be taxed. (See more in next item.)
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5. More Tax Tips The Armed Forces Tax Council has advised that service members in a combat zone during tax season get an automatic extension to file their taxes. They have six months to file from the time they leave the combat zone. Members stationed elsewhere overseas have a two-month extension to file. Returns filed through an installation tax center are sent electronically, so filers should receive their refunds within seven to 10 days. Members also can get online help with their taxes. For example, the IRS provides a Free File service on its Web site, www.irs.gov. The site also lists several tax preparation services, many of which provide free service to military members.
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6. Valentines Wanted for Troops Keystone Soldiers, a non-profit partner in the Defense Department's America Supports You program, is shipping donated Valentine cards to deployed troops again this year. The organization is collecting them now and was scheduled to start shipping Jan. 15. Keystone will accept hand-made or purchased cards as well as hearts cut from decorative or construction paper. The paper hearts will be attached to poster boards and mailed to the troops so they can hang them in their quarters or community rooms. Contributors should sign their donations and may add their addresses as an option. Send donations no later than Jan. 30 to Keystone Soldiers, PO Box 152, Fleetwood, PA 19522. Donors also can bring them to the courtesy desk at any Boscov's Department Store until the close of business Feb. 5. For more information, scroll to Valentines From Our Heart at http://www.keystonesoldiers.com/.
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7. Great Grandmother Completes Deployment A 73-year-old great grandmother has returned from a volunteer deployment to the Middle East. Mrs. Lena Haddix served the first six months in Kuwait, then went to Camp Liberty in Baghdad for six months as a supervisor at the 30,000-square-foot PX. "My proudest time was seeing the soldiers smile when they saw somebody from home," she said. "And some of them recognized me from home," she added. They called her "Mom," and made a point to tell her they were OK when they stopped into the exchange. What does she think of the troops over there? "They're doing their job. Their morale is good. They know they're there for a reason. They're willing, and want to get the job done." An exchange worker for more than 30 years, she's back at the Fort Sill, Okla., PX from where the odyssey began.
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8. Reserve Chief Supports Cut Lt. Gen. James R. Helmly, chief of the Army Reserve, said he expects his 205,000-member force to be cut and that he supports some of the reduction. He refused to provide numbers, although a senior, defense official said the Army is looking at a reduction of 5,000 reservists between fiscal 2007 and fiscal 2011. In addition, the National Guard could drop by 17,000 in fiscal 2007, with more cuts later. Many state National Guard leaders oppose the cuts. Helmly agreed that it is possible to cut the force too much, but "we're a long way from doing that," he said. The cuts were recommended in a classified Program Decision Memorandum, which is the Defense Department vehicle that guides future budget submissions. Helmly said he was comfortable with the level proposed by the PDM.
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9. Army Enlistments, Re-enlistments Rebound Army re-enlistments in fiscal 2005 were the highest in five years, said Army Secretary Francis J. Harvey Jan. 18. More than 69,500 soldiers re-enlisted between Oct. 1, 2004, and Sept. 30, 2005. The enlistment record also looks brighter than it has for years, with 11,522 recruits signed up by mid-January against a goal of 11,000. Nevertheless, the Army needs some 80,000 new recruits each year to balance its current strength of 492,000 active-duty personnel against losses. Last year, it missed that goal by about
6,600 troops, according to the Congressional Budget Office.
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10. Recent Military Promotions Army FY05 Lieutenant Colonel, RC/APL, Selection Board Results https://www.hrc.army.mil/site/active/select/R_Ltc05.htm 

FY05 Colonel, Medical Corps, Selection Board Results https://www.hrc.army.mil/site/active/select/Col_Mc05.htm 

Marine Corps FY07 U.S. Marine Corps Lieutenant Colonel Limited Duty Officer Selections http://www.npc.navy.mil/NR/rdonlyres/0E0926D9-C0D8-4100-A5CA-45A3AB9B8353/0/ALN06010.txt 

FY07 U.S. Marine Corps Major Limited Duty Officer Selections http://www.npc.navy.mil/NR/rdonlyres/2512139A-B5EF-4A70-A6D3-33F820E9EDFF/0/ALN06009.txt 

FY07 U.S. Marine Corps Active Reserve Major Selections http://www.npc.navy.mil/NR/rdonlyres/CA788F26-EF0F-4296-93EC-AAED46642941/0/ALN06004.txt 

FY07 US Marine Corps Lieutenant Colonel Selections http://www.npc.navy.mil/NR/rdonlyres/1A55C948-39CC-4D08-983B-03BC037D7A68/0/ALN06003.txt 

FY07 U.S. Marine Corps Unrestricted Reserve Colonel Selections http://www.npc.navy.mil/NR/rdonlyres/5F364035-B2C7-4356-9333-13EF0EBD5AA6/0/ALN06002.txt 

FY 2006 Approved Active Reserve (AR) Staff /Noncommissioned Officer (SNCO) Selections http://www.usmc.mil/maradmins/maradmin2000.nsf/0872a7ac9a4c08a6852569b9000bc3f1/b42a730f6d97b1fa85257100004a21d1?OpenDocument 
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11. FEDweek Special Announcement
2006 In-Print Retired Military Personnel Handb ook Available For Immediate Shipment! http://www.fedweek.com/rmph.htm 

Distribution is Available to ALL Military Bases and we are now excepting bulk orders for shipment. Go to http://www.fedweek.com/rmph.htm  order yours or to find out more information.

Dear Armed Forces News Reader: For 2006, The Retired Military Personnel Handbook has been COMPLETELY REVISED AND EXPANDED AND IS STILL ONLY $9.95! The Retired Military Personnel Handbook is now in its seventh year and has been distributed to military installations and federal government agencies all over the world! It is specifically written for all military personnel and retirees and their families and is designed to guide you through every aspect of your retirement, explaining what benefits you may qualify for and how to get them, as well as providing a context for making many of the important decisions that lie ahead.

Here's a look at just some of what's NEW in the 2006 edition:

TRICARE Plus program --A complete, down-to-earth explanation of the eligibility requirements and the covered benefits

Federal LTC Insurance program --Contains the eligibility, benefit choices, and premium considerations, including how the program differs for active employees versus retirees, tax considerations and other aspects of the program

Tax Policies--The latest information affecting your retirement accounts, estate tax treatment and long-term care premiums

New Retirement Lifestyle Information --Including how to evaluate continuing care communities and nursing homes Incapacity Planning--New important information on protecting your heirs

Pay and Benefit Policies --The latest on COLAs, health and life insurance, Medicare and Social Security, Veterans Affairs and Defense Department programs, and a look at key legislative initiatives affecting retirees Important Points of Contacts--Just updated points of contact, benefit rates, addresses, tax treatment of annuities, status of important legislation and other vital material

The new SGLI family coverage option--What it will cost you and what it will provide

Survivor Benefits --The latest information on survivor -benefit policies and rates

Moving in Retirement--Special considerations for those moving

PLUS, COMPLETELY REVISED INFORMATION ON: Retired pay and benefits--how the latest changes affect you and your family

Disability retirement--qualifying, compensation, implications

Medicare and Social Security benefits--eligibility and requirements

Re-employment with the Government--the veterans' advantage

Financial planning--maximizing your military retirement income

Taxes in retirement--minimizing your tax burden

A plain-English explanation of TRICARE for Life--what it does and doesn't cover, eligibility rules and how to make in prescription drug policies

The new Senior Pharmacy Program--who is eligible, and how you can use it to save money on your prescription drugs

Tricare dental benefits--what's covered and what's not

VA health benefits--eligibility and facilities

Survivor benefits--spouses and family members, divorce

VA retirement compensation--types and how much

Life insurance--USGLI, VSLI and other Government plans

Other VA programs--assistance with loans, income, education, etc.

And much, much more!

"The 2006 Retired Military Personnel Handbook gives you the absolute latest information available on your military retirement and is a perfect tool to be used as a reference guide whether you are just nearing retirement or are already retired." Don Mace Publisher, Armed Forces News

Go to http://www.fedweek.com/rmph.htm  or see Below.

The 2006 Retired Military Personnel Handbook is only $9.95
(plus s&h) and you can place your order online at http://www.fedweek.com/rmph.htm  under our Military Interest section.

You may also call our 24 hour toll-free order line at
(888) 333-9335 and place your order or send your order with payment ($14.45) to:FEDweek, PO Box 5519, Glen Allen, VA 23058.
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Armed Forces News
11541 Nuckols Rd. Suite D Glen Allen, VA 23059 Publisher, Don Mace

Website: http://www.armedforcesnews.com  Published weekly by Armed Forces News, LLC