http://www.toledoblade.com/apps/pbcs.dll/article?AID=/20071213/NEWS24/71...
Military members who plan on retiring to Ohio now won't have to worry about how much they'll be taxed.
Ohio joined states such as Texas, Nevada, and Minnesota in no longer taxing a military pension earned after 20 years of service.
I have been talking about this for years. I hope to retire from the military and while I love my home state I wasn't looking to come back.
My wife's home state of Minnesota doesn't tax military pensions. We have made our retirement plans to relocate there to live out our golden years (it's a relative term since I'll be only 45 when I retire from the USMC).
When I initally enlisted I thought I might retire and become a fisherman on the Great Lakes. That dream was stopped when I learned every state taxed military pensions. So then I began looking to other states.
Texas by far is the biggest state in support of the military I found. They not only don't tax military pensions but veterans can go to college for free as well as their children receiving a hefty military discount. Due to that I witnessed many non-Texans from the military retire there to reap the benefits.
When I found out my wife's home state of Minnesota didn't tax pensions we immediate started making post military plans there. It's the land of 10,000 lakes so I will be able to fulfill my dream of living my last years on the water.
We were not alone. My sister-in-law is married to an Ohioan. They are both Marines. They too intend to retire to Minnesota for the same purpose.
This new legislation may cause us to rethink our retirement plans. Ohio is smart for doing this. Military member normally retire to work a second career. Their pension ends up being supplemental income. Normally it ends up to a minimum of 20k per year that can be spent within the state.
MikeyA
At the risk of being tarred and feathered and being run out of town on a rail, I would point out that, unless I am mistaken, military retirees already have a pretty good deal, a generous monthly pension, access to free medical, PX privileges, burial benefits, spousal survival benefits, and a lot more. I don't want to sound like a Scrooge, but many other retirees in the private sector are losing their pensions or having them reduced severely and many others have no retirement benefits.
I don't like paying taxes either. Unfortunately, I'll be paying them till I die on all my income. So will most other people.
FROM THE STORY
But while Sen. Dale Miller (D., Cleveland) said he strongly supports this step, he doesn't like where the journey is going.
"We have seen a succession of subtractions from the Ohio tax base over the recent years, most of them for good causes," he said.
"But we have seen hardly any additions, and I don't think this recent trajectory is sustainable in terms of maintaining and improving state services."
This is just more pandering for votes from the older set. That's, what, 30 thousand more votes for the Democrat administration come 2008?
The pensions vets get ARE pretty good deals. Continuing to heap them with benefits is an outrage to the very idea of FAIRNESS with taxing citizens.
On top of all that, the article in the Blockade noted that Strickland was thinking about making the tax revocation applicable to ALL pensions. THAT is at least a lot more fair, since it doesn't discriminate between pensions. But it's still more pandering for the old vote.
At any rate, has Ohio already planned the cuts it will have to make in line with the drop in tax revenue from this action?
I personally know of several military retirees who are collecting several pensions. One, military, and several other pensions because they "retired" at thirty-eight and went to private sector jobs and retired several times again. Those, plus social security. This can get ridiculous.
Pete, i disagree with you, those military members made many sacrifices during their time of service and many risked thier lives and many more lost thier lives. I think they are entitled to this tax break. And i think its extremly selfish to think otherwise. Not everyone has the guts or the ability to serve their country and i beleive that those that do should reicieve our highest regard.
As for some who move on and earn other pensions from the private sector, well aren't those pensions taxed?
Well, Pete, if you want the tax break, it's easy to get. Sign up! You can be 42 and still be eligible to enlist. Just invest 20 years of your life (probably in Iraq at the rate we're going) and the break is yours. Good luck!
I'm a little long in the tooth to join, Craig. Besides, I already did my time a long time ago. I'm not trying to bust anybody's spheres here... just pointing out that with all the benefits, signing bonuses, retention bonuses, paid schooling, etc., it's already a great deal. As long a you don't get hurt. And, after all, most soldiers never get near the front lines anyway.
you're partly right about the bonuses and extra money Pete.
However you must remember not everyone qualifies for them. They are service, occupation, and time specific. Likewise if your status changes you may be forced with giving that money back.
Also as a supplement to military pensions military members are allowed to join the government Thrift Savings Plan. The same one Federal employees get. However Federal Employees get the first 5% matched. Military members do not.
So with the 10% cap on the TSP that means federal employees get 15% of which they pay 10% and military members only get 10% of which they pay completely. Now I'm not saying this is right or wrong but as an added bonus military members get to spend X-mas, thanksgiving and name any other nat. holiday away from their families while federal employees get them off.
MikeyA
And, after all, most soldiers never get near the front lines anyway.
Your kidding right? I'm pretty sure there is a war going on and they have people from every branch there or going there in rotations, including the national guard and reserves.
So i think that its safe to say that most of the soldiers that are serving right now will do or have done a tour in the sandbox, its only a matter of time before they get sent.
Yah, but I'll bet plenty are in the Green Zone at their typewriters. How many are in Japan, Korea, Germany, and elsewhere. The active-duty strength of the U.S. military is 1,479,000 people.Trouble is, anybody in the military qualifies for this even if he spends his entire career in Frankfurt -or Washington.
As of 2003, the United States occupied over 700 installations in over 36 countries worldwide.[5] Some of the largest contingents are:
Germany 75,603
Japan (United States Forces Japan) 40,045
South Korea (United States Forces Korea) 29,086
Italy 10,449
United Kingdom 10,331
According to United States Army Lt. Gen. Ray Odierno (lead commander of day-to-day operations for Operation Iraqi Freedom), as of May 5, 2007 there are approximately 160,000 U.S. troops deployed in Iraq.[6] Approximately 19,500 U.S. troops are engaged elsewhere throughout the Middle East, with most forces currently deployed in Operation Enduring Freedom in Afghanistan.
Here's another number for you, Pete:
25% of this nation's homeless are veterans. I guess that's because they were so used to doing nothing while they served their time that just couldn't hack it in the real world where people have to pay taxes.
Well i guess i consider "front lines" different than you do.
But the fact that you dont think our military personell deserve a tax break on thier retirement makes me wonder.............but i will keep that to myself.
I also wonder what kind of place we'd be living in if it weren't for the sacrifice of so many, but you proabably dont care as long as they dont get a tax break.
I'll be honest with you - I'm not a big fan of the tax break either.
And this is the kind of innuendo that makes me wonder about YOU. What am I, unpatriotic for daring to voice a question about this tax thing? That's crap! While you're at it, tm, why don't you just brand anybody who doesn't agree with you here a communist. "but i will keep that to myself." Bullshit!
Pete: The only flaw in your thinking is the 'good deal' section. If serving in the armed forces were a really good deal, the US wouldn't be advertising for new recruits. Everyone who is in the service would be trying to stay in for 20 or more years so they'd get that golden parachute you're talking about.
Being in the armed forces is tough. Just as soon as you sign on the dotted line you become the property of the United States Government. No matter what you've been promised, you can always be stuffed under a helmet and issued an M-16 then told to go out and kill a few sand monkeys, gooks, VC or what ever happens to be operating that AK that's throwing lead at you. What gets to me are these idiots who somehow do not understand that when they enlisted they agreed to do as they are told and go fight the enemy.
This exemption was far and away too long in coming. My thanks to all those people who serve or have served in the armed forces.
"the US wouldn't be advertising for new recruits. Everyone who is in the service would be trying to stay in for 20 or more years so they'd get that golden parachute you're talking about."
They do. Its' called the Air Force, where they've tried several programs in getting people to leave.
Pete, i was simply giving an observation based on the things you said. like saying the miltary have all these great benefits and whatnot. Maybe i misunderstood you but i got the impression that you dont think very highly of our military, if i was wrong i apologize, if i was right well FU. Fair enough?
I find it interesting that this raises as much a debate as it does.
I was posting that this is a way for Ohio to get more military veterans to come to the state. Military veterans are some of the most experienced and most sought after candidates for jobs since they get the best on the job and leadership training as well as experience as both.
I don't know if I'd say "Most soldiers don't see the front lines" because in today's conflicts where are the front lines? The job that has seen the highest casualties has been that of military police. I had a friend who was an admin Marine, sat at his typewriter in the green zone actually, but was always point security in convoy's. Convoy, which are primarily logistical, have been the hardest hit of any military operations in our current conflicts.
Whether military member deserve multiple pensions is not what I'm debating. However military members who do a full 20 yr career normally also end up with a dabilitating injury that requires extensive care after their service.
The average full career Marine lives to the age of 57. Just to put it in perspective a 10 year NFL starting QB lives to the average age of 55. I heard these statistics in boot camp and it puts into perspective the type of damage 20 years of putting your life and safety can do.
But back to the original topic I think more military veterans in Ohio is a good thing. Not only do they have extra disposable income but they bring with them a wealth of knowledge that can be tapped for civil service and the public sector. Former Military commanders have proven to be effective public leaders (JFK, Eisenhower, McCain, Glenn).
MikeyA
I hope they all come to NW Ohio to retire and bring all their money with them. We could use it. My only concern here was the inequality of these tax breaks. I would like some breaks myself and so would a lot of other people who have worked hard and sacrificed to make a go of it. I personally know a lot of retired ex-military guys who never got near a rifle or battlefield and it just gripes my ass to have them getting these tax breaks along with the other benefits. I am not anti-military, but I do think we have elevated them as a class into untouchable icons. Hell, many of us my age were in the military at one time or another and I know we're not "heroes", a much over-used word, by the way. I wouldn't mind giving something to a guy who actually was in combat, but most never saw it. Keep in mind, we're not talking just about current military; we're also talking about many millions of ex-career military who spent their time on some domestic or European base somewhere.
Hell, many of us my age were in the military at one time or another and I know we're not "heroes",
Pete, if you were in the military, even if you didn't fight, i'd still think of you as a hero. Becasue there was a possibility that you may have had to fight. But i see your point and i do apologize for being nasty.
That's o.k., tm. Sometimes I can get a bit crusty myself.