European Stars and Stripes (Newspaper) - February 03, 1969, Darmstadt, Hesse Page 8 the stars and stripes monday february 3, 1969 letters to the editor the thu Brett pay plan i much More confusing Afler Reading the article on the Hubbell pay plan in is Jan. 12, and the one on retire ment in the Jan. 13 edition 1 Felt that i should Point out what feel Are some problem areas that will develop if the plan i adopted. The Way the plan has Bee explained so far it is much More confusing than the pres ent salary system which i find is not As confusing As most peo ple would like to have us be Lieve. Here Are some of the prob lems i feel will be created bythe plan. The Cost of quarters torrent will probably increase by As much As 50 per cent. The e6will probably pay about $150 for the same quarters he now has and it will not include the Cost of the will the quarters assignments be made on a first come first served basis with any quarters available open to everyone in other words Cana sergeant rent officer quarters if they Are available and he is willing to pay the rent can a Junior officer rent senior officer quarters will rent fluctuate As local prices go up or Down will individuals have to accept government quarters if they Are available when better or less expensive quarters Are available on the Economy will there be an extra charge for furnished Quarter overseas or stateside since an Independent assessor could so consider them will we still have building coordinators senior occupants Etc will the quarters be Man aged on a civilian Type basis like on the Economy where the House owner or the superintend ent is there to take care of the apartment building to include doing the stairwell sweeping the sidewalk shovelling Snow less take Home pay after Reading another confusing article on the Hubbell pay proposal Marc Huet s no one would lose Jan. 12 is i Felt compelled to submit the following personal study of the 12.5 percent raise is. Hubbell pay plan. I am using my Grade e7, my Lime in service Over 12 and five deductions for income tax Pur poses. Base pay bad $114.90 rations 139.90 clothing $6.90 i up $30 up $50 up $75 Hubbell pay proposal note annual pay plus 12.5%, pro pay Scales 1, 2, 3, 4 included in computations. Social Security tax figured at 3% Steps 123 45 base pay & pro pay $5,998.08 6,358.08 6,598.08 6,898.08 8,721.00 3% 3% 3% 3% 6.5% step 1 step 2 step 3 step 4 step 5 is tax or Rytir a taxable income Standard deduction exemptions 5x$600 total exemption income subject to tax tax liability is & ret. Total deduction from take Home pay up & by pay less deduction $ 179.94 $5,998.08 10% $ 599.81 $3,000.00 $3,599.81 $5,998.08 $3,599.81 $2,398.27 $ 389.27 $ 179.94 $ 569.21 $5,998.08 $ 669.21 635.81 3,000.00 3,635.81 6,358.08 3,635.81 636.87 6,358.08 636.87 659.81 3,000.00 3,659.81 6,598.08 3,659.81 2,938.27 484.13 197.74 682.07 6,598,08 682.07 206.74 6,898.08 10% 689.81 3,000.00 3,689.81 6,898.08 3,689.81 3,208.27 634.26 206.74 741.00 6,898.08 741.00 take Home pay $5,429.87 add bad rations and clothing $1,940.40 556.87 8,721.00 10% 872.10 3,000.00 3,872.10 8,721.00 3,872.10 4,849.90 859.44 556.87 1,416.31 8,721.00 1,416.31 7,304.69 total take Home pay $7,369.27 7,661.61 7,856.41 8,097.48 7,304.69 note compare step 1 is. 5. A loss of $64.58, step 2 a loss of $356.92 step 3 e. Loss of $�51.72, and step 4 a toss of $792.79. I have carefully examined All computations and providing my facts Are Correct have shown Huet that at least one group of enlisted men will lose in actual take Home pay. Single e7 in my category will also lose unless aboard ship or on Maneu vers in the Field. The of and 02 group officers will realize Little if any gain Over the 12.5 pay increase. The Hubbell pay plan is not without Merit As the 04 and above group officers will receive healthier pay increases. Money appears to be the sole plan for retention As curtailment of the 20-year retirement plan is in the making by the two phase plan. Curtailment in this Case Means that it would not be Worth retiring at 20 years. Presently the 20-year retirement plan would not be bothered but future pay increases could stall on this plan which appears to be the Case. Post exchanges Are going to increase their prices under the Hub Bell creating further Dollar deficit to the Serviceman. Also when bad is added to total pay there is no guarantee that when government quarters Are re valued we will be paying rent according to what is charged in the local area further reduction in take Home pay. Nav but anti Hubbell editor s note pro pay would not be eliminated under the current Hubbell proposal. The plan states that proficiency pay should remain fixed at present Dollar amounts although the num Ber of awards and the multiples should be closely controlled and reduced wherever the new parity salary will achieve the desire incentive effect also by figuring the social Security tax at 3 per cent instead of the present 4.8, you did not deduct enough from the total take Home pay in All four Steps. You were Short by $107,97 in step 1$114.45 in step 2 $118.97 in step 3 and $124.37 in step 4. Incorporating these figures into your Chart results in a total take Home pay of $7,261.30 under step 1 $7,347.16 under step 2 17,737.44 under step 3 and $7,973.11 under step 4. Editor s note few issues have sparked As much controversy Andas Many letters to the editor As has the Hub Bell pay plan. During the next three clays we will publish a representative sampling of the letters behave received on the plan. Then we will closeout letters Page to the subject for the moment at least. Police Call grass cutting is included in the Normal rental the single individuals have to pay for their room inthe billets if so How Are you going to compare their living area in a squad room of 11 peo ple or when two or More squads live in one Large room As compared to something Sim Ilar on the Economy will the individual Soldier be allowed to paint his room or area the color of his Choice As Long As he spaying for it these questions May seem silly but believe me that is the first thing some of the soldiers Are going to ask and their cos and officers will have to have the answer. Will single soldiers of lower grades be allowed to move off Post if they feel that thereat charged by the govern ment is not fair or that the room is not Good enough. The Point that i m trying tomake on retirement is Money is not the primary reason mos people get out. Let s see what the present retirement system offers and what an e6 with 20 years service can expect wit the 12.6 per cent raise and the Hubbell plan present 12.6�i Hubbell yearly base pay $5,248.80 $5,878.85 $7,734.00 20 year retirement 50% 50% 75% 25-35 years retirement $2,624.40 $2,939.32 $9,800.50 salary As you can see under the present system the e6 can t afford to quit without getting another Job. In this respect the Hubbell plan offers More How Ever the Serviceman will have to stay in longer to get portion of the Hubbell plan is appealing. Coupled with stabilized Tourin the states after 20 years of service it might provide the incentive for the career soldiers to stay in. There Are still som Basic problems that have to be solved such As Job dissatisfaction and promotions which play a major Factor in service men leaving the service. I feel that questionnaire should have been sent out by the Hubbell committee to across Section of the armed forces officers cos and pm career and no career to see what they would like to see i their pay Check and to see what it is that drives them out either Early or after 20 years of service. As a solution to see if the Hubbell pay proposal would work i can Only suggest a test program be conducted with a Cross selection of different rank and career and non career personnel being selected to live fora year under the Hubbell pay system and see if they Are bet Ter off under the present or the Hubbell system. The Only sure test of whether something will work is to put it to the practical test of everyday living. Capt. Samuel Novotny Sandhofer Germany non career Man i am a non career married Man with under four years service who does not under stand the Hubbell pay plan As stated so far in your paper. I am wondering if All i will receive under the plan is the base pay for non career air men stated in your dec. 21 is sue. If this is the Case i will lose around $100 a month. Secondly if the Hubbell plan goes into effect according to your Jan. 13 Story an e7 with14 years service will receive a $600 yearly pay raise while ano2 with More than two years will get More than $1,400.allowing the officer four years for College and two years inactive duty he will have a total of six years of the e7 has 14 years of experience the Hubbell plan makes it look like 6-14 equals $1400-1600.also according to Jan. 14 article presently an e7 retiring with 20 years service at 37 is expected to receive a lifetime retirement pay of $161,711. How Ever according to the airmen spay guide of july 1, 1968, the same e7 with 20 years service who retires at age 40 is expected to receive a lifetime retirement pay of Only $95,443. Can someone please explain these apparent inconsistencies sgt. Frederic j. Gregg Iii Alconbury England editor s note a Singleton career e4 with More than three years service would draw$200.22 monthly in what the Hubbell committee Calls Resi dual this income is described As Cash left Over after procuring food housing clothing medical care and pay ing Federal income and social Security in other word Clear Money. Since your Are married How Ever you will be Given a supplemental allowance. The Hub Bell committee found that the present dependent assistance act allowances were appropriate supplements to non career income and they will enable the few non careerists with de Pendents to meet their reason Able family obligations. The committee proposed that the present rates of $60, $90.60 and$105 in the dependents assist Ance act allowances continue Tobe paid to non career service men with dependents. Even if your calculation were Correct you would not lose Money because of the one time save pay provision which would be incorporated on con version to the salary system. The provision insures that Noone suffers a reduction in Cash take Home pay defined us salary less Federal income tax social Security Pica tax an the vested retirement contrib the Hubbell study recommends that pay rates for non career members should be such that regardless of pay Grade or longevity step a non career Serviceman s residual income at least equals the average residual income of a single full time employed male civilian who is earning the Legal mini mum wage now $1.60 an civilian counterpart is de fined As a single male High school graduate of the same who is employed full time. The number of years of experience of the o2 and that of the e7 were not used As a basis for determining who would get How much pay comparability to civilian pay was the key used by the committee. The salary of an e7 was based on salary being earned by a civilian having the Sam amount of experience and doing the same Job in a civilian Community. This was also done to find a pay Standard for the 02and All the other grades. For example the committee found that in the army s Auto motive mechanics specially the average civilian earnings opportunities of an e5 is $6,227per year. In other words this is the amount made by a Civili an Auto Mechanic with the same characteristics As an e5average age 28 and nine years of service. For the e6 this value was found to be $6,824 per year and $7,053 for an e7.combining these results for each pay Grade across All the military occupations produced an estimate of the average civilian earnings opportunities Dod wide for each enlisted and officer pay Grade. The difference Between the airman s pay guide and the one in our Story will be eliminated when you take into account the benefits in addition to Cash retirement pay Avail Able to the e7 after his retire ment. The airmen s guide covers Only the Cash retirement pay our Story also included the monetary gain from his use of the Exchange and commissary facilities and medical coverage for him and his family. European edition it. Col. F. 8. Michael jr., u8af editor in chief Mert Proctor managing editor Elmer d. Frank production Mana sep Henry 8. Epstein circulation manager thai newspaper i an authorized publication of the department of of in Fop . Armed forces overseas. The Start and str Pei it published by the com Mandr in chief j.8. European command in support of the command internal information programs of the department of Pesente. Contents of the Start and stripes do not necessarily reflect the official View of the . Government or the department of defense. 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