Retain the Family: Redefining the Military Compensation Benchmark

In support of the Fourteenth Quadrennial Review of Military Compensation, IDA analyzed how military spouses’ careers, the challenges of military life, and military compensation affect retention decisions. The military compensation benchmark compares military compensation to civilian incomes to assess whether it is adequate for recruitment and retention goals. However, for dual-income families, the service member’s pay is only part of the total household income, and military spouses face unique challenges that can limit their contributions to household finances. This report reevaluates the current benchmark and provides recommendations for ensuring that military compensation supports retention needs.