Long-standing problems in the Defense Department’s payroll systems have resulted in thousands of soldiers being underpaid or overpaid while serving in the global war on terrorism. But the military’s focus seems to have been on those who were overpaid, as thousands of soldiers who returned home found the Army — or collection agencies — going after them for debts they frequently didn’t even know they owed. Rep. Tom Davis (R-Va.) called it “financial friendly fire.”
A series of Government Accountability Office reports released Thursday summarize the problem: (PDF) “nearly 1,300 Army GWOT battle-injured soldiers who left the service or were killed in combat had military debts totaling $1.5 million during the first 4 years of the [Operation Iraqi Freedom/Operation Enduring Freedom] deployment. Within this total, almost 900 battle-injured soldiers had debts totaling about $1.2 million and about 400 soldiers who died in battle had debts totaling over $300,000.”
That’s right, they’re going after dead soldiers who might have been overpaid, too!
The report made it plain: “We found that hundreds of separated battle-injured soldiers were pursued for collection of military debts incurred through no fault of their own.”
“It’s unconscionable,” said Ryan Kelly, 25, a retired staff sergeant who lost a leg to a roadside bomb and then spent more than a year trying to fend off a debt of $2,231. “It’s sad that we’d let that happen.”
Kelly recalled the day in 2004 when, months after learning to walk on a prosthesis, he opened his mailbox to find a letter saying he was in debt to the government — and in jeopardy of referral to a collection agency. “It hits you in the gut,” he said. “It’s like, ‘Thanks for your service, and now you owe us.’” — Washington Post
It gets worse. Apparently, if you get medically discharged, you lose your enlistment bonus.
Army specialist Tyson Johnson of Mobile, Ala., had just been promoted in a field ceremony in Iraq when a mortar round exploded outside his tent, almost killing him.
“It took my kidney, my left kidney, shrapnel came in through my head, back of my head,” he recounted.
His injuries forced him out of the military, and the Army demanded he repay an enlistment bonus of $2,700 because he’d only served two-thirds of his three-year tour. — ABC News
Johnson was eventually forced into living out of his car, finding himself unable to rent an apartment due to the black mark the Army placed on his credit report.
The GAO also surveyed injured soldiers who were transferred to Fort Bragg, N.C., to be treated for their combat injuries. It found (PDF) that most soldiers there on an outpatient basis had been overpaid for hostile fire and hardship duty pay, and when the Finance Battalion finally figured that out, it docked the soldiers’ pay. One soldier had $1,172 deducted from a single paycheck. Others went without paychecks for months, a GAO investigator told Congress.
The problem, as almost every soldier knows, is that the Army’s payroll and personnel systems are completely FUBAR. “For 9 of the 10 MRPU soldiers in our case studies, it took pay technicians at the Fort Bragg Finance Battalion from 14 to 203 days to stop the overpayments once the MRPU soldier visited the Finance Battalion,” according to the GAO report. And after that, you get no pay until the Army has all of its money back.
“DOD data showed that most of the debts of the nearly 1,300 soldiers who were injured or killed in combat related to errors in pay calculations and overpayment of combat pay entitlements and erroneous payments for unused leave.” And that’s because they can’t get the payroll and personnel computer systems to talk to each other. Maybe it’s because there are hundreds of disparate systems, none of them compatible with each other. It’s a miracle any soldier ever gets paid correctly.
“Preventing these problems from occurring in the first place is the best solution,” GAO managing director Gregory Kutz testified (PDF) before the House Government Reform committee Thursday. “Our past reports included over 80 recommendations for improvements in human capital, processes, and automated systems to address pay and travel problems.”
I’ve read most of those reports as they cross my desk, but I don’t usually cover them here. But enough is enough. DoD needs to straighten out its “fundamentally flawed, error-prone system” for paying members of the armed forces, and do it soon, before they ruin any more lives.
In the meantime, DoD can forgive the debts of these injured and killed soldiers, just as it did for one soldier who was injured and suffered permanent brain damage three months in his tour, but who was reported as AWOL due to some desk jockey not entering his status into the computer correctly. It shouldn’t take Congressional investigators getting involved in the situation before the Army does the right thing by those who have made sacrifices — even the ultimate sacrifice — for their country.
(1 votes, average: 5.00 out of 5)
Loading ...
Ultimately, the war supporters in Congress prevailed in the vote on the resolution. Still, the vote was significant because it places every member of Congress on the record as supporting or not supporting the unconstitutional, costly, violent occupation of a country that never attacked us. This vote should serve as an important reminder to the American people of where their representatives really stand when it comes to policing the world, empire building, and war.
Gardner Goldsmith explains why claims by politicians that consumers can become "irrational" and why claims by the same politicians that government can help "fix" markets are both false and misleading. He also explains what the terms Praxeology and Epistemology mean, which is key in understanding how to place free markets in their proper place among human history.
Except where otherwise noted, content on this site is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works license.
Video published by this site is licensed under a Creative Commons Sampling+ license.
Facebook
Digg
del.icio.us
reddit.com
Newsvine
Lenny Zimmermann
Apr 28, 2006
Then again, maybe even the military is getting too big for its own damned britches. (Well, that’s been true for a long while now, on the administrative side of things.)
Rob Davidson
Apr 28, 2006
Way to “Support The Troops”, guys!
The whole damned system was a joke back when I was a company clerk in the Army back in the 70’s. Thirty years later it’s apparently even worse than ever.
(And people wonder why I’ve become such an “anarchist” in my old age…)
Sharon O'Campo
Jan 14, 2007
Hello I served in the war on terror. I was activated in February 2003 and was actually deployed in May of 2003 to Kuwait with the 770th Engineer Company out of Penn Yan, NY. I was returned to the United Stated in December of 2003 on a chapter due to no family care plan because my husband is 100% disabled and retired from the Army. In April of 2004 I was informed that I owed the government a little over $3500.00 dollars. They stated that I was overpaid in December of 2003 and that I did not earn my leave pay. I phoned the 800 number on the letter and was told that I would have to disputer the payment by submitting proof that I had indeed earned the pay in which I had recieved. I paid $1500 dollars agreeing that I had been overpaid that much in December but did not think I had to pay back the leave pay because I had earned 26 days of leave to be paid out to me. So I submitted a letter along with the copies of my orders and my discharge DD214 as proof of my earning my leave. It has been approxiamatley 2 years since I have heard anything about it until now. I have been turned over to a collection agency called Allied Interstate incorporated stating that I have to pay the DOD $2456.63 within the next thirty days. This debt has already been placed on my credit report since 03/06. What can I do to get this taken care of. I served 10 years in the Army and went to war away from my Husband and my two young boys, for what to be treated as though I was garbage. I really do not feel that the soldiers should be treated like this. i understand that I signed up for the Armed Forces however I did not sign up for it to ruin my credit. I did nothing wrong and I do not believe have done anything to deserve this type of treatment. I currently have in my possesion proof of my situation. I have my originals not copies of all documentation stating that I do not owe the government anything. Please help figure out how to take care of this. I feel as though I am being unjustly charged.
Thank you I look forward to hearing from someone soon. I believe I will contact my senator ar anyone who will listen to help all soldiers in this situation from being taken advantage of. I dont bemlieve it is right to send soldiers to war for the country and then being them home and spit at them and treat them like they are worthless. I think we should be saying thank you for putting your life in jeopardy for the country that you believe in.
no_gijane
Mar 01, 2007
I recently separated from my husband due to his infidelity. He has also advised me that he wants nothing to do with me or our daughter. He worked from home and was the only one I would leave my daughter with. I don’t have a family care plan and I will not put my daughter in daycare or any other kind of care for that matter just to finish my term. I will not give custody of my daughter to anyone. My command knows that I have been with my husband for almost 11 years, therefore, our breakup feels life a death in the family. Noone is hearing me, though. I want out of the military because I cannot function as a soldier. I need to be in my hometown with my family where I can get the support I so desperatly need. Can anyone tell me what I have to do to make my command understand that I need to get out on the Family Care plan and get them to start my paperwork?
S_Y_B
Mar 29, 2007
Sharon…I am in the same boat as you. I was activated and deployed to Iraq in 2003. After returning home, I joined a civilian company and returned to Iraq. I just found out that a collections agency is attempting to collect a $3550 debt because the Army states that I was overpaid. There is some really good information online to help with this. My advice is as follows:
1. Contact the credit agency and tell them that you are disputing the debt.
2. Tell them that you do not wish to be contacted by phone adn do not answer any of their questions.
3. Write a dispute letter and send to collections company and the US Treasury Department (the Army refers debts to them and they sell to collections companies).
4. Send all evidence to support your positioning to the collections company and US Treasury.
5. Hurry to complete this and then wait…Hurry up and wait…I’m still waiting…hopefully the process won’t take long to resolve this.
Do a Google search for credit dispute letters…there are a lot of free listings. I have also sent dispute letters to the credit bureaus.
If you or anyone else has any better information, please post. This is a super unfortunate situation and totally unfair. Let’s assist each other and get out of this before it’s too late.
Thanks.
ENFA Green
Apr 18, 2007
sleepwalk and get caught.
michael
Jul 19, 2007
I AM LOOKING TO FIND OUT HOW TO TAKE ACTION FOR OVER PAYMENT SUCH AS THOSE STATED ABOVE. PLEASE SEND ANY INFO THAT WILL HELP.
Anonymous
Jul 25, 2007
My brother is a Sgt. in the Military. In 2004,he came into contact with General Taguba in Kuwait. General Taguba wanted to send my brother and his unit into combat with no training and no weapons. My brother refused, and now the army is sending him to the frontlines in Iraq. He has been fighting the miltary on this issue for three years now. The army is a joke, and they don’t protect thier soldiers, nor do they follow procedures. The army is too strong and they can do whatever they want. I have wrote Senator Doolittle, Lugren,Boxer and they are just as useless as the army.
Devonkali
Sep 18, 2007
I too would like to find out how to straighten out this overpayment situation. My husband was Court Martialled on a bogus charge. Anyway, they ordered forfeiture of all pay & allowances. But the court waived the forfeiture for a six month period, the money was to go to his four minor daughters for support. Now the Air Force says he was overpaid. They claim he owes $16,000. Which would be the sum of the six months of pay his daughters received. We’ve been disputing with them for over a year. Once we figured out that it was the waived period for which they claim he shouldn’t have been paid, we sent in all court documents stating that that period had been waived. Now they claim that it was placed for retroactive collection! Funny, how they never said that until we pointed out that he was supposed to receive that! Anyway, I need to know how to fix it. Someone advised that you can take bankruptcy and only claim the DoD debt, but we really want to avoid that. It’s hurting his credit so bad, and we were just getting it straightened out from his being gone for three years. Please help!
Steve
Sep 30, 2007
I am starting a brand new webpage on my website () devoted to all Veterans having both monetary & health coverage issues. The problems need to be sent to your local newspapers, TV stations, Congressional Representatives & Senators.
If you hear no answer back after 30-days we send the same facts in another notice to all those we notified the 1st time around; plus notify your state representatives, senators & county commissioners as well. Even though your state representatives & county commissioners are unable to address the issue, they can address the Congressional Representative & Senators on what is actually being done about your issue. This can play a major role in the election of these elected federal employees’s we put in office.
I will continue to send a weekly message with your written complaint attached to your representative & senator until you notify me they have contacted you. Once contacted, I will send a notice starting 14-days later to ask if they have addressed the issue. In the meantime we will continue to notify your news media until your issue is resolved.
This country needs to step up their voices & be heard when defending our Veterans. Looking forward to helping a fellow Veteran, please send me your complaint via e-mail to: newdealdemocrats@gmail.com. Also, I will post your complaint online at my website in its entirety & the dates everyone has been notified about your issue.
Celeste
Oct 22, 2007
My son reenlisted for six years in Iraq in Feb 05 to receive a tax-free bonus of $12,000. At least, it was supposed to be $12,000 and tax free, but the Army kept screwing it up and paid him partial amounts which they taxed, then took some back, etc.
After lots of accounting work by me, we figure he cleared $8,000 after the mess. Ten months later, he received an Other Than Honorable discharge from the Army (which has since been upgraded to Honorable) due to PTSD and alcohol problems. He also had a torn ACL that the Army did not fix.
Within two months he started receiving bills for $25,000! I sent a certified letter stating why we felt this was a grossly inflated amount, and requesting an itemized statement showing how they came up with this figure. No one ever answered, and the letters kept coming with mounting interest.
My son was only working a menial labor job at the time, and when he filed his 2005 and then 2006 taxes, the Army garnished his returns. He has not worked at all in 2007, and the Army has turned the debt (NOW $39,000!) to a collection agency which calls daily no matter how many times I tell them to go to hell.
Of course the Army also sends him letter after letter asking him to come back in! What a cluster …….
Pissed Off
Nov 13, 2007
The soliders in Iraq have and alcohol problem. IT’s illegal to consume or have alcohol but it’s here. The army doesnt try to help soliders or find out whats the problem all they do is take rank extra duty and everything they can do to a solider. Not once have a ASAP officer came and talk to any of the soliders or anything. They blam the lower enlisted but the officers drink to, they just dont get checked. I hate the army and everything it stand for and I promise once I get out I will help soliders that the army screwed the hell over
Ben Terry
Nov 20, 2007
This is just another slap in the face to our troops. These folks joined for different reasons but they all served and have earned ALL of their benefits. This rates right up there with giving them a one time lump of cash for them to sign away their VA health benefits. The fools who come up with these programs HAVE NEVER SERVED. If they had they would not find ways to mess over their brothers and sisters.
Sandra
Nov 20, 2007
I was wondering if anyone knew if I would have to pay my re-enlistement bonus of $7500 if the army forced me out due to lack of family care plan? Thanks and I feel for all of our soldiers who are getting screwed. It’s not right to be treated that way and may be a good thing the National Guard may be forcing me out. Thanks.
Stephanie
Dec 09, 2007
Sandra,
The re-enlistment bonus will have to be paid back if they choose. I know first hand what they do. They will wait about 4 yrs. and then find it then add all kinds of stuff to it! So I would contact someone about it now. It happened to my husband and brother. And they are screwing us with the leave pay. They said that they paid when they shouldn’t but my husband had 23 leave days. He took emergency leave because his grandfather died. They Army is a messed up place and I feel bad for how the soldiers get treated!
Anonymous
Jan 01, 2008
i just got a bill for over 15,0000!
Jill Atwood
Jan 01, 2008
I’m reading all these stories and to me this is so crazy, but my husband is really considering joining the Army and I’m so against him joining, but he feels this is going to help our family down the road, for retiring and all the schooling and all the bonuses he was told about.Please if anybody out there can tell him the truth about what really happens, cause he is only hearing what the recruiters are say and it sounds good.Desperate to her from anybody……….
Marie Taylor
Jan 30, 2008
I am trying to get my paper work in order so get out on a family care plan after 7.5 years so I just want to speed up the process so can anyone tell me what documents and active duty member needs?
Matt
Dec 04, 2009
I joined the army – in part – to pay off debt I’d accrued from a business that collapsed due to our wonderful economy. I paid of about $7000 in debt just in IADT.
Now the army informs me they overpaid me by $4500 and I’m nearly where I started. I didn’t even know I was being paid too much. I had just started! How was I supposed to know what a correct paycheck looked like?
In the meantime, they hve failed to pay me my enlistment bonus and I’m having to stay with friends, effectively homeless. And going to drill doesn’t help because the army now seizes all my checks.
I’m currently seeking a discharge. I wanted to serve my country, but I can’t trust the army in even the most basic ways. I’m supposed to go on deployment and still watch my check like a hawk so that some pencil pusher doesn’t knock me thousands in debt and ruin my credit??? No thanks.