ADP Systems:

Army and Air Force Military Retired Pay Systems Can Be Improved

IMTEC-87-32: Published: Aug 28, 1987. Publicly Released: Aug 28, 1987.

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GAO reviewed selected automated and manual control procedures within the Army and Air Force automated retired pay systems to determine whether the procedures ensure that retirees and annuitants receive correct payments.

GAO found that: (1) the systems accurately processed retired and annuitant pay for most transactions it reviewed; (2) the Veterans Administration's failure to inform the services of veterans' benefits caused overpayments totalling over $1.2 million; (3) the Army estimated that there were additional overpayments that totalled between $2.1 and $9.7 million; (4) due to manual errors and the underutilization of available computer matching controls, the military finance centers failed to apply pay offsets; and (5) the military finance centers initiated pay adjustment collections or credits for all retirees and annuitants found to be incorrectly paid.

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