Sec. 641. Clarification of prevention of retired pay inversion in the case of members whose retired pay is computed using high-three
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Subsection
(f)of section 1401a of title 10, United States Code, is amended— in paragraph (1)— by striking and inserting Prevention of retired pay inversions .—Notwithstanding any other provision of law, the ; and Prevention of retired pay inversions for members with retired pay computed using final basic pay .—The by inserting who first became a member of a uniformed service before September 8, 1980, and after of an armed force ; by redesignating paragraph
(2)as paragraph (3); and by inserting after paragraph
(1)the following new paragraph (2): Subject to subsections
(d)and (e), the monthly retired pay of a member or former member of an armed force who first became a member of a uniformed service on or after September 8, 1980, may not be less, on the date on which the member or former member initially becomes entitled to such pay, than the monthly retired pay to which the member or former member would be entitled on that date if the member or former member had become entitled to retired pay on an earlier date, adjusted to reflect any applicable increases in such pay under this section. However, in the case of a member or former member whose retired pay is computed subject to section 1407(f) of this title, paragraph
(1)(rather than the preceding sentence) shall apply in the same manner as if the member or former member first became a member of a uniformed service before September 8, 1980, but only with respect to a calculation as of the date on which the member or former member first became entitled to retired pay. . Such section is further amended by striking subsection (f)(2) in subsections (c)(1), (c)(2), (d), and
(e)and inserting subsection (f)(3) . Paragraph
(2)of section 1401a(f) of title 10, United States Code, as added by the amendment made by subsection (a)(3), applies to the computation of retired pay or retainer pay of any person who first became a member of a uniformed service on or after September 8, 1980, regardless of when the member first becomes entitled to retired or retainer pay. Such section is further amended by striking before the enactment of the National Defense Authorization Act for Fiscal Year 2008 in subsections
(d)and
(e)and inserting before January 28, 2008 .