Research on CF pay system

[TaxStudent]

Hi!

I'm a student currently working on a paper on how the Canadian Forces can be better rewarded for their services.  Particularly I'm looking for ideas on how tax policies may be used to achieve this goal.  As a first step, I'm trying to understand the pay system of the Canadian Forces and have reviewed the DND website and this forum for the associated information.  However, I still have some other questions which I hope members of this forum may have knowledge on.  The questions are as follows:

1) How does one advances between the ranks?  Are promotions automatic or based on an assessment of the knowledge, skill and abilities of the individual at the top Incentive Pay Category of the rank?
2) Are there pay ceilings once a CF member gets to certain levels? (ie Chief Warrant Officer of a Non-commissioned Member)
3) How is military pay taxed?  It is to my understanding that basic salary is taxable.  But there is a tax policy that exempts tax for CFs on foreign deployments at the medium to high risk levels.  How do you feel about this tax policy?  Do you think that it represents adequate compensation?  If not, what more can be done?   
4) What kinds of allowances are given to all Canadian soldiers? What kind of allowances are only given to soldiers employed on foreign missions?  How are these allowances taxed?  It is to my understanding that some are taxable, ie Posting Allowance.  Which allowances are non-taxable?  It is to my understanding that Operations Allowances are non-taxable, is that correct? 
5) I have also noted in my research that the "Posting Allowance" is taxable and the amount paid differs depending on marital status and rank.  Are there other allowances that are paid based on these factors?  How do you feel about the fairness of such provisions?

Those are my questions at this time.  Any answers or guidance will be greatly appreciated!

Thank you!!
TaxStudent
   

 

[GAP]

Have you contacted the Canadian Forces itself? They maintain the standards, therefore are probably most able to answer the questions.

 

[Fishbone Jones]

As a first step, I'm trying to understand the pay system of the Canadian Forces

So are the rest of us that have been on the receiving end of it : ;D

 

[geo]

you might want to scour the recruiting web site:
http://www.recruiting.forces.gc.ca/engraph/army/index_e.aspx?bhcp=1
look at the FAQs
a lot of your questions will be answered.

 

[anton]

I can't believe this. You...want US..to do your homework...for YOU??

 

[TaxStudent]

This is for a research paper that is NOT to be graded as I have already graduated from university.  Hence it is NOT for a homework assignment, but is additional research for my professor.  Please note that currently the summer school term has ended for both university AND high school.    So, no this cannot be and is not a pursuit for an easy homework solution.  Rather it is an attempt to hear the opinions of members of the CF on what may be done to help improve the current shortage of soldiers.  Also I have already attempted to look for answers to those questions on the DND website prior to posting these questions, and will contact some recruiting offices in my location thanks to the helpful guidance of earlier members' postings.  I'm sorry if I gave the perception that I'm trying to look for an easy solution.  But the questions are essentially meant to increase my understanding of the pay system and hear the opinion of actual members of the CF so as determine what is deficient in the current system and to come up with ideas on ways to better recognize the work of CF, perhaps through an improvement in the pay system or by using tax policies.  Any other views/ideas/guidance is greatly appreciated.           

 

[Fishbone Jones]

So, who are you working for? Just like to know by who and where the info is going to be used, is all.

 

[TaxStudent]

I am a student from the University of Waterloo.  This paper, if it gets finished, may be submitted as an article for a tax journal.  Is there any problems with this?   

 

[aesop081]

what may be done to help improve the current shortage of soldiers.  .             

Call me crazy but i dont think that our recruiting/retention is a matter of pay and taxes. IMHO, image and equipment are more the way to go since we already get remunerated pretty well, QOL has improved quite a bit over the years so i dont think more money is going to solve it.

 

[Fishbone Jones]

I am a student from the University of Waterloo.  This paper, if it gets finished, may be submitted as an article for a tax journal.  Is there any problems with this?   

Don't get your panties in a twist. Just wondering is all.

 

[Torlyn]

As a tax student, you must be acutely aware that if different groups of people receive different tax benefits, that this causes problems with the rest of the taxpayers, and rightly so.

Um, why are you asking us about how we're taxed?  Very few (if any) of us here have more than a cursory knowledge base of the total tax system in Canada.  While many are extremely knowledgeable (and they know who they are) they are not by any means experts.

As you are writing a paper for a professor at the U of W, I would assume that s/he would want actual facts to back up whatever research you're writing, unless you're writing a paper bases solely on opinions and conjecture, and should have framed your original question accordingly.  If s/he wants facts, go to the website, talk to the recruiters, etc.  Given that you claim it may be published in a tax journal (which one?  Why?) you probably want more facts than conjecture from people on the internet...

Look, you can and will get help from this board, you just have to try and work a bit at the outset.  If you want opinions, ask for them, tell us why you want them, what it's for, and how they'll be used.  Those willing will help.  Those unwilling, won't.  It's that simple.

Lastly, I humbly suggest taking English 109 next semester.  Good luck!

T

 

[ark]

http://www.forces.gc.ca/hr/dgcb/cbi/engraph/home_e.asp?sidesection=6

I hope this can help you. Maybe once your article is done, you can post it here?

 

[GAP]

Sorry guys, I don't buy this. Not to insult the initiator, but why would a US graduate student in Wisconsin, want/need to write anecdotal comments/concerns on CF tax structure, but not know enough to go to the sources? Something does not smell right. Another bridge dweller maybe?

 

[jmnavy]

I am a student from the University of Waterloo.  This paper, if it gets finished, may be submitted as an article for a tax journal.

If you're trying to submit this article to a journal, you'll definitely need to have documents to reference.  I doubt seeing [jmnavy 06] would get you very far.  Try CFRC (Canadian Forces Recruiting Centre) Kitchener.  Tell them what you're working on and someone there should be able to get you the information you need or at least point you towards someone who can.

http://www.recruiting.forces.gc.ca/engraph/contactus/index.aspx?id=on2&idloca=51

Start with that.  Once you've figured out the basics you'll be in a better position to ask the right questions.  Right now your list ranges from very simple (e.g., How does one advance between ranks?) to very complicated (the impact of marital status on posting allowances and the related tax implications)

 

[Shamrock]

Here:

Director General of Compensation and Benefits

Yes, it's posted above.  Go there for your info.

Read them *very* carefully.  The CBI's are written in clerkese and will have accompanying orders.  Your interpretation may be flat-out wrong if you're not aware of the surrounding circumstances.  And just because you find "the" answer don't assume there aren't five more "the" answers for your hypothesis.  The above is no substitute for parlay with the DGCB or a subordinate (read: if you want this paper to have merit, do more than a web crawl). 

Also, please don't ask opinion questions, least of all on an open forum like this.  Soldiers aren't the same as civis -- we're bound by more stringent laws and codes of conduct & ethics than most people.  Me, personally, I only ask for an honest week's pay for an honest hour's work.

 

[acclenticularis]

Yes, have a look at the CBIs and go to the recruiting centre.  If you want the facts go to the sources. 

 

[acclenticularis]

You could also contact Canada Revenue Agency for the facts ...

 

[Blackadder1916]

I'm a student currently working on a paper on how the Canadian Forces can be better rewarded for their services.  Particularly I'm looking for ideas on how tax policies may be used to achieve this goal..... 

...is an attempt to hear the opinions of members of the CF on what may be done to help improve the current shortage of soldiers.

Research methods?  Luckily your prof is not grading you on this paper.  Perhaps you should gather the necessary data from verifiable sources (DND, CRA, Stats Can, Treasury Board, et al) prior to reaching a conclusion that the shortage of "soldiers" is due to compensation factors or that their compensation is inadequate.  You may then be able to better frame your request for information and personal opinions.  Or you may find that your hypothesis is flawed.

If you asked the average soldier if he was paid enough, he would tell you in expletive laced language that he was not, but he would also probably tell you that no one joins the army expecting to get rich.  To quote T.E Lawrence in the movie Lawrence of Arabia "The best of them won't come for money; they'll come for me."  While there are those who enrolled partly for financial reasons (myself included many years ago), few (IMHO) remain past their initial obligation if the only motive is a paycheck.

Now, if your motive is simply to write a paper showing how to increase financial compensation to CF members by changing tax laws, then that can be an easy exercise.  You make all pay and allowances to serving CF members tax exempt.  In your paper you can discuss the potential improvement in morale of the soldiers and the consequences of that reduced revenue...Paraaade (Wait for it) Remove headdress.  Three cheers for TaxStudent.  Hip Hip Hurrah..... Sargeant Major dismiss the troops and detail a party to cut down the body of that man who the outraged taxpayers lynched.