Uniformed Services Retirement Cost Reduction Act of 1986

[AI summary unavailable — showing source text] Uniformed Services Retirement Cost Reduction Act of 1986 - Amends provisions of Federal law relating to retirement for non-regular service computation of retired pay, recomputation of retired pay or retainer pay to reflect later active duty tax treatment of disability retired pay, and computing years of service and the retired pay base. Adds provisions relating to the retired pay multiplier to reflect the adoption of a new method of computing non-disability retired pay for members of the armed forces who first become members of a uniformed service on or after the date of the enactment of this Act. Requires the Secretary of Defense, effective on December 1 of each year, to increase, in order to reflect changes in the consumer price index for that year, the retired pay of members who were: (1) members before the date of enactment of this Act; and (2) retired for disability. Increases, taking into account consumer price index changes, the retired pay of those members entering the uniformed services on or after the date of enactment of this Act by a specified formula. Provides for the recomputation of retired pay to reflect consumer price index changes for members who: (1) have complet…