Assuming retiring at 40, 1% each year until 62 means a military retirement check will be worth approximately 22% less. Even this, I could accept if it was part of a massive reduction, but it is not. Effectively, other than the pension cuts, we are continuing down the same road of deficit spending that will bankrupt our nation.
Based on your own calculations, that would make your retirement pay at age 62, 72% of your former active duty pay.
Obviously a government math calculation issue.
Any cut in increases is considered a reduction.
That's never true, but that never seems to matter to government mathematicians.