Increasing the net income before depreciation (NIBD) of the moral welfare and recreation  is very essential in the sense that it helps encourage the employees, who in this case are the customers, thus, increasing the revenue available to be reinvested in the already initiated programs, the MWR. This will also increase the membership, participation, and the profit; hence, help in the maintenance of the already established levels. The increment will also encourage the retention of personnel as well as aid in recruitment, (DoD Instruction, 2009).

The steps that can be taken to help in the cost reduction of the MWR include such moves as: using of partnerships from outside to help find additional resources. Another approach is through educating the employees on how to reduce their taxes, and also keep in mind the tax returns. These include, knowing their tax forums, their status, whether married, widowed, and adjusting their status to befit their situations, understanding the gross income versus the adjustable gross income, and lastly to keep in mind their tax bracket.  Non-appropriated funds are found within the department of defence, which are usually generated by the military, the civil servants as well as their dependants, and these funds are usually used for the improvement of their wellbeing, as well as to cater for any appropriated fund used. Appropriated funds, on the other hand, are approved by the MWR congress and cannot be used for any other purpose apart from the specified purpose, (Fort Wainwright 2011).

The budget is important as it forms the foundation of an essential financial management, as it helps evaluate the capital available and how it is to be used to avoid overspending, in other words, it brings us to the income-expense reality.

In the preparation of the defence force budget, several challenges are usually anticipated, amongst which include soldiers being sent by MEDDAC to facilitate their own funds in order to travel to the various appointments, yet MEDDAC is already paid to cater for that. Another challenge is the lack of knowledge on the side of the employees about their status, relationship between the gross income and the adjustable income, (DGT 2013).


DoD Instruction 1015 (2009) www.dtic.mil/../a380824.pdf.

DGT 12 Lxx4, (2013). Policy.-NavyMWR: www. Navymwr.org/resources/download.

FortWainwright /DeltaNewsWeb (2011). Retrieved from MilitaryHomefront.dod.mil/legislation/policies/guidance.