Under the plan the Army will have 450,000 soldiers at the end of the 2017 budget year, its smallest number since before the United States entered Second World War
The US Army plans to cut 40,000 soldiers from its ranks over the next two years to save money at home and abroad, a US defence official said on Tuesday.
An estimated 17,000 civilians working for the Army will also be laid off.
USA Today quoted a document it had obtained and said the cuts are being made to save money.
The defence official said the Army plans to announce the cuts soon. USA Today said it would be this week.