Military Retirement Pension Estimator
Project your monthly military pension under the High-3 or Blended Retirement System (BRS) from your years of service and high-3 average base pay.
Last updated: October 2026
Your retirement inputs
How the military pension formula works
Military retirement pay uses one of the simplest pension formulas in the US: your multiplier times your years of creditable service times your high-3 average, which is the average of your highest 36 months of basic pay. The multiplier is where the two retirement systems differ. Under the legacy High-3 system it is 2.5 percent per year of service, and under the Blended Retirement System (BRS) it is 2.0 percent per year.
Only basic pay counts in the high-3 average. Housing allowance (BAH), subsistence allowance (BAS), special pays, and bonuses do not feed the pension formula. That means your pension replaces a smaller share of your total military compensation than the headline percentage suggests, because allowances made up a meaningful part of your paycheck while serving.
High-3 vs the Blended Retirement System
Which system applies depends on when you entered service. Servicemembers who entered before January 1, 2018 are under High-3 (unless they opted into BRS during the 2018 choice window). Everyone who entered on or after January 1, 2018 is under BRS. The BRS trades a lower pension multiplier (2.0 percent instead of 2.5 percent) for earlier and broader benefits: automatic and matching Thrift Savings Plan contributions, plus a mid-career continuation pay bonus in exchange for additional obligated service.
Put numbers on the tradeoff: 20 years of service earns a 50 percent multiplier under High-3 but only 40 percent under BRS. For a servicemember with a $5,000 high-3 average, that is the difference between $2,500 and $2,000 per month for life. The BRS bet is that the government match on your TSP, invested over a full career, closes much of that gap. Whether it does depends on how much you actually contributed.
Worked example
Take a BRS servicemember retiring at 20 years with a high-3 average of $5,000 per month in basic pay:
- Multiplier: 2.0% x 20 years = 40%
- Monthly pension: 0.40 x $5,000 = $2,000 per month
- Annual pension: $2,000 x 12 = $24,000 per year
The same career under High-3 would pay 2.5% x 20 = 50%, or $2,500 per month ($30,000 per year). Serve 25 years instead and the multipliers rise to 50 percent (BRS) and 62.5 percent (High-3). There is a cap of 75 percent under High-3, reached at 30 years; BRS has no statutory cap but the same 30-year career yields 60 percent.
What changes your actual check
Cost-of-living adjustments (COLA). Military retired pay gets an annual COLA tied to the Consumer Price Index, so the dollar figure above grows over time. Under BRS the COLA can be reduced slightly in some years for certain retirees, a detail worth checking in current law before you plan around it.
VA disability compensation. If you receive VA disability pay, concurrent receipt rules determine whether it offsets your pension. Many retirees with a 50 percent or higher VA rating receive both in full under concurrent receipt; others see an offset. This calculator shows the pension before any VA offset.
Taxes. Military retired pay is taxable as federal income, though many states exempt some or all of it. VA disability compensation itself is tax free. Your take-home will be lower than the headline number once withholding applies.
Survivor Benefit Plan (SBP). Electing SBP coverage for a spouse reduces your monthly pension by a premium (around 6.5 percent of the covered amount) but pays your beneficiary an annuity after your death. It is an important choice at retirement that this estimate does not model.
Reserve and early retirement notes
Guard and Reserve members earn retirement through points rather than continuous years, and retired pay generally starts at age 60 (earlier with qualifying active service). This calculator models the active-duty 20-year formula; reservists should convert points to equivalent years before using it. Temporary Early Retirement Authority (TERA) and other early-out programs change the multiplier math, so treat early retirements as a separate estimate.
Military retirement FAQs
Who qualifies for a military pension?
Active-duty servicemembers generally qualify after 20 years of creditable service. Guard and Reserve members qualify through a points system, with retired pay typically starting at age 60. Medical retirements follow separate rules.
What is the High-3 retirement system?
High-3 is the legacy system for those who entered service before January 1, 2018. It pays 2.5 percent of your high-3 average basic pay per year of service, with no TSP matching from the government.
What is the Blended Retirement System (BRS)?
BRS covers everyone who entered on or after January 1, 2018. It pays a lower pension multiplier of 2.0 percent per year but adds automatic 1 percent TSP contributions, up to 4 percent in matching contributions, and a mid-career continuation pay bonus.
Does the pension include BAH and BAS?
No. Only basic pay feeds the high-3 average. Housing allowance, subsistence allowance, special pays, and bonuses are excluded, so the pension replaces a smaller share of your total compensation than the multiplier suggests.
When do pension payments start?
For active-duty retirees, payments generally begin the month after retirement. Guard and Reserve retirees usually wait until age 60, reduced by qualifying active-duty service in some cases.
Is military retired pay taxable?
Yes, at the federal level it is taxable income. Many states exempt military retired pay in whole or in part, and VA disability compensation is always tax free. Check your state rules when planning.
What happens if I serve 30 years?
Under High-3, 30 years reaches the 75 percent cap on the multiplier. Under BRS there is no cap, and 30 years earns a 60 percent multiplier. Longer service also raises your high-3 average through promotions and pay raises.