1. What is High-3 Military Retirement?

The High-3 retirement system calculates military retirement pay based on the average of the highest 36 months of basic pay. This is the standard retirement plan for those who entered service before 2018.

2. How Does the Calculator Work?

The calculator uses the High-3 retirement formula:

Where:

• \( High3\ Average \) — Average of highest 36 months of basic pay
• \( Years\ of\ Service \) — Total creditable years of service
• \( 2.5\% \) — Retirement multiplier for each year of service

Explanation: The formula calculates 2.5% of your High-3 average pay for each year of service. For example, 20 years of service would provide 50% (20 × 2.5%) of your High-3 average.

3. Importance of Retirement Planning

Details: Understanding your projected retirement pay helps with financial planning, budgeting, and making informed decisions about continuation in service.

4. Using the Calculator

Tips: Enter your estimated High-3 average (in dollars) and total years of service (including partial years as decimals). The calculator will estimate your annual retirement pay.

5. Frequently Asked Questions (FAQ)

Q1: What's included in High-3 average?
A: Only basic pay is included - not allowances (BAH, BAS) or special pays. The highest 36 consecutive months are used.

Q2: What's the maximum retirement percentage?
A: The maximum is 75% of High-3 average, reached at 30 years of service (30 × 2.5% = 75%).

Q3: How does partial year service count?
A: Each month counts as 1/12 of a year (0.0833). For example, 20 years and 3 months = 20.25 years.

Q4: Is this different from the BRS system?
A: Yes, the Blended Retirement System (BRS) uses a 2.0% multiplier but includes government contributions to TSP.

Q5: When is retirement pay received?
A: Pay begins the month after retirement, typically on the 1st of each month.