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Military Retirement: BRS vs High-3, and What 20 Years Is Worth

Updated 2026-06-08

Military retired pay is a percentage of your "High-3" — the average of your highest 36 months of basic pay. Which percentage depends on your retirement system: the legacy High-3 system (2.5%/year) or the Blended Retirement System (2.0%/year + TSP matching).

The two systems at a glance

 Legacy High-3BRS
WhoEntered service before 2018 (didn't opt in to BRS)Entered 2018 or later (and opt-ins)
Multiplier2.5% × years2.0% × years
20-year pension50% of High-340% of High-3
TSP matchNoneUp to 5% of basic pay
Continuation payNoYes (mid-career bonus)

A concrete 20-year example

An E-7 retiring at 20 years with a High-3 average around $6,177/month would receive roughly $3,088/month under High-3 (50%) or $2,471/month under BRS (40%) — plus whatever their TSP grew to, which for BRS members with full matching can be substantial.

Retired pay is based on basic pay only — BAH and BAS don't count toward the pension. That's one reason promotions and time in service matter so much in your last years.

Reserve retirement is different

Reserve/Guard members earn points instead of straight years, and retired pay generally starts around age 60. See our drill pay & retirement points guide.

See how a promotion or more years changes your basic pay (and future pension).

Calculate my pay →

Frequently asked questions

How much is military retirement after 20 years?

Under the legacy High-3 system, 20 years pays 50% of your highest-36-month average basic pay. Under BRS it's 40%, plus TSP matching along the way.

What is the BRS multiplier?

2.0% per year of service, versus 2.5% under the legacy High-3 system.

Does BAH count toward retirement?

No. Retired pay is calculated from basic pay only — allowances like BAH and BAS are excluded.