The Blended Retirement System pays 2.0% per year of service times your highest 36 months of basic pay, adds up to 5% of pay in TSP contributions from the government, and offers a mid-career continuation pay bonus. Run your numbers below.
Formula: monthly pension = 2.0% x years of service x high-3 average monthly basic pay.
The legacy High-3 system was simple: serve 20 years, get 50% of your highest three years of basic pay every month for life, calculated at 2.5% per year of service. BRS changed that multiplier to 2.0%, so the same 20-year career pays 40% instead of 50%. That 20% haircut is the price of admission for everything else BRS added.
The biggest addition is the Thrift Savings Plan match. Under the legacy system you could put your own money in the TSP, but the government added nothing. Under BRS you get 1% of basic pay automatically starting 60 days after you enter service, plus matching of up to 4% more after you complete two years of service: dollar for dollar on the first 3% you contribute, 50 cents on the dollar on the next 2%. Contribute 5% and the total flowing into your account is 10% of basic pay. You vest in the government money after two years of service, and it keeps coming through the end of your 26th year of service.
Then there is continuation pay, the mid-career retention bonus legacy members never had. Between 8 and 12 years of service you can take a one-time cash payment of 2.5 to 13 times your monthly basic pay (active duty; the reserve range is 0.5 to 6 times) in exchange for agreeing to serve at least 3 more years. The exact multiple is set by your service branch each year based on retention needs, and it is taxable.
Finally, BRS offers a lump sum option no legacy retiree had: take 25% or 50% of the discounted present value of your future pension up front, and your monthly checks shrink to 75% or 50% until you reach full Social Security retirement age (67 for most), when they return to full. The discount rate is published by DoD each June. Do the math carefully. For most people the guaranteed monthly check wins.
| Feature | BRS | High-3 (legacy) | REDUX / CSB |
|---|---|---|---|
| Pension multiplier | 2.0% per year of service | 2.5% per year of service | 2.0% for first 20 years, 3.5% for years 21 to 30 |
| 20-year pension | 40% of high-3 base pay | 50% of high-3 base pay | 40% of high-3 base pay |
| TSP government contribution | 1% automatic + up to 4% match (5% total) | None; member contributions only | None; member contributions only |
| Mid-career bonus | Continuation pay: 2.5x to 13x monthly basic pay at 8 to 12 years | None | $30,000 Career Status Bonus at 15 years |
| Lump sum option | 25% or 50% of discounted present value; reduced checks until age 67 | None | None |
| COLA | Full CPI-based COLA | Full CPI-based COLA | CPI minus 1%, with catch-up at age 62 |
Download this comparison as CSV
Figures current as of October 2026. Sources: Military OneSource / DoD military pay publications. Continuation pay multiples and discount rates are set annually by the services and DoD; verify current rates with your finance office.
Estimates only, not financial advice. This calculator simplifies the official formulas and ignores taxes, disability offsets, and Survivor Benefit Plan costs. Verify your numbers with official DoD resources and a financial counselor before making decisions.