Posted on Jul 20, 2019
SSG Ryan Zimmermann
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I am looking into reenlisting into the reserves. The question I have is: Will I be grandfathered into the 20/50% retirement or will I fall under the new 2% per year retirement? Will I have an option?
Posted in these groups: Retirement logo Retirement
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Responses: 5
SFC Retention Operations Nco
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You're referring to the Blended Retirement System. It's MUCH more in depth than a simple 2% difference.
Which retirement plan you're entitled to is based upon your DIEMS. Since you joined the military prior to 1 Jan 2018 you are enrolled in the High 3 plan. If you rejoin the military, you'll be allowed one year to opt into BRS, if you choose.
The reference is on the DFAS site, under BRS FAQs.
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LTC Mark Overberg
LTC Mark Overberg
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SFC (Join to see), he will have 30 days to opt into BRS once he is in a pay status again, not a year.
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SFC Retention Operations Nco
SFC (Join to see)
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LTC Mark Overberg thank you. I was going off memory, it just goes to show you shouldn't shoot from the hip on finance questions lol
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LTC Mark Overberg
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Assuming you did not opt into the Blended Retirement System during 2018 (you had to have 12 or fewer years of service on 31 Dec 2017), you stayed under your existing retirement plan, likely the High 3 Plan. No one could force you to change, so if you didn’t, that’s what you still have. The opt in window closed for those who were eligible on 31 Dec 2018.
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CAPT Kevin B.
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AD and Reserve retirement are in different sections of the US Code. You don't get to mix and match. If you go into the reserves, that is the system you'll retire in. Every AD day you've done becomes a retirement point. A total of 20 "good" years means you'll get an annuity when you turn 60. I went CS after AD and went reserves. Bought 10 years of CS retirement credit up front. Did 10% TSP the entire CS time and wound up with 32 years Reserve retirement and 42 years CS. Every now and then they come up with some early retirement thing of the day. If they just want people to leave, it's pretty much a straight line pro rata offer. If they have to reduce body count or else, the pot gets sweetened a little bit. Doesn't happen much anymore given DOPMA and the equivalent ENL regulations. Up or out unless a continuation board defers your exit. The 90 day badlands rotations don't get you much earlier. Remember, make sure you don't come up a few months short of a pay band bump.
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LTC Mark Overberg
LTC Mark Overberg
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There are four retired pay plans: Final pay, High 3, REDUX, and BRS. Which one you have depends on your DIEMS date and whether you took the Career Status Bonus or opted into the BRS (assuming you were eligible to do so.) Your Component has nothing to do with your retired pay plan CAPT Kevin B.. It does determine how your retired pay is calculated and when you may start receiving it.
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CAPT Kevin B.
CAPT Kevin B.
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Which one you have a choice with depends on if it is an AD or RES retirement. I had no choice because I was reserve. Only one on the block was 60 years and how many points. No high 3, REDUX, or BRS applicable at the time under that CFR. The reserve retirement is still essentially the 1917 Federal equivalent that CSRS replaced after WW2. The Government liked that system as people died on average of 3 years after retirement. So for me, the O-6 over 30 base pay in 2003 times the multiplier. Years later they established an over 32 band. Wonder if there was any retroactive calculation for those affected? Likely not as the number is the number.
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