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  2. 2.5%
    • According to 2 sources
    Your retired pay is calculated by multiplying your final base pay by 2.5% for every year of service.
    Of all the retirement plans, the Final Pay system uses the simplest formula. You’ll receive 2.5% of your final monthly basic pay for every year of service. For example, if you retire after 40 years of active service, then you can expect to receive 100% of your monthly base pay as your retirement pension.
     
  3. People also ask
    How do I calculate my military retirement pay?Know your options and how to calculate your military retirement pay to find out which option is best for you. If you began your military service before Sep. 7, 1980, you’re eligible for the Final Pay Retirement system. Your retired pay is calculated by multiplying your final base pay by 2.5% for every year of service.
    How much does a military retirement plan pay a member?For members who are deemed medically unfit to continue service, monthly payments are based on the higher of two options: the disability percentage determined by the Department of Defense (up to 75%) or the result of multiplying service years by the applicable retirement plan multiplier. That’s 2.5% or 2%, depending on your retirement plan.
    How does the advanced military retirement pay calculator work?The advanced military retirement pay calculator has additional options such as comparing different retirement grades against different retirement dates. It also has an option for those who had a break in service to enter their date of separation and return to active duty date. 7.
    When can a military member retire?In comparison, Guard and Reserve members qualify for retirement after 20 good years of service. Reserve Component retirees generally receive military retirement pay and healthcare benefits starting at age 60. However, they may be eligible for early retirement pay based on deployments and qualifying activations.
     
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