Halfbare - What is the Blended Retirement System (BRS) for.
Blended Retirement System Opt-In Course Transcript Course Overview Congratulations! You are part of a select group of Service members who get to choose your retirement benefit system. It is vital you take the time to understand how both of the retirement systems work so that you can make an informed decision that’s right for you and your family. urrently, you are part of the legacy “High-3.
The Blended Retirement System (BRS) goes into effect on Jan. 1, 2018. Members of the National Guard or Reserve are also eligible for a defined benefit after reaching 20 qualifying years of service. The Department of Defense has no position on which retirement system is better and encourages Service members to talk to as many people as they can, particularly family members and financial.
The “blending” in BRS comes from the blending of two major sources of retirement income: the existing annuity provision for those who retire after 20 or more years of service, PLUS the Thrift.
Service members who enter the Uniformed Services on or after 1 January 2018 will be automatically enrolled in the Blended Retirement System. Service members with less than 12 years of active duty service, or fewer than 4,320 retirement points for reserve component members, as of 31 December 2017 were afforded the opportunity to opt-in to the Blended Retirement System through 31 December 2018.
The new Blended Retirement System (BRS) provides members with a defined pension (albeit lower than the previous system), but adds a defined benefit contribution to the Thrift Savings Plan (TSP). The new system took effect on January 1, 2018, and applies to everyone who enters service after that date. Members who entered the service between January 1, 2006 and December 31, 2017 will have a.
On January 1 st, 2018, the military retirement system changed to a Blended Retirement System (BRS). It decreases the traditional military pension from 50% of base pay to 40% for a 20-year career. Technically, the yearly multiplier changes from 2.5% per year of service to 2.0%, hence 40% versus 50%.
Under the traditional retirement system, service members receive a lifetime income of at least 50% of their base pay if they remain in the military for at least 20 years, and up to 75% pay for 30.