Military retirement pay is calculated differently depending on which retirement system applies to you:
- Legacy High-3 (most who entered service before 2018): retirement pay is based on the average of your highest 36 months of basic pay, multiplied by 2.5% for each year of service.
- Blended Retirement System (BRS) (those who opted in, or entered service in 2018 or later): uses a 2.0% multiplier per year of service instead of 2.5%, paired with government-matched contributions to the Thrift Savings Plan.
These are general formulas — your exact figure depends on your specific pay history, years of service, and retirement system. Rather than estimate from a third-party tool, run your real numbers through the official DFAS (Defense Finance and Accounting Service) resources, which have access to your actual pay records.
Relocating to Arkansas specifically? See our Arkansas relocation guides.