High-3 vs BRS: Which Retirement System is Better?

Understanding the trade-offs between Legacy High-3 and Blended Retirement System

If you're in the military, your retirement system is one of the most important financial decisions you'll make. Since 2018, service members have had to choose between (or were automatically enrolled in) two systems: the Legacy High-3 and the Blended Retirement System (BRS).

How High-3 Works

The Legacy High-3 system calculates your monthly pension as:

2.5% × Years of Service × Average of Highest 36 Months of Base Pay

After 20 years of service, you receive 50% of your High-3 average base pay. After 30 years, 75%.

How BRS Works

BRS reduces the pension multiplier to 2.0%, so after 20 years you receive 40% instead of 50%. However, BRS adds:

• Automatic 1% government TSP contribution
• Up to 4% matching (for 5% total)
• Continuation pay at 12 years

Which is Better?

It depends on your situation:

High-3 is better if:

• You plan to serve 20+ years
• You won't maximize TSP contributions
• You prefer guaranteed pension income

BRS is better if:

• You might leave before 20 years (you keep TSP match)
• You contribute at least 5% to TSP
• You want more control over your retirement investments

Use Our Calculator

Our High-3 vs BRS Calculator lets you input your specific numbers and see which system pays more over your lifetime.