Military Reserve Component Retirement


Military Reserve Component Retirement is one of the recent additions to the US Military Retirement system. According to the plan, members of the National Guard and Reserve Service who have completed a minimum of 20 “qualifying” years of service are eligible to various retirement pays and benefits at the age of 60.

If in case the service members are used for war or some national emergencies, they are eligible to draw the benefits before they reach 60 years of age. For every 90 days spend in the service, the start date of the annuities of the members of the Guard and reserve will be reduced by a period of three months.

In order to be eligible for the Military Reserve Component Retirement, the members of the Reserve Forces need to give in writing about the details of the completion of the years of service. After the notification, a notice is sent to the members within a year. There are three options that are offered:

  • The member can remain in the reserve and continue the inactive duty, as per the training and the category of pay. One can also remain on the active list as a standby and still go on performing unpaid training.
  • One can also get transferred to the retired reserve and take part in inactive duty training programs.
  • One is also allowed to request for discharge for the Reserve Components.

As per the plan, a reserve retiree or guard will start getting the retired pay once they reach 60 years of age. Presently, there are 2 Reserve retirement systems similar to active duty systems: the Final Basic Pay System and the High-Three System. Members should opt for their ideal retirement system according to their needs and preferences. Opting for the right retirement program will help them bag better benefits in the long run.