Choosing between the two military retirement plans starts with understanding BRS vs High-3. The Blended Retirement System (BRS) and the legacy High-3 plan pay your pension in very different ways. This guide breaks down each system in plain language so you can see how they compare.
BRS vs High-3 at a Glance
Both plans reward military service, but they reward it differently. High-3 focuses on a larger pension for those who serve 20 years or more. BRS spreads the benefit across a pension, a savings match, and bonus pay.
The table below shows the main differences side by side. Use it as a quick reference before reading the details.
| Feature | Blended Retirement System (BRS) | High-3 (Legacy) |
|---|---|---|
| Pension multiplier per year | 2.0% per year of service | 2.5% per year of service |
| Example 20-year pension | 40% of high-3 base pay | 50% of high-3 base pay |
| TSP matching | Automatic 1% plus up to 4% match (5% total) | No government match |
| Continuation pay | Yes, at 8-12 years of service | No |
| Lump-sum option at retirement | Yes (25% or 50% of pension) | No |
| Who is enrolled | Anyone who joined on/after Jan 1, 2018 | Members before 2018 who did not opt in |
| Best if you serve under 20 years | Better, thanks to portable TSP funds | No retirement benefit before 20 years |
How High-3 Works
High-3 is the older, simpler plan. It is also called High-36 because it uses your highest 36 months of base pay. Your pension is based on a single formula.
The formula is: years of service x 2.5% x average of your highest 36 months of base pay. At 20 years, that equals 50% of your base pay for life. At 30 years, it reaches 75%.
High-3 pays nothing if you leave before 20 years. That makes it a strong reward for a full career but a poor fit for short service. Learn more in our High-36 retirement guide.
How the Blended Retirement System Works
BRS blends three benefits into one plan. It lowers the pension multiplier but adds savings and bonus features. This design helps members who do not stay a full 20 years.
The pension uses a 2.0% multiplier instead of 2.5%. So a 20-year BRS retiree gets 40% of base pay, not 50%. That is about 20% less in monthly pension than High-3.
BRS makes up part of that gap with extra benefits, which we cover below. For a full breakdown, see our Blended Retirement System guide.
TSP Matching Contributions
The biggest BRS advantage is the Thrift Savings Plan (TSP) match. The government adds 1% of your base pay automatically after 60 days of service. After two years, it matches up to another 4%.
That means you can get up to 5% of your base pay added to your retirement savings. High-3 members get no match at all. This money is yours even if you separate before 20 years.
Continuation Pay
BRS adds a mid-career bonus called continuation pay. You receive it between 8 and 12 years of service in exchange for more years of duty. It can range from 2.5 to 13 times your monthly base pay.
The exact amount depends on your branch, job, and current needs. High-3 has no equal to this bonus.
Lump-Sum Option
BRS lets you take part of your pension as a lump sum at retirement. You can choose 25% or 50% of your estimated pension. In return, your monthly checks are reduced until you reach full retirement age.
This lump sum is taxable and discounted for inflation. It can help with a big purchase, but it lowers your guaranteed monthly income. High-3 offers no lump-sum choice.
Which Should You Choose?
For most service members today, the choice is already made. Anyone who joined on or after January 1, 2018 is auto-enrolled in BRS. The opt-in window closed at the end of 2018, so you cannot switch systems now.
If you are comparing the two systems, your career length matters most. Here is how the BRS vs High-3 decision usually plays out by scenario.
- Full 20+ year career: High-3 often pays more over a lifetime because of its higher 2.5% multiplier. The larger pension can outweigh the lost TSP match.
- Likely to separate before 20 years: BRS wins clearly. You keep your TSP balance and any continuation pay, while High-3 would pay nothing.
- Unsure about your career length: BRS reduces your risk. Its portable savings give you a benefit no matter when you leave.
Remember that BRS rewards saving and matching early. A disciplined saver who invests the full match can build a large TSP balance over 20 years. This can close much of the gap with the High-3 pension.
Confirming the Numbers
Always check current figures before making decisions. Pay tables and continuation pay rates change over time. Trusted sources give you the official details.
You can review both systems on the Department of Defense military pay site at militarypay.defense.gov. For pension processing and payment questions, see dfas.mil. These pages confirm the multipliers, match rules, and lump-sum terms used here.
You can also explore the wider topic in our Military Retirement hub.
Conclusion
The BRS vs High-3 choice comes down to how long you plan to serve and how you value flexibility. High-3 favors a full 20-plus year career with its larger pension. BRS favors portability with its TSP match, continuation pay, and lump-sum option.
Most current members are in BRS and cannot switch, so the smartest move is to maximize your benefits. Contribute at least 5% to your TSP to capture the full match. Then run your own numbers to plan ahead.
Ready to see real figures for your rank and years of service? Try our free military retirement calculator to compare your options side by side.