The current military retirement system is a defined benefit system. Service members who serve honorably for 20 years become vested in the retirement system. When active-duty Service members retire, they receive a monthly pension calculated by multiplying the average of the service member’s highest three years of continuous pay (the retired pay base) by 2.5% times the years of service (the retired pay multiplier).
For example, assume that John Doe is an E-7 who served for at least three years as an E-7 and has a total of 21 creditable years. He retires in 2016 and his “high-3” (retired pay base) is $4,423.80. John’s retired pay multiplier is 21 years of service x 2.5 = 52.5%. This means that he would receive retired pay based on 52.5% of his high three basic pay, or $2,322.50 per month.
Whether you are the service member or military spouse, knowing your rights and responsibilities is essential should you be contemplating divorce in Massachusetts.
Contact the Law Offices of Renee Lazar, an attorney experience in handling military family law cases, either through email or telephone 978-844-4095 to schedule a FREE one hour no obligation consultation.