The following sections describe the retirement pay plans available.
Retirement Choice – Please Read
All Marines who either first began active service (or who entered a delayed entry program (DEP)) on or after 1 August 1986 must make an extremely important choice upon reaching 15 years of service.
You MUST choose between the High-3 retirement plan or the $30,000 bonus/REDUX retirement plan. Marines who came before you did not have to make this critical choice. Once you make your choice, it can’t be changed. Please make use of the Retirement Choice Calculator to see how it affects you.
Virtually all Marines stand to lose over $300,000 in retirement income if they take the $30,000 bonus. This choice is yours, but you and your family are strongly encouraged to read the paper The Retirement Choiceby the Marine Corps Manpower team at the Center for Navy Analysis and SgtMaj Gary Lee (13th SgtMaj of the Marine Corps, ret.) before making this decision.
Retired grade advancement on the retired list
Per Title 10 U.S.C. Section 6151, officers who previously served satisfactorily under a temporary appointment to a higher grade, upon retirement, will be advanced on the retired list to the highest grade satisfactorily held, as determined by the Secretary of the Navy. Warrant officers will be advanced to the highest grade served satisfactorily under Title 10 U.S.C. Section 6334, when active service plus service on the retired list totals 30 years. Retired pay will be based on the grade held at retirement, or to which advanced on the retired list, whichever results in higher pay.
Retired pay multiplier – 3 methods based on Date Initial Entry Military Service (DIEMS) DIEMS represents the Date Of Original Entry Armed Forces (DOEAF) on the RT01 screen in the Marine Corps Total Force System (MCTFS). Find where your DOEAF date falls from the three choices below:
HIGH 1: DOEAF before 8 Sept 1980
50% of base pay at 20 years
HIGH 3: DOEAF between 8 Sept 1980 & 31 Jul 1986
50% of high 36-month average at 20 years
CHOICE: DOEAF after 1 Aug 1986
$30K bonus @15 years then 40% of high 36 at 20 years (REDUX)
or
No bonus @15 years then 50% of high 36 at 20 years
Also visit: DFAS and Retired Pay Information (*this provides retired pay comparisons and other valuable information*)