Collapse to view only § 12737. Limitation on active duty
- § 12731. Age and service requirements
- § 12731a. Temporary special retirement qualification authority
- § 12731b. Special rule for members with physical disabilities not incurred in line of duty
- § 12732. Entitlement to retired pay: computation of years of service
- § 12733. Computation of retired pay: computation of years of service
- § 12734. Time not creditable toward years of service
- § 12735. Inactive status list
- § 12736. Service credited for retired pay benefits not excluded for other benefits
- § 12737. Limitation on active duty
- § 12738. Limitations on revocation of retired pay
- § 12739. Computation of retired pay
- § 12740. Eligibility: denial upon certain punitive discharges or dismissals
- § 12741. Retirement for service in an active status performed in the Selected Reserve of the Ready Reserve after eligibility for regular retirement
§ 12731. Age and service requirements
(a) Except as provided in subsection (c), a person is entitled, upon application, to retired pay computed under section 12739 of this title, if the person—
(1) has attained the eligibility age applicable under subsection (f) to that person;
(2) has performed at least 20 years of service computed under section 12732 of this title;
(3) in the case of a person who completed the service requirements of paragraph (2) before April 25, 2005, performed the last six years of qualifying service while a member of any category named in section 12732(a)(1) of this title, but not while a member of a regular component, the Fleet Reserve, or the Fleet Marine Corps Reserve, except that in the case of a person who completed the service requirements of paragraph (2) before October 5, 1994, the number of years of such qualifying service under this paragraph shall be eight; and
(4) is not entitled, under any other provision of law, to retired pay from an armed force or retainer pay as a member of the Fleet Reserve or the Fleet Marine Corps Reserve.
(b) Application for retired pay under this section must be made to the Secretary of the military department, or the Secretary of Homeland Security, as the case may be, having jurisdiction at the time of application over the armed force in which the applicant is serving or last served.
(c)
(1) A person who, before August 16, 1945, was a Reserve of an armed force, or a member of the Army without component or other category covered by section 12732(a)(1) of this title except a regular component, is not eligible for retired pay under this chapter unless—
(A) the person performed active duty during World War I or World War II; or
(B) the person performed active duty (other than for training) during the Korean conflict, the Berlin crisis, or the Vietnam era.
(2) In this subsection:
(A) The term “World War I” means the period beginning on April 6, 1917, and ending on November 11, 1918.
(B) The term “World War II” means the period beginning on September 9, 1940, and ending on December 31, 1946.
(C) The term “Korean conflict” means the period beginning on June 27, 1950, and ending on July 27, 1953.
(D) The term “Berlin crisis” means the period beginning on August 14, 1961, and ending on May 30, 1963.
(E) The term “Vietnam era” means the period beginning on August 5, 1964, and ending on March 27, 1973.
(d) The Secretary concerned shall notify each person who has completed the years of service required for eligibility for retired pay under this chapter. The notice shall be sent, in writing, to the person concerned within one year after the person completes that service. The notice shall include notice of the elections available to such person under the Survivor Benefit Plan established under subchapter II of chapter 73 of this title and the Supplemental Survivor Benefit Plan established under subchapter III of that chapter, and the effects of such elections.
(e) Notwithstanding section 8301 of title 5, the date of entitlement to retired pay under this section shall be the date on which the requirements of subsection (a) have been completed.
(f)
(1) Subject to paragraph (2), the eligibility age for purposes of subsection (a)(1) is 60 years of age.
(2)
(A) In the case of a person who as a member of the Ready Reserve serves on active duty or performs active service described in subparagraph (B) after January 28, 2008, the eligibility age for purposes of subsection (a)(1) shall be reduced, subject to subparagraph (C), below 60 years of age by three months for each aggregate of 90 days on which such person serves on such active duty or performs such active service in any fiscal year after January 28, 2008, or in any two consecutive fiscal years after September 30, 2014. A day of duty may be included in only one aggregate of 90 days for purposes of this subparagraph.
(B)
(i) Service on active duty described in this subparagraph is service on active duty pursuant to a call or order to active duty under section 12301(d) or 12304b of this title, or under a provision of law referred to in section 101(a)(13)(B) of this title. Such service does not include service on active duty pursuant to a call or order to active duty under section 12310 of this title.
(ii) Active service described in this subparagraph is also service under a call to active service authorized by the President or the Secretary of Defense under section 502(f) of title 32 for purposes of responding to a national emergency declared by the President or supported by Federal funds.
(iii) If a member described in subparagraph (A) is wounded or otherwise injured or becomes ill while serving on active duty pursuant to a call or order to active duty under a provision of law referred to in the first sentence of clause (i) or in clause (ii), and the member is then ordered to active duty under section 12301(h)(1) of this title to receive medical care for the wound, injury, or illness, each day of active duty under that order for medical care shall be treated as a continuation of the original call or order to active duty for purposes of reducing the eligibility age of the member under this paragraph.
(iv) Service on active duty described in this subparagraph is also service on active duty pursuant to a call or order to active duty authorized by the Secretary of Homeland Security under section 712 1
1 See References in Text note below.
of title 14 for purposes of emergency augmentation of the Regular Coast Guard forces.(C) The eligibility age for purposes of subsection (a)(1) may not be reduced below 50 years of age for any person under subparagraph (A).
(3) The Secretary concerned shall periodically notify each member of the Ready Reserve described by paragraph (2) of the current eligibility age for retired pay of such member under this section, including any reduced eligibility age by reason of the operation of that paragraph. Notice shall be provided by such means as the Secretary considers appropriate taking into account the cost of provision of notice and the convenience of members.
(Aug. 10, 1956, ch. 1041, 70A Stat. 102, § 1331; Pub. L. 85–704, Aug. 21, 1958, 72 Stat. 702; Pub. L. 85–861, § 33(a)(8), Sept. 2, 1958, 72 Stat. 1564; Pub. L. 89–652, § 1, Oct. 14, 1966, 80 Stat. 902; Pub. L. 90–485, § 2, Aug. 13, 1968, 82 Stat. 754; Pub. L. 95–397, title II, § 206, Sept. 30, 1978, 92 Stat. 847; Pub. L. 96–513, title V, § 511(47), Dec. 12, 1980, 94 Stat. 2924; Pub. L. 98–94, title IX, § 924(a), Sept. 24, 1983, 97 Stat. 644; Pub. L. 101–189, div. A, title XIV, § 1404(b)(1), Nov. 29, 1989, 103 Stat. 1586; renumbered § 12731 and amended Pub. L. 103–337, div. A, title VI, § 636, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2790, 2999; Pub. L. 104–106, div. A, title XV, § 1501(b)(20), Feb. 10, 1996, 110 Stat. 497; Pub. L. 105–261, div. A, title V, § 561(n)(1), Oct. 17, 1998, 112 Stat. 2026; Pub. L. 106–398, § 1 [[div. A], title V, § 571(n)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–135; Pub. L. 107–296, title XVII, § 1704(b)(1), Nov. 25, 2002, 116 Stat. 2314; Pub. L. 107–314, div. A, title VI, § 631(a), (b), Dec. 2, 2002, 116 Stat. 2571, 2572; Pub. L. 108–375, div. A, title V, § 501(f), Oct. 28, 2004, 118 Stat. 1874; Pub. L. 109–364, div. A, title X, § 1071(a)(40), Oct. 17, 2006, 120 Stat. 2400; Pub. L. 110–181, div. A, title VI, § 647(a), Jan. 28, 2008, 122 Stat. 160; Pub. L. 111–84, div. A, title X, § 1073(a)(35), Oct. 28, 2009, 123 Stat. 2474; Pub. L. 111–383, div. A, title VI, § 633, Jan. 7, 2011, 124 Stat. 4240; Pub. L. 112–239, div. A, title VI, § 681(b), Jan. 2, 2013, 126 Stat. 1795; Pub. L. 113–66, div. A, title VI, § 632, Dec. 26, 2013, 127 Stat. 785; Pub. L. 113–291, div. A, title VI, § 625, Dec. 19, 2014, 128 Stat. 3405; Pub. L. 116–92, div. A, title VI, § 604, Dec. 20, 2019, 133 Stat. 1424.)
§ 12731a. Temporary special retirement qualification authority
(a)Retirement With At Least 15 Years of Service.—For the purposes of section 12731 of this title, the Secretary concerned may—
(1) during the period described in subsection (b), determine to treat a member of the Selected Reserve of a reserve component of the armed force under the jurisdiction of that Secretary as having met the service requirements of subsection (a)(2) of that section and provide the member with the notification required by subsection (d) of that section if the member—
(A) as of October 1, 1991, has completed at least 15, and less than 20, years of service computed under section 12732 of this title; or
(B) after that date and before the end of the period described in subsection (b), completes 15 years of service computed under that section; and
(2) upon the request of the member submitted to the Secretary, transfer the member to the Retired Reserve.
(b)Period of Authority.—The period referred to in subsection (a)(1) is the period beginning on October 23, 1992, and ending on December 31, 2001.
(c)Applicability Subject to Needs of the Service.—
(1) The Secretary concerned may limit the applicability of subsection (a) to any category of personnel defined by the Secretary in order to meet a need of the armed force under the jurisdiction of the Secretary to reduce the number of members in certain grades, the number of members who have completed a certain number of years of service, or the number of members who possess certain military skills or are serving in designated competitive categories.
(2) A limitation under paragraph (1) shall be consistent with the purpose set forth in section 4414(a) of the National Defense Authorization Act for Fiscal Year 1993 (Public Law 102–484; 106 Stat. 2713).
(3) Notwithstanding the provisions of section 4415(2) of the Defense Conversion, Reinvestment, and Transition Assistance Act of 1992 (division D of Public Law 102–484; 106 Stat. 2714), the Secretary concerned may, consistent with the other provisions of this section, provide the notification required by section 12731(d) of this title to a member who no longer meets the qualifications for membership in the Selected Reserve solely because the member is unfit because of physical disability. Such notification may not be made if the disability is the result of the member’s intentional misconduct, willful neglect, or willful failure to comply with standards and qualifications for retention established by the Secretary concerned or was incurred during a period of unauthorized absence.
(d)Exclusion.—This section does not apply to persons referred to in section 12731(c) of this title.
(e)Regulations.—The authority provided in this section shall be subject to regulations prescribed by the Secretary of Defense and by the Secretary of Homeland Security with respect to the Coast Guard.
(Added Pub. L. 102–484, div. D, title XLIV, § 4417(a), Oct. 23, 1992, 106 Stat. 2716, § 1331a; amended Pub. L. 103–35, title II, § 201(f)(2), May 31, 1993, 107 Stat. 99; Pub. L. 103–160, div. A, title V, §§ 561(f)(4), 564(c), Nov. 30, 1993, 107 Stat. 1668, 1670; renumbered § 12731a and amended Pub. L. 103–337, div. A, title V, § 517, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2754, 2998, 3000; Pub. L. 104–106, div. A, title XV, § 1501(b)(21), Feb. 10, 1996, 110 Stat. 497; Pub. L. 105–261, div. A, title V, § 561(n)(2), Oct. 17, 1998, 112 Stat. 2026; Pub. L. 106–398, § 1 [[div. A], title V, § 571(n)(2)], Oct. 30, 2000, 114 Stat. 1654, 1654A–135; Pub. L. 107–296, title XVII, § 1704(b)(1), Nov. 25, 2002, 116 Stat. 2314.)
§ 12731b. Special rule for members with physical disabilities not incurred in line of duty
(a) In the case of a member of the Selected Reserve of a reserve component who no longer meets the qualifications for membership in the Selected Reserve solely because the member is unfit because of physical disability, the Secretary concerned may, for purposes of section 12731 of this title, determine to treat the member as having met the service requirements of subsection (a)(2) of that section and provide the member with the notification required by subsection (d) of that section if the member has completed at least 15, and less than 20, years of service computed under section 12732 of this title.
(b) Notification under subsection (a) may not be made if—
(1) the disability was the result of the member’s intentional misconduct, willful neglect, or willful failure to comply with standards and qualifications for retention established by the Secretary concerned; or
(2) the disability was incurred during a period of unauthorized absence.
(Added Pub. L. 106–65, div. A, title VI, § 653(b)(1), Oct. 5, 1999, 113 Stat. 666.)
§ 12732. Entitlement to retired pay: computation of years of service
(a) Except as provided in subsection (b), for the purpose of determining whether a person is entitled to retired pay under section 12731 of this title, the person’s years of service are computed by adding the following:
(1) The person’s years of service, before July 1, 1949, in the following:
(A) The armed forces.
(B) The federally recognized National Guard before June 15, 1933.
(C) A federally recognized status in the National Guard before June 15, 1933.
(D) The National Guard after June 14, 1933, if his service therein was continuous from the date of his enlistment in the National Guard, or his Federal recognition as an officer therein, to the date of his enlistment or appointment, as the case may be, in the National Guard of the United States, the Army National Guard of the United States, or the Air National Guard of the United States.
(E) The Navy Reserve Force.
(F) The Naval Militia that conformed to the standards prescribed by the Secretary of the Navy.
(G) The National Naval Volunteers.
(H) The Army Nurse Corps, the Navy Nurse Corps, the Nurse Corps Reserve of the Army, or the Nurse Corps Reserve of the Navy, as it existed at any time after February 2, 1901.
(I) The Army under an appointment under the Act of December 22, 1942 (ch. 805, 56 Stat. 1072).
(J) An active full-time status, except as a student or apprentice, with the Medical Department of the Army as a civilian employee—
(i) in the dietetic or physical therapy categories, if the service was performed after April 6, 1917, and before April 1, 1943; or
(ii) in the occupational therapy category, if the service was performed before appointment in the Army Nurse Corps or the Women’s Medical Specialist Corps and before January 1, 1949, or before appointment in the Air Force before January 1, 1949, with a view to designation as an Air Force nurse or medical specialist.
(2) Each one-year period, after July 1, 1949, in which the person has been credited with at least 50 points on the following basis:
(A) One point for each day of—
(i) active service; or
(ii) full-time service under sections 316, 502, 503, 504, and 505 of title 32 while performing annual training duty or while attending a prescribed course of instruction at a school designated as a service school by law or by the Secretary concerned;
if that service conformed to required standards and qualifications.
(B) One point for each attendance at a drill or period of equivalent instruction that was prescribed for that year by the Secretary concerned and conformed to the requirements prescribed by law, including attendance under section 502 of title 32.
(C) Points at the rate of 15 a year for membership—
(i) in a reserve component of an armed force,
(ii) in the Army or the Air Force without component, or
(iii) in any other category covered by subsection (a)(1) except a regular component.
(D) Points credited for the year under section 2126(b) of this title.
(E) One point for each day on which funeral honors duty is performed for at least two hours under section 12503 of this title or section 115 of title 32, unless the duty is performed while in a status for which credit is provided under another subparagraph of this paragraph.
(F)
(i) Subject to regulations prescribed by the Secretary of Defense or the Secretary of Homeland Security with respect to matters concerning the Coast Guard when it is not operating as a service in the Department of the Navy, one point for each day of active service or one point for each drill or period of equivalent instruction that was prescribed by the Secretary concerned to be performed during the covered emergency period, if such person was prevented from performing such duty due to travel or duty restrictions imposed by the President, the Secretary of Defense, or the Secretary of Homeland Security with respect to the Coast Guard.
(ii) A person may not be credited more than 35 points in a one-year period under this subparagraph.
(iii) In this subparagraph, the term “covered emergency period” means the period beginning on March 1, 2020, and ending on the day that is 60 days after the date on which the travel or duty restriction applicable to the person concerned is lifted.
(G) Points at the rate of 12 per period during which the member is on maternity leave.
For the purpose of clauses (A), (B), (C), (D), (E), (F), and (G), service in the National Guard shall be treated as if it were service in a reserve component, if the person concerned was later appointed in the National Guard of the United States, the Army National Guard of the United States, the Air National Guard of the United States, or as a Reserve of the Army or the Air Force, and served continuously in the National Guard from the date of his Federal recognition to the date of that appointment.
(3) The person’s years of active service in the Commissioned Corps of the Public Health Service.
(4) The person’s years of active commissioned service in the National Oceanic and Atmospheric Administration (including active commissioned service in the Environmental Science Services Administration and in the Coast and Geodetic Survey).
(b) The following service may not be counted under subsection (a):
(1) Service (other than active service) in an inactive section of the Organized Reserve Corps or of the Army Reserve, or in an inactive section of the officers’ section of the Air Force Reserve.
(2) Service (other than active service) after June 30, 1949, while on the Honorary Retired List of the Navy Reserve or of the Marine Corps Reserve.
(3) Service in the inactive National Guard.
(4) Service in a non-federally recognized status in the National Guard.
(5) Service in the Fleet Reserve or the Fleet Marine Corps Reserve.
(6) Service as an inactive Reserve nurse of the Army Nurse Corps established by the Act of February 2, 1901 (ch. 192, 31 Stat. 753), as amended, and service before July 1, 1938, as an inactive Reserve nurse of the Navy Nurse Corps established by the Act of May 13, 1908 (ch. 166, 35 Stat. 146).
(7) Service in any status other than that as commissioned officer, warrant officer, nurse, flight officer, aviation midshipman, appointed aviation cadet, or enlisted member, and that described in clauses (I) and (J) of subsection (a)(1).
(8) Service in the screening performed pursuant to section 10149 of this title through electronic means, regardless of whether or not a stipend is paid the member concerned for such service under section 433a of title 37.
(Aug. 10, 1956, ch. 1041, 70A Stat. 102, § 1332; Pub. L. 85–861, § 33(a)(9), Sept. 2, 1958, 72 Stat. 1565; Pub. L. 86–197, § 1(1)–(3), Aug. 25, 1959, 73 Stat. 425; Pub. L. 88–636, § 1, Oct. 8, 1964, 78 Stat. 1034; Pub. L. 93–545, § 1, Dec. 26, 1974, 88 Stat. 1741; Pub. L. 96–513, title V, § 511(48), Dec. 12, 1980, 94 Stat. 2924; renumbered § 12732 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3000; Pub. L. 104–201, div. A, title V, § 543(b)(1), Sept. 23, 1996, 110 Stat. 2522; Pub. L. 106–65, div. A, title V, § 578(h)(1), Oct. 5, 1999, 113 Stat. 628; Pub. L. 109–163, div. A, title V, § 515(b)(1)(MM), Jan. 6, 2006, 119 Stat. 3234; Pub. L. 110–181, div. A, title VI, § 633(c), Jan. 28, 2008, 122 Stat. 155; Pub. L. 116–283, div. A, title V, § 516(a), title VI, § 602(b)(4), Jan. 1, 2021, 134 Stat. 3589, 3671; Pub. L. 118–31, div. A, title VI, § 601(c), Dec. 22, 2023, 137 Stat. 289.)
§ 12733. Computation of retired pay: computation of years of serviceFor the purpose of computing the retired pay of a person under this chapter, the person’s years of service and any fraction of such a year are computed by dividing 360 into the sum of the following:
(1) The person’s days of active service.
(2) The person’s days of full-time service under sections 316, 502, 503, 504, and 505 of title 32 while performing annual training duty or while attending a prescribed course of instruction at a school designated as a service school by law or by the Secretary concerned.
(3) One day for each point credited to the person under clause (B), (C), (D), or (F) of section 12732(a)(2) of this title, but not more than—
(A) 60 days in any one year of service before the year of service that includes September 23, 1996;
(B) 75 days in the year of service that includes September 23, 1996, and in any subsequent year of service before the year of service that includes October 30, 2000;
(C) 90 days in the year of service that includes October 30, 2000, and in any subsequent year of service before the year of service that includes October 30, 2007; and
(D) 130 days in the year of service that includes October 30, 2007, and in any subsequent year of service.
(4) One day for each point credited to the person under subparagraph (E) of section 12732(a)(2) of this title.
(5) One day for each point credited to the person under subparagraph (F) of section 12732(a)(2) of this title.
(6) 50 days for each year before July 1, 1949, and proportionately for each fraction of a year, of service (other than active service) in a reserve component of an armed force, in the Army or the Air Force without component, or in any other category covered by section 12732(a)(1) of this title, except a regular component.
(Aug. 10, 1956, ch. 1041, 70A Stat. 103, § 1333; Pub. L. 85–861, § 33(a)(10), Sept. 2, 1958, 72 Stat. 1565; renumbered § 12733 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3002; Pub. L. 104–201, div. A, title V, §§ 531(a), 543(b)(2), Sept. 23, 1996, 110 Stat. 2517, 2522; Pub. L. 105–85, div. A, title X, § 1073(a)(67), (c)(4), Nov. 18, 1997, 111 Stat. 1904; Pub. L. 106–65, div. A, title V, § 578(h)(2), Oct. 5, 1999, 113 Stat. 628; Pub. L. 106–398, § 1 [[div. A], title VI, § 652], Oct. 30, 2000, 114 Stat. 1654, 1654A–163; Pub. L. 107–107, div. A, title X, § 1048(c)(16), Dec. 28, 2001, 115 Stat. 1227; Pub. L. 110–181, div. A, title VI, § 648, Jan. 28, 2008, 122 Stat. 161; Pub. L. 116–283, div. A, title V, § 516(b), title VI, § 602(b)(5), Jan. 1, 2021, 134 Stat. 3589, 3671.)
§ 12734. Time not creditable toward years of service
(a) Service in an inactive status may not be counted in any computation of years of service under this chapter.
(b) Time spent after retirement (without pay) for failure to conform to standards and qualifications prescribed under section 12641 of this title may not be credited in a computation of years of service under this chapter.
(Aug. 10, 1956, ch. 1041, 70A Stat. 104, § 1334; Pub. L. 87–651, title I, § 108, Sept. 7, 1962, 76 Stat. 509; renumbered § 12734 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.)
§ 12735. Inactive status list
(a) A member who would be eligible for retired pay under this chapter but for the fact that that member is under 60 years of age may be transferred, at his request and by direction of the Secretary concerned, to such inactive status list as may be established for members of his armed force, other than members of a regular component.
(b) While on an inactive status list under subsection (a), a member is not required to participate in any training or other program prescribed for his component.
(c) The Secretary may at any time recall to active status a member who is on an inactive status list under subsection (a).
(Aug. 10, 1956, ch. 1041, 70A Stat. 104, § 1335; renumbered § 12735 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.)
§ 12736. Service credited for retired pay benefits not excluded for other benefits
No period of service included wholly or partly in determining a person’s right to, or the amount of, retired pay under this chapter may be excluded in determining his eligibility for any annuity, pension, or old-age benefit, under any other law, on account of civilian employment by the United States or otherwise, or in determining the amount payable under that law, if that service is otherwise properly credited under it.
(Aug. 10, 1956, ch. 1041, 70A Stat. 104, § 1336; renumbered § 12736 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.)
§ 12737. Limitation on active duty
A member of the armed forces may not be ordered to active duty solely for the purpose of qualifying the member for retired pay under this chapter.
(Aug. 10, 1956, ch. 1041, 70A Stat. 104, § 1337; renumbered § 12737 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.)
§ 12738. Limitations on revocation of retired pay
(a) After a person is granted retired pay under this chapter, or is notified in accordance with section 12731(d) of this title that the person has completed the years of service required for eligibility for retired pay under this chapter, the person’s eligibility for retired pay may not be denied or revoked on the basis of any error, miscalculation, misinformation, or administrative determination of years of service performed as required by section 12731(a)(2) of this title, unless it resulted directly from the fraud or misrepresentation of the person.
(b) The number of years of creditable service upon which retired pay is computed may be adjusted to correct any error, miscalculation, misinformation, or administrative determination and when such a correction is made the person is entitled to retired pay in accordance with the number of years of creditable service, as corrected, from the date the person is granted retired pay.
(Added Pub. L. 89–652, § 2(1), Oct. 14, 1966, 80 Stat. 902, § 1406; renumbered § 1338 and amended Pub. L. 99–348, title I, § 104(a), July 1, 1986, 100 Stat. 686; renumbered § 12738 and amended Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.)
§ 12739. Computation of retired pay
(a) The monthly retired pay of a person entitled to that pay under this chapter is the product of—
(1) the retired pay base for that person as computed under section 1406(b)(2) or 1407 of this title; and
(2) 2½ percent of the years of service credited to that person under section 12733 of this title.
(b) If a person entitled to retired pay under this chapter has been credited by the Secretary concerned with extraordinary heroism in the line of duty and if the highest grade held satisfactorily by that person at any time in the armed forces is an enlisted grade, the person’s retired pay shall be increased by 10 percent of the amount determined under subsection (a). The Secretary’s determination as to extraordinary heroism is conclusive for all purposes.
(c)
(1) Except as provided in paragraph (2), the total amount of the monthly retired pay computed under subsections (a) and (b) may not exceed 75 percent of the retired pay base upon which the computation is based.
(2) In the case of a person who retires after December 31, 2006, with more than 30 years of service credited to that person under section 12733 of this title, the total amount of the monthly retired pay computed under subsections (a) and (b) may not exceed the sum of—
(A) 75 percent of the retired pay base upon which the computation is based; and
(B) the product of—
(i) the retired pay base upon which the computation is based; and
(ii) 2½ percent of the years of service credited to that person under section 12733 of this title, for service under conditions authorized for purposes of this paragraph during a period designated by the Secretary of Defense for purposes of this paragraph.
(d) Amounts computed under this section, if not a multiple of $1, shall be rounded down to the next lower multiple of $1.
(e)
(1) If a member of the Retired Reserve is recalled to an active status in the Selected Reserve of the Ready Reserve under section 10145(d) of this title and completes not less than two years of service in such active status, the member is entitled to the recomputation under this section of the retired pay of the member.
(2) The Secretary concerned may reduce the two-year service requirement specified in paragraph (1) in the case of a member who—
(A) is recalled to serve in a position of adjutant general required under section 314 of title 32 or in a position of assistant adjutant general subordinate to such a position of adjutant general;
(B) completes at least one year of service in such position; and
(C) fails to complete the minimum two years of service solely because the appointment of the member to such position is terminated or vacated as described in section 324(b) of title 32.
(f)Modernized Retirement System.—
(1)Reduced multiplier for full tsp members.—Notwithstanding subsection (a) or (c), in the case of a person who first performs reserve component service on or after January 1, 2018, after not having performed regular or reserve component service on or before that date, or a person who makes the election described in paragraph (2) (referred to as a “full TSP member”)—
(A) subsection (a)(2) shall be applied by substituting “2 percent” for “2½ percent”;
(B) subparagraph (A) of subsection (c)(2) shall be applied by substituting “60 percent” for “75 percent”; and
(C) subparagraph (B)(ii) of such subsection shall be applied by substituting “2 percent” for “2½ percent”.
(2)Election to participate in modernized retirement system.—
(A)In general.—Pursuant to subparagraph (B), a person performing reserve component service on December 31, 2017, who has performed fewer than 12 years of service as of December 31, 2017 (as computed in accordance with section 12733 of this title), may elect, in exchange for the reduced multipliers described in paragraph (1) for purposes of calculating the retired pay of the person, to receive Thrift Savings Plan contributions pursuant to section 8440e(e) of title 5.
(B)Election period.—
(i)In general.—Except as provided in clauses (ii) and (iii), a person described in subparagraph (A) may make the election described in that subparagraph during the period that begins on January 1, 2018, and ends on December 31, 2018.
(ii)Hardship extension.—The Secretary concerned may extend the election period described in clause (i) for a person who experiences a hardship as determined by the Secretary concerned.
(iii)Persons experiencing break in service.—A person returning to reserve component service after a break in reserve component service in which falls the election period specified in clause (i) shall make the election described in subparagraph (A) within 30 days after the date of the reentry into service of the person.
(C)No retroactive contributions pursuant to election.—Thrift Savings Plan contributions may not be made for a person making an election pursuant to subparagraph (A) for any pay period beginning before the date of the person’s election under that subparagraph by reason of the person’s election.
(3)Regulations.—The Secretary concerned shall prescribe regulations to implement this subsection.
(Added Pub. L. 103–337, div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 3004; amended Pub. L. 107–314, div. A, title VI, § 632(a), (b), Dec. 2, 2002, 116 Stat. 2572; Pub. L. 109–364, div. A, title VI, § 642(b), Oct. 17, 2006, 120 Stat. 2259; Pub. L. 111–84, div. A, title VI, § 642(a), Oct. 28, 2009, 123 Stat. 2365; Pub. L. 114–92, div. A, title VI, § 631(b), Nov. 25, 2015, 129 Stat. 843; Pub. L. 115–91, div. A, title VI, § 623(a), Dec. 12, 2017, 131 Stat. 1428.)
§ 12740. Eligibility: denial upon certain punitive discharges or dismissals
A person who—
(1) is convicted of an offense under the Uniform Code of Military Justice (chapter 47 of this title) and whose sentence includes death; or
(2) is separated pursuant to sentence of a court-martial with a dishonorable discharge, a bad conduct discharge, or (in the case of an officer) a dismissal,
is not eligible for retired pay under this chapter.
(Added Pub. L. 104–106, div. A, title VI, § 632(a)(1), Feb. 10, 1996, 110 Stat. 365.)
§ 12741. Retirement for service in an active status performed in the Selected Reserve of the Ready Reserve after eligibility for regular retirement
(a)Authority to Elect to Receive Reserve Retired Pay.—
(1) Notwithstanding the requirement in paragraph (4) of section 12731(a) of this title that a person may not receive retired pay under this chapter when the person is entitled, under any other provision of law, to retired pay or retainer pay, a person may elect to receive retired pay under this chapter, instead of receiving retired or retainer pay under chapter 65, 741, 841, or 941 of this title, if the person—
(A) satisfies the requirements specified in paragraphs (1) and (2) of such section for entitlement to retired pay under this chapter;
(B) served in an active status in the Selected Reserve of the Ready Reserve after becoming eligible for retirement under chapter 65, 741, 841, or 941 of this title (without regard to whether the person actually retired or received retired or retainer pay under one of those chapters); and
(C) completed not less than two years of satisfactory service (as determined by the Secretary concerned) in such active status (excluding any period of active service).
(2) The Secretary concerned may reduce the minimum two-year service requirement specified in paragraph (1)(C) in the case of a person who—
(A) completed at least one year of service in a position of adjutant general required under section 314 of title 32 or in a position of assistant adjutant general subordinate to such a position of adjutant general; and
(B) failed to complete the minimum years of service solely because the appointment of the person to such position was terminated or vacated as described in section 324(b) of title 32.
(b)Actions To Effectuate Election.—As of the effective date of an election made by a person under subsection (a), the Secretary concerned shall—
(1) terminate the eligibility of the person to retire under chapter 65, 741, 841, or 941 of this title, if the person is not already retired under one of those chapters, and terminate entitlement of the person to retired or retainer pay under one of those chapters, if the person was already receiving retired or retainer pay under one of those chapters; and
(2) in the case of a reserve commissioned officer, transfer the officer to the Retired Reserve.
(c)Time and Form of Election.—An election under subsection (a) shall be made within such time and in such form as the Secretary concerned requires.
(d)Effective Date of Election.—An election made by a person under subsection (a) shall be effective—
(1) except as provided in paragraph (2)(B), as of the date on which the person attains the eligibility age applicable to the person under section 12731(f) of this title, if the Secretary concerned receives the election in accordance with this section within 180 days after that date; or
(2) on the first day of the first month that begins after the date on which the Secretary concerned receives the election in accordance with this section, if—
(A) the date of the receipt of the election is more than 180 days after the date on which the person attains the eligibility age applicable to the person under such section; or
(B) the person retires from service in an active status within that 180-day period.
(Added Pub. L. 106–398, § 1 [[div. A], title VI, § 653(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–164; amended Pub. L. 107–107, div. A, title X, § 1048(a)(31), Dec. 28, 2001, 115 Stat. 1225; Pub. L. 109–364, div. A, title X, § 1071(a)(41), Oct. 17, 2006, 120 Stat. 2400; Pub. L. 111–84, div. A, title VI, § 643(a)–(c), (e)(1), Oct. 28, 2009, 123 Stat. 2366, 2367; Pub. L. 115–232, div. A, title VIII, § 809(a), Aug. 13, 2018, 132 Stat. 1840.)