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10 U.S.C. § 12739 — Computation of retired pay

Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim). **(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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim), 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](https://uscode.house.gov/view.xhtml?req=gr

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Stable record: federal_law:legal_authorities:record_usc_3ee01d4f6b409d634e04262a
Source file: Laws/federal/codes/united-states-code/title-10/section-12739-computation-of-retired-pay--2b1fa52501.md
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Source location: Title 10, Chapter 1223, § 12739; chapter-1223-retired-pay-for-non-regular-service.md

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**(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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim). **(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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim), 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim), 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section10145/d&num=0&edition=prelim) 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title32-section314&num=0&edition=prelim) 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title32-section324/b&num=0&edition=prelim). **(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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12733&num=0&edition=prelim)), 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title5-section8440e/e&num=0&edition=prelim). (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.

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 12733 — Computation of retired pay: computation of years of service

For 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732/a/2&num=0&edition=prelim), 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732/a/2&num=0&edition=prelim). (5) One day for each point credited to the person under subparagraph (F) of [section 12732(a)(2) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732/a/2&num=0&edition=prelim). (6) 50 days for each year before Jul

Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 12733

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Federal law — U.S. Code and appendices · legal_authorities

5 U.S.C. § 8432 — Contributions

**(a)** (1) An employee or Member may contribute to the Thrift Savings Fund in any pay period, pursuant to an election under subsection (b), an amount not to exceed the maximum percentage of such employee’s or Member’s basic pay for such pay period allowable under paragraph (2). Contributions under this subsection pursuant to such an election shall, with respect to each pay period for which such election remains in effect, be made in accordance with a program of regular contributions provided in regulations prescribed by the Executive Director. (2) The maximum percentage allowable under this paragraph shall be determined in accordance with the following table: In the case of a pay period beginning in fiscal year:The maximum percentageallowable is: 200111 200212 200313 200414 200515 2006 or thereafter100. (3) Notwithstanding any limitation under this subsection, an eligible participant (as defined by section 414(v) of the Internal Revenue Code of 1986) may make such additional contributions to the Thrift Savings Fund as are permitted by such section 414(v) and regulations of the Executive Director consistent therewith. **(b)** (1) (A) (i) The Executive Director shall prescribe regulations under which employees and Members may make contributions under subsection (a), to modify the amount to be contributed under such subsection, or to terminate such contributions. (ii) An election to make contributions under this paragraph— (I) may be made at any time; (II) shall take effect on the earliest date after the election that is administratively feasible; and (III) shall remain in effect until modified or terminated. (B) The amount to be contributed pursuant to an election under subparagraph (A) shall be the percentage of basic pay or amo

Source: Supplied U.S. Code snapshot — release unconfirmed · 5 U.S.C. § 8432

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Federal law — U.S. Code and appendices · legal_authorities

32 U.S.C. § 314 — Adjutants general

**(a)** There shall be an adjutant general in each State, the Commonwealth of Puerto Rico, the District of Columbia, Guam, and the Virgin Islands. He shall perform the duties prescribed by the laws of that jurisdiction. **(b)** The President shall appoint the adjutant general of the District of Columbia and prescribe his grade and qualifications. **(c)** The President may detail as adjutant general of the District of Columbia any retired commissioned officer of the Regular Army or the Regular Air Force recommended for that detail by the commanding general of the District of Columbia National Guard. An officer detailed under this subsection is entitled to the basic pay and allowances of his grade. **(d)** The adjutant general of each State, the Commonwealth of Puerto Rico, the District of Columbia, Guam, and the Virgin Islands, and officers of the National Guard, shall make such returns and reports as the Secretary of the Army or the Secretary of the Air Force may prescribe, and shall make those returns and reports to the Secretary concerned or to any officer designated by him.

Source: Supplied U.S. Code snapshot — release unconfirmed · 32 U.S.C. § 314

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 10001 — Definition of State

In this subtitle, the term “State” includes the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, and Guam.

Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 10001

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 1209 — Transfer to inactive status list instead of separation

Any member of the armed forces who has at least 20 years of service computed under [section 12732 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732&num=0&edition=prelim), and who would be qualified for retirement under this chapter but for the fact that his disability is less than 30 percent under the standard schedule of rating disabilities in use by the Department of Veterans Affairs at the time of the determination, may elect, instead of being separated under this chapter, to be transferred to the inactive status list under [section 12735 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12735&num=0&edition=prelim) and, if otherwise eligible, to receive retired pay under [section 12739 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12739&num=0&edition=prelim) upon becoming 60 years of age.

Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 1209

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12739&num=0&edition=prelim), 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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732&num=0&edition=prelim); (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](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section12732/a/1&num=0&edition=prelim), 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

Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 12731

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 12739 — Computation of retired pay

Page 3712 TITLE 10—ARMED FORCES § 12738 div. A, title XVI, § 1662(j)(1), Oct. 5, 1994, 108 Stat. 2998, 3003.) HISTORICAL AND REVISION NOTES Revised section Source (U.S. Code) Source (Statutes at Large) 1337 ......... 10:1036h. 34:440p. June 29, 1948, ch. 708, § 309, 62 Stat. 1090. 10:1036h (1st sentence) and 34:440p (1st sentence) are omitted as surplusage. The words ‘‘member of the armed forces’’ are substituted for the word ‘‘person’’, since only a member may be ‘‘ordered to active duty’’. Editorial Notes AMENDMENTS 1994—Pub. L. 103–337 renumbered section 1337 of this title as this section and amended text generally, sub- stituting ‘‘the member’’ for ‘‘him’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103–337 effective Dec. 1, 1994, except as otherwise provided, see section 1691 of Pub. L. 103–337, set out as an Effective Date note under section 10001 of this title. § 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 eligi- bility 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, mis- calculation, misinformation, or administrative determination of years of service performed as required by section 12731(a)(2) of this title, un- less it resulted directly from the fraud or mis- representation of the person. (b) The number of years of creditable service upon which retired pay is computed may be ad- justed to correct any error, miscalculation, mis- information, or administrative determination and when such a correction is

Source: Supplied 2024 U.S. Code historical extraction · 10 U.S.C. § 12739

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