Divide your Step 1 result by your Step 2 result. This tells you how many years of retirement it will take to "break even." In most cases, the buy-back pays for itself in less than 1.5 years of retirement . 🛠️ How to Get Started
Generally 3% of your total military base pay (plus interest if you wait too long). military service earnings buy back estimator
Since there is no "official" instant calculator (you must request your via Form RI 20-97), you can use this simple manual formula to estimate your cost and benefit. Step 1: Estimate Your Cost (The "Deposit") Divide your Step 1 result by your Step 2 result
Take your projected federal (the average of your 3 highest-earning years). Multiply that by .01 (1%). Multiply that result by your Years of Military Service . Since there is no "official" instant calculator (you
If you served on active duty and now work for the federal government, "buying back" your military time is often the best investment you’ll ever make. By paying a small percentage of your military base pay into the civilian retirement system, you can add those years of service directly to your federal pension.
Fill out Form RI 20-97 and send it to your respective military branch finance center with a copy of your DD-214.
You can pay in a lump sum or through payroll deductions.