Applying for Retirement with Pay
The earliest date retired pay may commence is your 60th birthday or the day after completion of 20 years of qualifying service, whichever is later unless early retirement is authorized under NDAA FY2008.
Notification is mailed in advance to advise you on how to submit an application for retired pay (typically 10 months prior to member's 60th birthday or early retirement date as authorized under NDAA FY2008, here forth Retired Pay Eligibility Date). PERS-912 receives hundreds of returned notification letters due to addresses not being updated. If you have not received notification six months prior to your Retired Pay Eligibility Date, the following forms (DD108 and DD2656) must be completed, signed, dated and mailed or attached to your NSIPS request.
You will need Adobe Acrobat Reader (https://get.adobe.com/reader/) to view these files. You must save the forms to your computer (i.e. desktop) and then open from the saved file.
• DD Form 108 Application for Retired Pay Benefits - For sections 13-17 of the form (Service After 30 JUNE 1949); if you agree with the Statement of Service you received from PERS-912, you do not need to fill out details in this section. You may write diagonally in the section stating that you “accept records of service as maintained by the Department of the Navy” or something similar to that effect, along with your signature and date under your statement. DO NOT FORGET TO SIGN IN BLOCK 18 as well. PERS-912 frequently receives this form unsigned which delays processing time.
See section for Points Correction if you do not agree with your Statement of Service and be prepared to provide substantiating evidence to support.
• DD Form 2656 Data for Payment of Retired Personnel –Establishes a Retired Pay Account with DFAS including designation of beneficiaries for unpaid retired pay, state tax withholding, and information on dependents. It also establishes SBP election if you opted to wait until eligible to receive retired pay or had no beneficiaries at the time of NOE receipt.
If you have any questions or concerns, please contact PERS-912 via MyNavy Career Center (MNCC) by calling 1-833-330-6622 or by email at askmncc@navy.mil
Submit via NSIPS
If you are transferring to the retired pay status from a drilling status (DSC 200), you will submit your Retirement with Pay via NSIPS. Current policy requires endorsements from your chain of command.
From Main Menu of NSIPS -> Employee Self Service -> Retirements and Separations -> Request Retirement/Separation
Under Request Details, Choose Request Type “Non-Regular Retirement with Pay”
Submit by Mail
If you are 1) Grey Area Retiree OR 2) Reservist on Active Duty orders and want to apply for Retirement with Pay, you will not be able to route your request via NSIPS and will need to submit my mail.
Complete processing of an application normally takes several months. Please include your social security number on all correspondence. If you have a change of any information before your Retired Pay Eligibility date, please report the update to PERS-912 by calling MNCC 1-833-330-6622 or by email at askmncc@navy.mil.
Mail all forms with original signatures to:
Commander
Navy Personnel Command (PERS-912)
5720 Integrity Drive
Millington, TN 38055
While ALL documents received and entered into the PERS-9 database now generate an email notification from MNCC, Retired with Pay submissions will receive an additional email acknowledging receipt of the complete package –OR– if the retirement package is incomplete, an email will identify any documents missing or incomplete.
Identification Card (ID card)
To obtain ID cards for you and your eligible dependents, visit the nearest card issuing facility with a copy of your retirement orders (and dependents’ birth/marriage documentation if not previously enrolled in DEERS). This ID card includes commissary, theater and unlimited exchange privileges. You may locate the closest facility either by dialing 1-800-538-9552, the person answering the telephone will assist or visit RAPIDS ID Card Office Online Locator and search by your zip code. You will be given the three closest card issuing facilities.
TRICARE Healthcare Eligibility
FEDVIP Dental Eligibility
Retirees can enroll within 60 days from eligibility date or wait until Open Season. Changes can be made only during Open Season or with a qualifying event. Visit United Concordia's FEDVIP for more information. To enroll, visit BENEFEDS.
Retired Pay Calculation
Total Number of Points ÷ 360 x .025 x “B” Utilize our downloadable calculator in Excel format. Retirement Calculator.xlsx
“B” represents the base pay available at the time the member starts receiving retired pay at Retired Pay Eligibility Date. For those who entered military service after 7 September 1980, the base pay is calculated by adding the base pay available for the member (commensurate with their rank and longevity) for each of the 36 preceding months prior to drawing retired pay, and dividing that by 36 to get an average pay rate for the final 3 years.
Note that for purposes of entering the pay tables, a member’s longevity starts with the pay entry base date (PEBD) and continues to accrue as long as the member holds Retired status until the member starts to draw retired pay.
Because of this standard, most reserve members will max out on the longevity scales by the time they reach Retired Pay Eligibility Date.
Also note that should a member request and receive a discharge, instead of transferring to Retired Reserve status, at an age of less than 60 years, longevity would no longer accrue and base pay would be calculated on pay scales available at the discharge date.