Gray Area Retiree Spotlight: Certain Service Time Qualifies for Retired Pay Before Age 60

Generally, Gray Area Retirees can begin receiving retired pay at age 60.  

However, certain types of service during specific times will qualify a Gray Area Retiree to begin receiving retired pay earlier than age 60.  

The National Defense Authorization Act (NDAA) for 2008, section 647, amended USC Title 10, section 12731, reducing the eligibility age, in limited circumstances, for Non-Regular (Reserve/Guard) retired pay.  

This is referred to as “reduced age” retired pay, Reduced Retired Pay Age (RRPA), “early drop,” or “early receipt” of retired pay.

The law regarding reduced age retired pay is complicated. Please see the applicable laws and/or information provided by your Branch of Service for specifics.  

It is important to note: 

• Service time that qualifies for reduced age retired pay is very specific. 

• The earliest age to begin receiving reduced age retired pay is age 50. 

• Only eligible service on or after January 29, 2008, can be credited for the purpose of receiving retired pay prior to age 60. 

• If you retired on or prior to April 1, 2008, you are not eligible for reduced age retirement.  

• If you served on active duty prior to joining the Reserve/Guard, your active duty time counts toward retired pay but NOT toward reduced age retired pay. 

• Retiree health care eligibility begins at age 60 even if retired pay begins earlier than age 60. 

What Service Time Qualifies for “Reduced Age” Retired Pay? 

The age 60 requirement is reduced by three months for each aggregate period of 90 days in any fiscal year on or after January 29, 2008, for specific types of service. Aggregate means the 90 service days do not need to be continuous.  

However, service time that is less than 90 days cumulative within a fiscal year prior to October 1, 2014, does not qualify. After September 30, 2014, the 2015 NDAA authorized 90-day periods to cross over the fiscal year boundary for two consecutive fiscal years. This cross-over is not retroactive; it is only for service after September 30, 2014.  

The service time that qualifies for reduced age retired pay in 10 U.S.C. § 12731 (f) is shown below: 

(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 of title 14 1 for purposes of emergency augmentation of the Regular Coast Guard forces.
 

Your Branch of Service Determines Creditable Service for Reduced Age Retired Pay 

Your Branch of Service will determine your creditable service and report it to DFAS when you apply for retired pay. DFAS does not have your creditable service on file UNTIL we receive it from your Service with your application for retired pay. 

Please see your Branch of Service’s website for information on the specific creditable service that qualifies for reduced age retired pay: 

Army: https://myarmybenefits.us.army.mil/Benefit-Library/Federal-Benefits/Retired-Pay 

Army National Guard (see personnel policy memorandums; you may have to register for a MilSuite account to access): https://www.ngbpmc.ng.mil

Navy: https://www.mynavyhr.navy.mil/Career-Management/Reserve-Personnel-Mgmt/NDAA/ 

Air Force: https://myfss.us.af.mil/USAFCommunity/s/knowledge-detail?pid=kA0830000000104CAA 

Marines: https://www.manpower.usmc.mil/wordpress/?active_marine=active-marines-home/manpower-management-division/separation-retirement-branch/inactive-reserve-separation-and-retirement/frequently-asked-questions

Additional Gray Area Retiree Information

Please see our special webpages on DFAS.mil for additional retired pay information for Gray Area Retirees: https://www.dfas.mil/grayarea 

Note: The information on this website is provided to explain typical situations regarding retiree and annuitant benefits. For details and exceptions, please see applicable laws, financial management regulations, and instructions.
 

Page Updated Sep 25 2024