Temporary Early Retirement Authority (TERA) authorized members with over 15, but less than 20 years of total active duty service to apply for early retirement. The opportunity to retire under this TERA program is expected to end by December 31, 2025.
TERA retired pay is initially computed using the length of service retirement formula. It is then multiplied by a reduction factor based on the number of months the retiree is short of 20 years.
Active duty pay x Percent Multiple x Reduction Factor = TERA Retired Pay
Like all retired pay, TERA gross retired pay is rounded down to the nearest dollar.
Please note: The Public and Community Service Program allowed under the 1993-2001 TERA is not applicable to the 2012-2025 TERA.
If you retired under Career Status Bonus/REDUX (CSB/REDUX), your gross retired pay may be further reduced by the REDUX multiplier. Your gross retired pay will be computed factoring in both the TERA reduction factor and the REDUX multiplier.
If you elected CSB/REDUX and are thinking about retiring under 2012-2025 TERA, you should carefully consider the effects both programs will have on your retired pay before making your final decision.
Page updated May 15, 2017