Which statement is true about the BRS multiplier compared to the High-3 plan?

Which statement is true about the BRS multiplier compared to the High-3 plan?

• A. BRS multiplier is reduced to 2.0%
• B. BRS uses a 3.0 percent multiplier
• C. BRS uses a 1.5 percent multiplier
• D. BRS uses a 2.5 percent multiplier with a different base

Answer: (A)

The key idea is how retired pay is calculated: you multiply the years of service by a yearly multiplier, then by the average of your highest 36 months of base pay. In the High-3 plan, that multiplier is 2.5% per year. The Blended Retirement System lowers that multiplier to 2.0% per year, which reduces the pension for each year of service. To balance this, BRS adds a defined contribution element through the Thrift Savings Plan with government contributions, boosting retirement savings beyond the pension. So the true statement is that the BRS multiplier is reduced to 2.0%. The other options don’t fit because the multiplier isn’t 3.0% or 1.5%, and it isn’t 2.5% with a different base—the base calculation remains the same (highest 36 months), with the multiplier reduced to 2.0%.

The key idea is how retired pay is calculated: you multiply the years of service by a yearly multiplier, then by the average of your highest 36 months of base pay. In the High-3 plan, that multiplier is 2.5% per year. The Blended Retirement System lowers that multiplier to 2.0% per year, which reduces the pension for each year of service. To balance this, BRS adds a defined contribution element through the Thrift Savings Plan with government contributions, boosting retirement savings beyond the pension. So the true statement is that the BRS multiplier is reduced to 2.0%. The other options don’t fit because the multiplier isn’t 3.0% or 1.5%, and it isn’t 2.5% with a different base—the base calculation remains the same (highest 36 months), with the multiplier reduced to 2.0%.