Two questions:
I commissioned with 8 years of enlisted active duty time in 2014 and will reach my 8 year MSO in 2022 where I will have a total of 16 years of total good retirement years (8 active, 8 reserve). So I can go IRR and remain IRR until 2022 and then find a VTU to finish out my last 4 years until I hit 20? Am I understanding this correctly?
Due to your 8 years prior and your current 8 Year MOB requirement:
Per the new policy, in 2022 if you have 16 Qualifying Years (that is, you earned at least 35 points either through Drilling/Active Duty or courses/other Inactive programs each year between now and 2022), and if you desire to, you will be able to stay/go IRR, no VTU is necessary.
However, it would be best to least be an O-4 so that you are not attritioned out of the Navy between 2022 and 2026.
O-3s are attitritoned out of the Navy on the 7th month after the O-4 Board in which you become 2XFOS (2nd year in which you failed to advance to O-4) which normally occurs around an officer’s 9-12th commissioned Year. For you, that may be as soon as your 17th Year. Also, O-3s are not covered by the 18-19th Year Sanctuary Policy.
O-2 and O-1s are attritioned out as soon as they fail to select for the next grade the first time.
So, it is best if you aim for O-4 (which means even more SELRES Drilling combined with tougher jobs that show a worthiness to make O-4).