On armor, you have Threshold, Reduction, and Resistance.

Threshold means attacks that deal less damage than the Threshold number deal 0 damage, but over the number deal normal damage.

Reduction just reduces the damage taken by the set amount

Resistance halves all incoming damage.

Do I have that right?

Way I see it, this is too much with a lot of it filling up the same narrative space. Threshold punishes those that make small damage attacks. Reduction also punishes those that make small damage attacks. There really doesn't need to be two such mechanics.

Pick one or the other, and your game will probably run smoother.