It's good for mental health

Just like in real life! Lol

Aww that’s actually pretty great cause the students would get to study questions they missed and in doing so learn the parts they had trouble with

Ok but does your policy match your district policy? Because I tried to have a grading policy like this my first two years of teaching but the assistant principals at my school pointed out the district policy only allowed one test re-take per test, and only a three-day window to turn in late assignments. So I had to change my policy. I hope your district gives you the type of freedom to have grading policies like this.

Retaking a test/quiz is fine as long as it isn't actually the exact same test/quiz (probably not an unlimited amount of times, though), and late assignments should be docked points.