Other - including CRSC and CRDP

How do I know if the veteran for whom I care qualifies for disability retirement, and how do I calculate the amount the veteran will receive?
When the wounded warrior for whom you care receives his or her disability percentage — assigned by the Physical Evaluation Board (PEB) — you will know whether the servicemember qualifies for retirement or separation.

The servicemember also might qualify for Combat-Related Special Compensation (CRSC) or Concurrent Retirement and Disability Pay (CRDP). CRSC was created for disability and non-disability military retirees with combat-related disabilities. It is a tax-free monthly reinstatement of retirement pay. CRDP allows military retirees to receive both military retired pay and VA compensation.

For more information about disability retirement visit the Defense Finance and Accounting Service (DFAS) website and read more about DoD benefits and the Integrated Disability Evaluation System process.

Are there special considerations I need to know about National Guard and Reserve retirement qualifications?
National Guard and Reserve duty personnel are eligible for retirement pay after completing at least 20 good years of service identified by receipt of a Notice of Eligibility for retired pay and reaching age 60. The amount of pay is based on a point system geared to the type of active and inactive duty performed.

  • Under the FY 2009 National Defense Authorization Act, National Guard and Reserve members with 20 or more years might be eligible to receive retired pay prior to age 60. Retirement-eligible personnel are able to reduce their retirement age by three months for every 90 consecutive days mobilized. Provisions of the law include:
    • Involuntary mobilization or voluntary active duty in support of contingency operations, to include deployment for war or a national emergency.
    • Active duty service outside the continental U.S. is not required.
    • Training, operational support, and school tours generally are included in active duty time.
    • Law applies to deployed time served after Jan. 28, 2008.

Servicemembers will receive retirement pay for life. The pay amount periodically is adjusted to the cost of living index. Upon the servicemember’s death, his or her spouse and children will receive annuity payments only if the servicemember elects to purchase the Survivor Benefit Plan (SBP) under one of the three National Guard or Reserve options before he or she retires.

Choosing to participate in military financial programs available to veterans might affect their projected military retired pay. Allotments for participating in certain programs, such as the SBP, are deducted from military retired pay either before or after income tax withholding. These payments should be subtracted from the calculated retirement benefit amount.

Provisions and rules of military pensions and other public sector plans might differ from those of private corporations.

Contact your installation’s finance, personnel, or retirement and separations office with questions about your projected retired pay. If retired contact DFAS or your applicable pay center. If needed, seek legal and tax advice for your specific situation.

If the servicemember for whom you care is retiring from the National Guard or Reserve, you can calculate his or her retired pay based on disability status.

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