Help on pay clarification

Good morning all, new guy here and just started the IDES process. I have searched the forums, but didn't find anything applicable to my scenario:


—monthly base pay = $6900 per month
—DoD disability percentage = 90%
—Active duty years and months = 11 yrs, 2 months
—VA compensation percentage; 100%, 2 kids(under 18), 2 parents plus spouse
—Approved CRSC percentage = approved at 80%
—Other type military retirement eligibility info. Also indicate if you transitioned to the Blended Retirement System. Not BRS

Can anyone shed some light on the final monthly check? I'm confused on the VA offset for the DoD pay. Thanks!
 
What is your average high three base pay (total of highest 36 months of pay divided by 36)?

What is the amount of your VA compensation?

Offset? Your retired pay will be reduced by the amount of VA compensation received.
CRSC replaces some or all of the "reduction" or waiver

Ron
 
What is your average high three base pay (total of highest 36 months of pay divided by 36)?

What is the amount of your VA compensation?

Offset? Your retired pay will be reduced by the amount of VA compensation received.
CRSC replaces some or all of the "reduction" or waiver

Ron


Ron, thank you.
What is your average high three base pay (total of highest 36 months of pay divided by 36)? $6900
What is the amount of your VA compensation? $3,684

In regards to the VA reduction, just looking for clarification on what that entails. I'm guessing the VA monthly comp minus the DoD monthly comp?
 
Hello,

Using your info:

—monthly base pay = $6900 per month
—DoD disability percentage = 90%
—Active duty years and months = 11 yrs, 2 months
—VA compensation percentage; 100%, 2 kids(under 18), 2 parents plus spouse
—Approved CRSC percentage = approved at 80%
—Other type military retirement eligibility info. Also indicate if you transitioned to the Blended Retirement System. Not BRS

----

Estimate using your info:


1. 6900 x 0.75 max = 5175 retired pay
2. Retired pay 5175 minus 3770.95 = 1404.05 residual retired pay
3. 11.167 years x 0.025 = 27.92% longevity multiplier
4. 6900 x 0.2792 = 1926.48 longevity portion of retired pay
5. CRSC @ 80% with spouse, 2 parents and 2 children under 18: 2,119.80 + 68 = 2187.80 CRSC
6. The longevity portion of retired pay is the ceiling for CRSC for CH 61 with less than 20 years AD; also the combination of CRSC and residual retired pay cannot exceed the longevity amount.
7. Longevity portion of retired pay 1926.48 minus 1404.05 residual = 522.43 adjusted CRSC

Summary:
DFAS pays = 522.43 CRSC + 1404.05 residual = 1926.48
VA pays = 3770.95 (your figure might not have included one child)


Ron
 
Re: "In regards to the VA reduction, just looking for clarification on what that entails. I'm guessing the VA monthly comp minus the DoD monthly comp? "

No, it is how I showed in the computation just posted.

The amount of VA compensation reduces the amount of gross retired pay.

Ron
 
Re: "In regards to the VA reduction, just looking for clarification on what that entails. I'm guessing the VA monthly comp minus the DoD monthly comp? "

No, it is how I showed in the computation just posted.

The amount of VA compensation reduces the amount of gross retired pay.

Ron

Ron, much appreciated for the clarification. If I understand this correctly, due to the reduction in retired pay, DFAS will never pay more than the 100% VA rate? Which for me would be $3,684.
 
Ron, much appreciated for the clarification. If I understand this correctly, due to the reduction in retired pay, DFAS will never pay more than the 100% VA rate? Which for me would be $3,684.

Your VA compensation (paid by the VA)= 3770.05 (your figure might not have included one child which adds $86.05 ) So...$3,684.00 + 86.05 = 3770.05 (I think I hit the wrong key in typing it previously and showed the cents as 95.)

In your case, the DFAS is never going to pay more than 6900 x 0.2792 = 1926.48 longevity portion of retired pay EXCEPT for COLA increases.

DFAS:
DFAS pays = 522.43 CRSC + 1404.05 residual = 1926.48 same as longevity portion of retired pay.

Ron
 
Ref: DoD 7000.14-R Financial Management Regulation Volume 7B, Chapter 63 * November 2019
LINK <----

6308 CRSC AMOUNT The monthly amount of CRSC is equal to the full monthly amount prescribed in paragraph 630801, reduced as prescribed in paragraph 630805 and limited in accordance with paragraph 630802.

630805. CRSC Payment Reduction for 10 U.S.C., Chapter 61 Disability Retirees The adjusted monthly amount specified in paragraph 630802 will be reduced according to the provisions of subparagraph 630805.A or 630805.B, whichever is applicable.

2. Members retired for disability under 10 U.S.C., Chapter 61, with less than 20 years of creditable service computed under 10 U.S.C. § 1208, and who are qualified for CRSC, on or after January 1, 2013, will have the maximum CRSC payment restrictions. The CRSC payment amount, which when combined with any remaining retired pay after VA offset, will not exceed the amount that is equal to 2½ percent of the member’s years of creditable service multiplied by the member’s retired pay base under 10 U.S.C. § 1406(b)(1) or 10 U.S.C. § 1407, whichever is applicable to the member.

Ron
 
Your VA compensation (paid by the VA)= 3770.05 (your figure might not have included one child which adds $86.05 ) So...$3,684.00 + 86.05 = 3770.05 (I think I hit the wrong key in typing it previously and showed the cents as 95.)

In your case, the DFAS is never going to pay more than 6900 x 0.2792 = 1926.48 longevity portion of retired pay EXCEPT for COLA increases.

DFAS:
DFAS pays = 522.43 CRSC + 1404.05 residual = 1926.48 same as longevity portion of retired pay.

Ron


Got it, thanks. One last question...so the VA would pay $3770.75 and DFAS $1926.48 for a monthly gross combination of $5697.23?
 
Got it, thanks. One last question...so the VA would pay $3770.75 and DFAS $1926.48 for a monthly gross combination of $5697.23?
Yes...you have it nailed.

I think I typed a 90 cent error somewhere in that byzantine computation.

You would receive two payments from DFAS, one for residual retired pay and one for CRSC.

The VA payment would be separate.

Good luck,
Ron
 
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