How do I calculate my CRSC--Post New Requests at the CRSC Forum of This Board

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pineapplehead

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@pineapplehead

Hello,

After much thought on this case, I have come to the following conclusions and cite only gross pay(s).

1. You previously said, "After 2 hours on the phone with DFAS I finally got my questions answered.2148 is my High 3 as a W2 pay grade with "over 8 years", OR 3570 points, and IT DOES include locality. As far as the CRSC is calculated according to DFAS, Ron, you were correct.
60% CRSC is $1290.86 per month with a spouse and 1 child under 18 years of age. Then, I opted for the Survivor Benefit Plan which costs me $139.65.
1290.86 - 139.65= $1151.21"

Comment: Locality Pay does not pertain to base pay or retired pay.

Basic Allowance for Housing (BAH) provides uniformed service members with permanent duty within the United States housing compensation based on housing costs in local civilian housing markets. BAH is based on geographic duty location, pay grade, and dependency status. It is payable when government quarters are not provided.

2. I am surprised that DFAS reportedly told you that 2148 is your high three because it is not. The high-36 method is the average of the highest 36 months of basic pay divided by 36. This is generally the last 3 years of service and is sometimes called high-3. The rate of of 2148 as high three would be applicable to possibly pay grade E-5.
Knowing the high three is important in computing the retired pay and CRSC. If a CH 61 retiree does not know their high three, the gross retired pay on the most recent DFAS RAS can be divided by the higher of the LOS multiplier or the DoD disability multiplier to determine the current high three with interim COLA increases applied. Your RAS showed 2148 gross.
The gross 2148 divided by 40% (disability percentage) 2148/0.40 = 5370 high three...this is in line with the rate for a W-2 over 20 in the pay chart. The 5370 would be an average. (see paragraph 3)

3. Base pay for AD and reservists/NG: The rate used in the computation for one month of pay (example) is current rate of pay for rank @number of years creditable for base pay (example 20 yrs for pay) x 1 = one month base pay. The active duty time or division by 360 is not used for determining the correct rate of pay. You mentioned you had a 20 year letter I believe (there are many posts covering this topic). A W-2's rate of pay over 20 years for pay was 5568 effective 1 January 2018. Active duty time is used for determining the multiplier for retired pay and CRSC. The years of creditable service for computation of the retired pay percentage multiplier include all active duty and all credited reserve points divided by 360.
The multiplier for disability retired pay is either:
  • 2.5 percent for each year of service, or

  • disability percentage assigned by the service at the time you retire
Either way, the multiplier is limited to 75 percent by law. If you are on the Temporary Disability Retired List, the minimum multiplier is 50 percent while on the TDRL.

4. The CRSC would be the lesser of the dollar amount of the longevity portion of retired pay OR the approved CRSC percentage which mirrors the rates in the VA compensation tables.

5. Selected CRSC information has been added at post 256, this thread.

Ron
U.S. Army Finance Corps
1966-1991
You are correct Ron.
For my CRSC @ 60%, the calculation in my case is the VA 60% rate with spouse and child under 18.
For my Reserve retirement calculation of $2148, it is calculated based on high 3 of a CW2 with (2) years being "over 20" & (1) year "over 22" with a grand total of approximately $5370 X 40% medically retired PDRL = $2148.
Thank you for clearing that up.
It is true that when I am eligible for CRDP, I can have the option to opt out of CRSC and then collect CRDP of $2148(gross)?
 

RonG

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You are correct Ron.
For my CRSC @ 60%, the calculation in my case is the VA 60% rate with spouse and child under 18.
For my Reserve retirement calculation of $2148, it is calculated based on high 3 of a CW2 with (2) years being "over 20" & (1) year "over 22" with a grand total of approximately $5370 X 40% medically retired PDRL = $2148.
Thank you for clearing that up.
It is true that when I am eligible for CRDP, I can have the option to opt out of CRSC and then collect CRDP of $2148(gross)?
Since you have a VA rating of 50% or more and 20 good years, once you meet the reserve age requirement, you can elect CRDP. It will be taxable.

The CRDP ceiling will be "not to exceed" the dollar amount of the longevity portion of retired pay. The waiver of retired pay still occurs...

The $2148 is not the dollar amount of the longevity portion of retired pay. The 2148 was "grand total of approximately $5370 X 40% medically retired PDRL = $2148"

Somewhere in our 20+ exchanges in this thread is the computation of the dollar amount of the longevity portion of retired pay.

Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
2019
E6 (all retirement pay is waive)( still no one know what that's mean in military term)
Active Duty 20.2
Redux.40,5
Gross 1551
Va wavier 1551
Va @ 100- $3,83575 with smc code but without it $3352.42
[email protected]


Crsc-1551 + VA 3835.75 = 5386.75 , I am right.....So I get more from CRSC Vs CDRP... I will elect to take my retirement back next years.
Now understand that you can not do allotment and do dfas pay you or CRSC dfac. Because im hearig VA pays us. Right or wrong.

Ron G, we thank you for helping us out but I think everyone should be pay 100%. because you get the same retirement pay check without the taxes. ( before they give you a 0 pay thyey have to send a letter to you).
 

RonG

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2019
E6 (all retirement pay is waive)( still no one know what that's mean in military term)
Active Duty 20.2
Redux.40,5
Gross 1551
Va wavier 1551
Va @ 100- $3,83575 with smc code but without it $3352.42
[email protected]


Crsc-1551 + VA 3835.75 = 5386.75 , I am right.....So I get more from CRSC Vs CDRP... I will elect to take my retirement back next years.
Now understand that you can not do allotment and do dfas pay you or CRSC dfac. Because im hearig VA pays us. Right or wrong.

Ron G, we thank you for helping us out but I think everyone should be pay 100%. because you get the same retirement pay check without the taxes. ( before they give you a 0 pay thyey have to send a letter to you).
I have never seen a case where CRSC was more than CRDP.

I have seen many cases where CRDP was more than CRSC.

I checked MyPay this morning and still no CRSC statement.

Thank you for your generous remarks...

Ron
 

RonG

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Hello,

You said: “E6 (all retirement pay is waive)( still no one know what that's mean in military term)”

In other words, your retired pay is REDUCED by the amount of VA compensation. Often this results in zero retired pay remaining.

“[A] law requires that a military retiree waive a portion of their gross DoD retired pay, dollar for dollar, by the amount of their Department of Veterans Affairs (VA) disability compensation pay; this is known as the VA waiver (or VA offset). [A] new webpage provides an overview of how the VA waiver works. It also summarizes the two programs created by Congress to allow eligible military retirees to recover some or all of the retired pay that retirees waive for VA disability pay: CRDP and CRSC.”

The webpage is under the “Disability Entitlements” section of the Retired Military & Annuitants area of the DFAS.mil website at:

https://go.usa.gov/xEMry <—-LINK

Also:

The VA pays VA compensation.
The DFAS pays retired pay, CRDP (which is also retired pay), and CRSC.

Ron
 

RonG

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I should have included that...

CRSC and CRDP could be the same gross amount, but the net would be more for the nontaxable CRSC.

I use only gross amounts.

Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
Hello,

You said: “E6 (all retirement pay is waive)( still no one know what that's mean in military term)”

In other words, your retired pay is REDUCED by the amount of VA compensation. Often this results in zero retired pay remaining.

“[A] law requires that a military retiree waive a portion of their gross DoD retired pay, dollar for dollar, by the amount of their Department of Veterans Affairs (VA) disability compensation pay; this is known as the VA waiver (or VA offset). [A] new webpage provides an overview of how the VA waiver works. It also summarizes the two programs created by Congress to allow eligible military retirees to recover some or all of the retired pay that retirees waive for VA disability pay: CRDP and CRSC.”

The webpage is under the “Disability Entitlements” section of the Retired Military & Annuitants area of the DFAS.mil website at:

https://go.usa.gov/xEMry <—-LINK

Also:

The VA pays VA compensation.
The DFAS pays retired pay, CRDP (which is also retired pay), and CRSC.

Ron
Im sorry, I mean the Crsc is the same pay I was getting as my retirement.. nothing change but not tax... Im learning form you.....
 

RonG

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All good...it is a confusing subject.

Do you have a retroactive effective date? If so, you might be able to amend certain tax returns. I will send a link to some material I put together years ago

Since I am not a tax professional, I only offer the collected material; I do taxes only for family members.

Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
All good...it is a confusing subject.

Do you have a retroactive effective date? If so, you might be able to amend certain tax returns. I will send a link to some material I put together years ago

Since I am not a tax professional, I only offer the collected material; I do taxes only for family members.

Ron
Ron G, dfac never send me a statement on nothing.. I call and ask for a paper statement in mail, they said they do not have one. I think I can not get retro because I retired in 2016 and receiving retirement pay at that time. If so I do know anything about it.
 

RonG

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Amended Tax Returns:

See post 42 at

Amended Tax Returns Due to Retroactive Payment of VA Compensation or Retroactive CRSC--Retirees <—-Link

Not everyone would qualify.

Example of a qualifying case:

Retiree receives CRDP (taxable) for 2017 and 2018.

In 2019, the retiree receives CRSC approval retroactive to 2017. DFAS will not go back and
recharacterize the CRDP to CRSC for those years. Amended returns could be filed.

Tax professional:
—I do not qualify
—Strip mall pop ups for tax preparation early each year—in my opinion, they do not qualify either

Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
All good...it is a confusing subject.

Do you have a retroactive effective date? If so, you might be able to amend certain tax returns. I will send a link to some material I put together years ago

Since I am not a tax professional, I only offer the collected material; I do taxes only for family members.

Ron
Ron G can you do my calculation please.. to make sure im right also.. thank you
 

RonG

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Mrlezo,

You provided the following information:
2019

E6 (all retirement pay is waive)( still no one know what that's mean in military term)
Active Duty 20.2
Redux.40,5
Gross 1551
Va wavier 1551
Va @ 100- $3,83575 with smc code but without it $3352.42
[email protected]
Crsc-1551 + VA 3835.75 = 5386.75 , I am right.....So I get more from CRSC Vs CDRP... I will elect to take my retirement back next years.
=======

My comments concerning your REDUX retirement:

1. The gross of 1551 should be at the upper left of your DFAS RAS.
2. 1551 minus 3835.75 VA compensation = zero retired pay remaining
3. Page 2 of your DFAS RAS should show 1551 as the amount of your CRDP based on info you provided.
4. Your maximum CRSC is 1551 (cannot be more than waived retired pay )AND amount of the longevity portion of retirement pay using the REDUX multiplier).
5. Your maximum CRDP is 1551 (based on info I have and cannot be more than waived retired pay AND amount of the longevity portion of retirement pay using the REDUX multiplier).
6. If you choose CRDP, you will receive 1551 (taxable) from DFAS and 3835.75 from the VA
7. If you choose CRSC, you will receive 1551 (nontaxable) from DFAS and 3835.75 from the VA


You should be able to see your CRSC statement within a few days. If it is different from what I posted, I will compute your CRSC from scratch using REDUX if that is what you received. The conclusions above were based on the data you provided.

Ron
 

RonG

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DFAS RAS statement (same for CRSC statement)

LINK to RAS Statements Info <——

The page offers that one should receive the statement by the payment date (i.e., not a specific number of days in advance).

Ron
 

RonG

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Mrlezo,

Backing into the formula...your pay (REDUX)

Provided by you:

A. E6 (all retirement pay is waive)( still no one know what that's mean in military term)
B. Active Duty 20.2
C. Redux.40,5
D. Gross 1551
E. Va wavier 1551
F. Va @ 100- $3,83575 with smc code but without it $3352.42
G. Crsc @ 100

----------------
1. I assume 20.2 years is actually 20 years 2 months (rather than 2 years and 2/10) = 20.09 years
20.09 years x 2.5% = 50.225% multiplier
2. REDUX will reduce the multiplier by:
  • 1 percent for each full year of creditable service less than 30, and
  • 1/12th of 1 percent for each full month of creditable service less than a full year.
3. You show the end REDUX multiplier as 40.5%; therefore I used it as a shortcut.
4. The gross retired pay is 40.5 % of an unknown number. 1551 gross/0.405 = 3829.63 high three PROOF feature: 3829.63 x 40.5% = 1551 This is also considered the dollar amount of the longevity portion of your retirement. Neither CRDP nor CRSC can be higher than this amount.

5. CRSC @ 100% would be over 3000 if you had waived that much retired pay. The same applies to CRDP; the ceiling is 1551.
Again, the waiver is the amount of retired pay reduced by the amount of VA compensation.

6. If you choose CRDP, you will receive 1551 (taxable) from DFAS and 3835.75 from the VA
7. If you choose CRSC, you will receive 1551 (nontaxable) from DFAS and 3835.75 from the VA


Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
Mrlezo,

You provided the following information:
2019

E6 (all retirement pay is waive)( still no one know what that's mean in military term)
Active Duty 20.2
Redux.40,5
Gross 1551
Va wavier 1551
Va @ 100- $3,83575 with smc code but without it $3352.42
[email protected]
Crsc-1551 + VA 3835.75 = 5386.75 , I am right.....So I get more from CRSC Vs CDRP... I will elect to take my retirement back next years.
=======

My comments concerning your REDUX retirement:

1. The gross of 1551 should be at the upper left of your DFAS RAS.
2. 1551 minus 3835.75 VA compensation = zero retired pay remaining
3. Page 2 of your DFAS RAS should show 1551 as the amount of your CRDP based on info you provided.
4. Your maximum CRSC is 1551 (cannot be more than waived retired pay )AND amount of the longevity portion of retirement pay using the REDUX multiplier).
5. Your maximum CRDP is 1551 (based on info I have and cannot be more than waived retired pay AND amount of the longevity portion of retirement pay using the REDUX multiplier).
6. If you choose CRDP, you will receive 1551 (taxable) from DFAS and 3835.75 from the VA
7. If you choose CRSC, you will receive 1551 (nontaxable) from DFAS and 3835.75 from the VA


You should be able to see your CRSC statement within a few days. If it is different from what I posted, I will compute your CRSC from scratch using REDUX if that is what you received. The conclusions above were based on the data you provided.

Ron
Thank you..Ron G.. So its the say pay no matter what I choose..... I do not think it is different.. the lady said 1551 -100.96 SBP plan..
 

RonG

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Yes, but with a great tax benefit if you choose CRSC since it is nontaxable.

I used to pay a couple of insurance policies thru DFAS when I had CRDP, but that was not an option under CRSC. I do not know if that has changed.

Ron
 

mrlezo

PEB Forum Regular Member
Registered Member
Yes, but with a great tax benefit if you choose CRSC since it is nontaxable.

I used to pay a couple of insurance policies thru DFAS when I had CRDP, but that was not an option under CRSC. I do not know if that has changed.

Ron
Ron G, I Have Part only, not part 2 page
 

RonG

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Ron G, I Have Part only, not part 2 page
If you are discussing a DFAS CRSC statement, it is usually only one page. The DFAS RAS (Retired Pay) morning s two pages. Every RAS I received since 1991 was two pages. If you received your RAS in the mail, perhaps page two is on the other side of the paper. I do not remember if that is the format.

You can see page two of an RAS on MyPay.

Ron
 

mcbussard

New Member
Registered Member
I need some help in understanding this CRSC pay. For some reason, the website to use the calculator doesn't come up with the calculator either. I am a retired Army with 100% VA Disability and two gulf war syndrome awards of 30% IBS and 40% Fibromyalgia. I haven't applied for CRSC yet because I don't know if it benefits me. Will it take money away from my Army retirement or my VA disability pay if I apply?
 

RonG

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Staff Member
PEB Forum Veteran
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I need some help in understanding this CRSC pay. For some reason, the website to use the calculator doesn't come up with the calculator either. I am a retired Army with 100% VA Disability and two gulf war syndrome awards of 30% IBS and 40% Fibromyalgia. I haven't applied for CRSC yet because I don't know if it benefits me. Will it take money away from my Army retirement or my VA disability pay if I apply?
The DFAS CRSC calculation wegpageis no longer available which is good since the rates had not been updated since 2014 and it had other flaws.

You mentioned you are retired; what type? It makes a difference. You either have a regular retirement ( 20 years); a reserve retirement (20 "good years"; or a disability retirement (CH 61).

There are also TERA and REDUX considerations.

Assuming you have a disability retirement:
--You retired pay is reduced dollar for dollar in the amount of VA compensation received
--CRSC (Combat Related Special Compensation) can replace some or all of the retired pay offset (reduced) that is approved as combat related. An application submitted to your service is required.
--CRSC does not reduce anything, it is a "replacement program"
--VA compensation reduces retired pay as explained above.
--If you have a regular or reserve retirement, there are other considerations.

The following is link to a collection of CRSC material which should help you: CRSC LINK <----

Ron
 
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