Using your figures:
- 18.5 (18 yrs 6 mo) x 2.5% = 46.25 % multiplier
- 8557 x 0.4625 = 3957.61 dollar amount of longevity portion of retired pat
- Gross retired pay 6432 minus 3272 VA offset = 3160 residual retired pay
- CRSC @ 90%, 2 children under 18 = $1,935.62 + 76 = 2011.62
- Item 4, 2011.62 is less than item 2, 3967.61 so the maximum CRSC rate is 2011.62
Ref:
DoD 7000.14-R Financial Management Regulation Volume 7B, Chapter 63
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.
B. Reductions for periods on or after January 1, 2013.
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.
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CRSC is also limited to the amount of actual retired pay waived.
Using this: "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 …" would result in 3957 longevity minus 3160 residual ret pay = ~797 available for CRSC.
This results in: 3272 VA + 3160 residual ret pay + 797 CRSC each month.
Please return when you receive your first CRSC statement and let us know how this plays out. It will be helpful to others in the future.
Ron edited 25 Jan 19