Overtaxed on Severance Pay

Cjmmjc

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Has anyone experienced this?

I was given a severance pay of $24,852.
I receive a payment of $15,402 today, clearly way more than the 22% they are supposed to tax.

What is the timeline to getting it fixed or just getting my taxes refunded after submitting the st.clair memo
 

Brokin1104

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PEB Forum Veteran
Registered Member
Has anyone experienced this?

I was given a severance pay of $24,852.
I receive a payment of $15,402 today, clearly way more than the 22% they are supposed to tax.

What is the timeline to getting it fixed or just getting my taxes refunded after submitting the st.clair memo

I thought that severance pay was exempt from taxation.
 

Cjmmjc

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PEB Forum Veteran
Registered Member
I thought that severance pay was exempt from taxation.

Only if it resulted from combat or simulating combat (which it did but the examiner didnt put that in my paper work)

How ever there is a way to get the taxed amount back (st Clair memo)
 

USAFDawg

Active Member
PEB Forum Veteran
Registered Member
Has anyone experienced this?

I was given a severance pay of $24,852.
I receive a payment of $15,402 today, clearly way more than the 22% they are supposed to tax.

What is the timeline to getting it fixed or just getting my taxes refunded after submitting the st.clair memo

Depending on your family situation, you might get it all back next year when you file your return. I got about that much taken out (~28%) for my Health Professionals Loan Repayment Program (HPLRP) and got it all back because of the number of dependents I have. It was nice as the money came back to me instead of my student loan.
 

Cjmmjc

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How long after your EAS did you receive your severance?

My last official day was 26SEP19.
I got my taxed severance on 10OCT19.
I then submitted the request for a refund of the taxed amount back.
I recieved the refund 18NOV19
 

female_marineE7

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My last official day was 26SEP19.
I got my taxed severance on 10OCT19.
I then submitted the request for a refund of the taxed amount back.
I recieved the refund 18NOV19
Did you have any warning that you would be getting the refund or did it just show up? I am awaiting my tax refund from DFAS, submitted by request on Oct 5th, called them and they said they had submitted a payment voucher on Nov 18.
 

Cjmmjc

Well-Known Member
PEB Forum Veteran
Registered Member
Did you have any warning that you would be getting the refund or did it just show up? I am awaiting my tax refund from DFAS, submitted by request on Oct 5th, called them and they said they had submitted a payment voucher on Nov 18.

None at all. It just showed up. They said it would take 30-60 days
 
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