Post 20 Year Medical Retirement

Cbick

PEB Forum Regular Member
Registered Member
If this has been asked already, please disregard (or if it's in the wrong thread), but I have searched quite a bit, and I am not QUITE finding the answer I am looking for.


To the best of our knowledge - If an Active Duty Service Member Medically Retires at:

100% VA Disability rating
100% DoD Disability Rating (75% max) all unfitting conditions combat related with applicable combat codes
Past 20 years of service.

Will that service member receive their full pension (75% retired base pay, tax free as stipulated by 199), as well as their full VA disability benefit compensation? By what method is this paid - is this CRPD/CRSC OR is the Service Member ultimately paid a lesser amount?


Thanks!
 
If this has been asked already, please disregard (or if it's in the wrong thread), but I have searched quite a bit, and I am not QUITE finding the answer I am looking for.


To the best of our knowledge - If an Active Duty Service Member Medically Retires at:

100% VA Disability rating
100% DoD Disability Rating (75% max) all unfitting conditions combat related with applicable combat codes
Past 20 years of service.

Will that service member receive their full pension (75% retired base pay, tax free as stipulated by 199), as well as their full VA disability benefit compensation? By what method is this paid - is this CRPD/CRSC OR is the Service Member ultimately paid a lesser amount?


Thanks!
Hello @Cbick ,

This addresses the scenario you described above.

1. Your retired pay will be average high three base pay x 75%.
2. Your retired pay will be reduced dollar for dollar in the amount of VA compensation received. There might be residual (left over) retired pay.
3. Your CRDP (since you have 20 years or more and 50% or more VA rating) will be the longevity portion of your retired pay.
4. The longevity portion of your retired pay is (generally) active duty or active duty equivalent (example 20 Years) x 2.5% = longevity multiplier. Average high three base pay x longevity multiplier = longevity portion of retired pay and CRDP maximum
5. However, the combination of residual retired pay (see item 2) and CRDP cannot exceed the longevity amount.

In a case like yours, CRSC is much like the steps outlined for CRDP.
Your CRSC would be the lesser of
--The longevity portion or your retired pay
OR
--The amount in the VA compensation tables that mirrors the CRSC approved percentage by your service.
--The combination of residual retired pay and CRSC cannot exceed the longevity amount.
--CRSC can be less than CRDP, but never more.
--If your CRSC approved percentage is less than the VA percentage, it would be wise to stay with CRDP.

Edited to add: You also keep your VA compensation


Ron
 
Last edited:
Hello @Cbick ,

This addresses the scenario you described above.

1. Your retired pay will be average high three base pay x 75%.
2. Your retired pay will be reduced dollar for dollar in the amount of VA compensation received. There might be residual (left over) retired pay.
3. Your CRDP (since you have 20 years or more and 50% or more VA rating) will be the longevity portion of your retired pay.
4. The longevity portion of your retired pay is (generally) active duty or active duty equivalent (example 20 Years) x 2.5% = longevity multiplier. Average high three base pay x longevity multiplier = longevity portion of retired pay and CRDP maximum
5. However, the combination of residual retired pay (see item 2) and CRDP cannot exceed the longevity amount.

In a case like yours, CRSC is much like the steps outlined for CRDP.
Your CRSC would be the lesser of
--The longevity portion or your retired pay
OR
--The amount in the VA compensation tables that mirrors the CRSC approved percentage by your service.
--The combination of residual retired pay and CRSC cannot exceed the longevity amount.
--CRSC can be less than CRDP, but never more.
--If your CRSC approved percentage is less than the VA percentage, it would be wise to stay with CRDP.

Edited to add: You also keep your VA compensation


Ron
Ron - thank you so much for addressing this (I have been reading your other posts). The U.S.C is more or less straightforward, but leaves certain language vague without directly addressing when the vagaries (read: exceptions), come into play. In speaking with both the SOCOM Care Coalition and VSOs there seems to be some general level of confusion, that I certainly share - specifically as compensation relates to 100% disabled veterans medically retired after the 20 year mark.

My follow-on question would be: Are there times when a medically retired SM (100% DoD and 100% VA) does NOT have to waive their retired pay. That, in essence, they simply receive their tax free 75% retired base pay, as well as 100% of their VA disability (also tax free.). The U.S.C alludes to the possibility, without (as far as I can tell) directly spelling it out.

My brain currently feels like my legs did the last time I did a 26 mile ruck, so I am closing the U.S.C. for the moment - hahaha

again, thank you so much for your time, thoughts, and expertise! I truly appreciate it!


-Chris
 
Hello,

Re: "My follow-on question would be: Are there times when a medically retired SM (100% DoD and 100% VA) does NOT have to waive their retired pay. That, in essence, they simply receive their tax free 75% retired base pay, as well as 100% of their VA disability (also tax free.). The U.S.C alludes to the possibility, without (as far as I can tell) directly spelling it out."

Unfortunately, no.

You can use one of the CRSC links at the bottom of the info page (that provides the laws). Collection of CRSC information LINK <—-

Specifically, this> https://comptroller.defense.gov/Portals/45/documents/fmr/current/07b/07b_63.pdf

Ron
 
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