ARLINGTON, Va. (AFRNS) – Beginning Oct. 1, 2008 Section 642 of the 2008 National Defense Authorization Act expanded the eligibility requirements for the Concurrent Retirement Disability Payment, or CRDP.
Retirees who were rated by the Department of Veterans Affairs as individually unemployable, or IU, and are receiving VA disability compensation as a result of IU status, are eligible to receive full concurrent receipt of both their VA compensation and retired pay.
This section of the 2008 NDAA is retroactive to Jan. 1, 2005.
The Defense Accounting and Finance Center will begin paying approximately 40,000 veterans their fully restored retired pay beginning Nov. 3. The November payday reflects their October entitlement. Eligible retirees will see their fully restored retired pay reflected on their Retired Account Statement available on myPay at https://mypay.dfas.mil.
The law also provided for a retroactive payment back to January 2005, if applicable. DFAS is beginning payment of these retroactive payments. Cases that are less complicated, such as straight CRDP and certain blended cases, will be paid first as these are capable of being automatically computed. Approximately 20,000 cases fall in this category. Retirees should begin seeing this one-time payment in November.
The more complicated cases, for example garnishments and former spouse payments, require more in-depth adjudication. DFAS workers will compute these cases as quickly as possible while ensuring accurate payments, said officials. The goal is to have all retroactive payments under this section of the law completed by March 2009.
People can log on to the DFAS Web site under “Retired Pay” to find out more information on Section 642 such as viewing frequently asked questions, eligibility criteria, and the current adjudication status at http://www.dfas.mil/retiredpay.html. (Courtesy of DFAS)
Concurrent Disability Payments (CDP) and Combat-Related Special Compensation (CRSC) Update
[Source: AFRNS August 10 AUG 04 Release No. 08-04-04]
The Defense Finance and Accounting Service this week updated the Combat-Related Special Compensation (CRSC) information posted on its web site www.dfas.mil. To access click on Combat Related Special Compensation under the Retiree and Annuitant Pay heading. Information concerning the entire CRSC Program is included in the Frequently Asked
Questions. Public Law 108-136, the National Defense Authorization Act for Fiscal Year 2004, effective Jan. 1, 2004, extended CRSC eligibility to retired members who have a combat-related disability rating between 10% and 50% by the Department of Veterans Affairs (VA). Combat-related disabilities include disabilities that are the result of armed conflict,
hazardous duty, or training exercises. Previously, a 60% or higher rating or a disability associated with a Purple Heart was required in order to be eligible for CRSC payments. Chapter 61 members retired because of a disability with less than 20 years of service are not eligible. Retirees who have applied to their branch of service and whose applications have
been approved and forwarded to DFAS will be processed in the order in which they are received.
DFAS reports that currently retirees receiving CRSC have been paid using the VA's veteran-only rates. CRSC legislation included provisions to increase CRSC amounts due to dependency status and/or receipt of Individual Unemployability (IU) or Special Monthly Compensation (SMC). A recently finalized data-sharing agreement between DFAS, the Military Services and the VA will now allow payment of these increased CRSC amounts to eligible retirees. These changes may or may not affect individual CRSC payments. The dates in the following apply to retirees whose dependency and IU statuses were confirmed by the VA as of 6 JUL 04. Those retirees whose dependency and IU statuses are confirmed after July 6, 2004, should begin receiving the recurring monthly increased amount with their August
payment which is normally received on Sept. 1, 2004:
· DEPENDENCY STATUS: Eligible retirees should have begun receiving the recurring monthly increased amount with their July payment, about 2 AUG 04 (for Direct Deposit payments) or no later than 12 AUG 04 (for hard-copy checks). Due to the Labor Day holiday, eligible retirees due retroactive amounts for dependency status should receive the retroactive payment no later than 7 SEP 04 (for a Direct Deposit payment) or no later than 14 SEP
04 (for a hard-copy check). Retroactive payments will only be made as far back as 1 JAN 04, the original effective date of this provision.
· INDIVIDUAL UNEMPLOYABILITY: Eligible retirees should begin receiving the recurring monthly increased amount with their July payment, which is normally received on 2 AUG 04 (for Direct Deposit payments) or no later than 12 AUG 04 (for hard-copy checks). Due to the Labor Day holiday, eligible retirees due retroactive amounts for dependency status and/or IU should receive the retroactive payment no later than 7 SEP 04 (for a Direct
Deposit payment) or no later than 14 SEP 04 (for a hard-copy check). Retroactive payments will only be made as far back as 1 JUN 03, the original effective date of this provision.
· COMBAT RELATED SPECIAL MONTHLY COMPENSATION: For SMC, eligible
retirees should begin receiving the recurring monthly increased amount no later than 6 OCT 04 (for Direct Deposit payments) or no later than 14 OCT 04 (for hard-copy checks). Eligible retirees due retroactive amounts should receive the retroactive payment at a date to be announced. Retroactive payments will only be made as far back as 1 JUN 03, the original effective date of this provision.
DFAS officials remind eligible individuals that the monthly amount of CRSC payable cannot exceed the gross monthly amount of retired pay, regardless of dependency status, SMC or IU determination. For instance, if your current CRSC payment is already equal to your gross monthly amount of retired pay, no additional money is due. In addition to the DFAS web site, the updated information will be incorporated in the web site maintained by
the Air Force Personnel Center's Disability Division. That division's CRSC officials noted that they have provided all names of those eligible for Special Monthly Compensation and Individual Unemployability to DFAS.
Individuals requiring more information about CRSC should call the CRSC Branch at (210) 565-1600 or the AFPC Contact Center at 1 (800) 616-3775.
April 2, 2004
(Updated April 30, 2004)
"Concurrent Receipt" is a term used to describe the receipt of both military retired pay and VA compensation by military retirees who have service-connected disabilities. These veterans fall into two categories:
Combat-Related Special Compensation (CRSC): Military retirees receiving VA compensation for a disability or disabilities which were incurred as a direct result of armed conflict; or while engaged in hazardous service; or in the performance of duty under conditions simulating war (training); or through an instrumentality of war (such as accidental gunfire, exposure to Agent Orange, accidents in military vehicles, Gulf War Syndrome) and has been
rated by VA as 10% or higher disabling can draw their VA compensation equal to what-
ever their VA rating is and their full military retired pay.
Concurrent Disability Payments (CDP): Military retirees who have a VA rated disability or disabilities which are service connected but not related to the conditions outlined above and who are rated as 50% or higher disabling can draw their VA Compensation and their retired pay phased in increasing increments over a ten-year period until they are getting their full
retired pay by the year 2014.
COMBAT-RELATED SPECIAL COMPENSATION (CRSC)
Effective January 1, 2004, CRSC will be paid for any combat- or training-related disabilities rated anywhere from 10% to 100% . Retirees must apply to their parent service for CRSC payments, and they will continue to receive their full retired pay.
Previously, Combat-Related Special Compensation (CRSC) laws paid only for disabilities which were are rated by VA as 60% or higher disabling and were caused by combat conditions, or simulated combat conditions (such as training), or for disabilities which resulted in the award of the Purple Heart medal, regardless of the rating.
Army
The Army web site is www.crsc.army.mil Direct questions toll free to 1-866-281-3254, local (703) 325-5163 Fax: (703) 325-0144
Navy/Marines
Neither the Branch nor the NCPB Webmaster is staffed to accept or respond to telephone or email inquiries. Mail requests to the Branch and they will respond to them as soon as practicable. In order to more efficiently process the large volume of applications received, please allow the time specified in the Initial Notification of Receipt to expire before making inquiries into your case. Additional information is available at the CRSC Branch toll-free in-
formation line at 1-877-DON-CRSC (1-877-366-2772), or by mailing to the CRSC Branch..."
Previous Denials for 10-to-50% Ratings:
For those retirees who were previously denied CRSC under the 2003 program because their combat-related disabilities were rated at 10-to-50% an automatic approval process was implemented. If you are in this category, please do not reapply. You should receive an approval letter by February 2004. If you do not receive an approval letter within this time-
frame and you believe you should have, feel free to mail an inquiry to the Branch. (See
the address at the end of this section).
Previous Purple Heart-Related Approvals Containing other Combat-Related Disabilities:
For those retirees who were previously approved for CRSC under the 2003 program because they had Purple Heart-related disabilities but who did not receive CRSC for other combat-related disabilities because their total combat-related percentage was below 60%, they have implemented an automatic approval process. If you are in this category, please do not reapply. You should receive an approval letter by February 2004. If you do not receive an approval letter within this timeframe and you believe you should have, feel free to mail an inquiry to the Branch at the address listed below.
Department Of The Navy
Naval Council Of Personnel Boards
Combat Related Special Compensation Branch
720 Kennon Street SE Suite 309
Washington Navy Yard, DC 20374-5023
Air Force
Supporting documentation is essential to the review of each CRSC claim. The burden is upon you to provide supporting documentation to the best of your ability. They need to verify the cause of your diagnosis, or we cannot determine it to be combat related. Please include a complete copy of all documentation you have from the VA, especially documents that provide original VA rationale for determining your disabilities are service connected, documents that
provide diagnostic codes, documents that indicate the current rating of your disabilities, and documents that show a condition as secondary or presumptive.
The address for applications from retired Air Force members is:
United States Air Force
Disability Division (CRSC)
550 C Street West Ste 6
Randolph AFB TX 78150-4708
If you need assistance or have any questions, please contact the AF Contact Center, DSN 665-5000; Commercial (210) 565-5000 or toll free 1-866-229-7074.
Coast Guard
General tips: There is no particular problem with VA records verification, because the Coast Guard simply denies applications that are not verifiable with the M-13 record or the initial VA rating summary.
The CR Legislation advice to a Coast Guard applicant is more pointed than to retirees of the other Services. Take your time, document your block 13 description and correlate it to your condition especially well and stay credible. Remember, a large and amorphous bureaucracy is not handling your application, but by the Coast Guard, whose leadership is focused and bright. If you take these steps, we feel your service will do the best it possibly can to accommodate credible and well-documented and correlated applications.
The address for US Coast Guard CRSC and CDP inquires:
Commander (Adm-1-CRSC)
US Coast Guard Personnel Command
4200 Wilson Blvd
Arlington, VA 22203-1804
Telephone: 1-800-772-8724
CONCURRENT DISABILITY PAYMENTS (CDP)
Those military retirees who have service-connected disabilities rated at 50% or higher which are not combat- or combat training-related, but were incurred or aggravated while serving in the military, will receive all of their VA compensation, at whatever current rating they have, but only a percentage of their military retired pay until the year 2014, when they will get full concurrent receipt of both.
Effective January 1, 2004, they will receive their full VA disability compensation, but the amount of retired pay they will be able to draw depends on their VA disability rating.
Veterans rated at 100% disabled will be able to draw an additional $750 per month of their retired pay and full VA compensation, currently $2,239; more if the veteran has dependents.
Veterans rated 90% draw an additional $500 of their retired pay and full VA, currently $1,344; or more if dependents.
The remaining schedule is as follows:
80% disability, additional $350 per month;
70% disability, additional $250 per month;
60% disability, additional $125 per month; and
50% disability, additional $100 per month.
No concurrent receipt for retirees rated 40% or below. They must continue to have their VA disability compensation payments subtracted from their military retired pay.
Each year for the next 10 years, the amount of the retired pay they will be able to draw in addition to their VA disability compensation will increase thusly:
In 2005 the retiree would get an additional 10% of the remaining offset in his retired pay. Example: if the veteran's retired pay was originally $1500, he would start out getting the additional $750, leaving an offset of $750.
In the year 2005 he would get 10% of the $750, or $75, leaving an offset of $675. The amount of retired pay he is now drawing is $750 plus the $75, or $825.
In 2006 the retiree would get an additional 20% of the remaining offset in his retired pay. Using the example above, he would get 20% of the remaining $675, or $135. Added to the retired pay he is already getting, he is now drawing $960 retired pay with an offset of $540.
In 2007 an additional 30% of the offset. In 2008 an additional 40% and so on until January 2014 when they will be receiving their full military retired pay.
A service member who is 50% service-connected disabled and retires in the year 2008 starts out at the additional $100 per month and the additional 40% of the offset immediately, not the 10%. A service member who is 50% service-connected disabled and retires in the year 2014 will get full VA compensation for the 50% rating and full military retired pay.
National Guard and Reservist career retirees will be treated the same as active duty retirees and are included in both programs and no longer are required to have 7200 retirement points, as they were under an earlier program.
Disabled retirees who qualify for both programs would have to choose between one or the other. Retirees cannot draw compensation from both programs. Because the CRSC program provides full payment immediately, rather than the 10-year phase-in, legislators plan to allow an annual election option for the CRSC-eligibles. This recognizes that a retiree who is 100% disabled, but only 60% of that is due to combat-related conditions, may find it advantageous
to elect CRSC payments for a few years until the concurrent receipt payment rises to a level that exceeds the CRSC payment.
Because CRSC payments are tax-free and retired pay is not, this could also figure into
the qualifying retirees decision of which pay to accept.
