2009/03/10 00:00:00
We know military benefits are confusing. Okay, really confusing. Hundreds of members contact our experts each month asking questions on topics ranging from the stimulus package to military retired pay. Review three of the most frequently asked questions here, and get the answers you need!
1. How does the stimulus package benefit me?
Benefits primarily fall into one of three areas. There are others, but these affect most MOAA members. Check out MOAA’s Legislative Update for more details.
- A reduction of $800 for a joint return or a $400 for a single return in your payroll taxes. This reduction is for an earned income withholding in your paycheck — not a military retirement check.
- Social Security recipients will receive a $250 lump sum payment.
- If you qualify, you could receive assistance for the sale of a home if you are losing money on the deal. The rules are specific and do not apply to most home sellers. Check out the “Military Homeowners’ Assistance Program” post on MOAA’s Financial Frontlines blog.
2. I don’t understand how CRSC or CRDP is reflected on my Retiree Account Statement from DFAS. Please explain
Combat Related Special Compensation (CRSC) and Concurrent Retirement Disability Pay (CRDP) are payments to restore the retired pay you are docked due to the VA waiver in your service retired pay.
Most servicemembers receiving CRSC receive three separate payments; service retired pay with a VA waiver amount, CRSC payment, and VA compensation. The VA waiver remains on the retiree pay stub and the CRSC pay restores the combat-related portion of the money deducted by the VA waiver.
You might receive two payments if your VA waiver amount totally offsets your retired pay. In this case, you will receive VA compensation and CRSC. CRSC pay restores the combat-related portion of the money deducted by the VA Waiver.
CRSC is not reflected on your retired pay stub. Look on your account statement where your pay is direct deposited.
If you receive CRDP, you receive two payments. One is your VA compensation and one is your service retired pay. In this case, the CRDP is incorporated in your service retired pay. The CRDP amount is phased-in, so as CRDP rises, the VA waiver amount will decrease. In 2014, when CRDP fully is phased-in, the VA waiver will go away.
3. How can I get help navigating the VA disability and claims/appeals system?
The VA charters Veteran’s Service Organizations (VSOs) to perform this function. The VA Web site has a complete list of chartered VSOs. VSOs do not charge for this service nor do they require you to be a member of their organization. These chartered VSOs have trained personnel who specialize in providing technical assistance with filing claims and appeals. MOAA is not a chartered Veteran’s Service Organization (VSO) and cannot provide veteran assistance in the VA claims or appeals process.
In addition to VSOs, many state VA departments and county governments have trained personnel in their Veterans Service Offices who can provide assistance. These state and county Veteran Service Offices can not only address the federal benefit but can provide information on any additional state or county benefit that may apply as well.
