Va Disability Payments And Military Retirement

The law requires that a military retiree waive a portion of their gross DoD retired pay dollar for dollar by the amount of their Department of Veterans Affairs VA disability compensation pay.

Va disability payments and military retirement. This was prohibited until the CRDP program began on January 1 2004. The law stipulates that benefits cannot be duplicated. Since disability compensation does not get taxed and retirement pay does it often makes sense to waive the DOD pay and accept the VA compensation. Receiving Both DoD Money and VA Money Concurrent Retirement and Disability Pay CRDP is a benefit that allows veterans who qualify to receive benefit money from both the DoD and the VA.

Since 1941 retired members of the military were ineligible to receive both retirement and disability payments or double-dip These payments must be offset. Next look at the Added amounts table. Concurrent Retirement and Disability Pay CRDP allows military retirees to receive both military retired pay and Veterans Affairs VA compensation. Most retirees choose to receive their VA disability compensation because it is tax-free income while their military pension is taxed by the federal government and by most states.

Such caps mean that if you draw VA disability pay but not military retirement pay you may qualify for SSI. However the Social Security Administration official site advises veterans that those approved for a VA pension will not qualify to receive SSI because the pension amount is higher than the SSI payment amount exceeding the income cap. According to VA concurrent retirement and disability pay CRDP is a phase in of benefits that gradually restores a veterans service pay by eliminating the VA Waiver see below. VA disability compensation pay offers a monthly tax-free payment to Veterans who got sick or injured while serving in the military and to Veterans whose service made an existing condition worse.

But this is not true in all cases. Essentially veterans who receive pay and VA disability compensation at the same time are typically subject to the governments double-dipping laws. If youre a Veteran with a 70 disability rating and you have a spouse plus 3 dependent children under the age of 18 you would start with the basic rate of 165671 for a Veteran with a spouse and 1 child. Concurrent Retirement and Disability Pay CRDP is a program that provides certain military retirees a monthly restoration of some or all of their VA disability offset.

When to Opt for Military Retirement Pay. Military retirees who choose to receive VA disability compensation will have their military retirement pay offset by the amount of compensation they receive from the VA. A veteran receiving disability compensation from the Department of Veterans Affairs VA has their military retirement pay reduced by the amount of VA disability compensation they receive. For example if a veteran may receive 2000 in retirement benefits and a disability payment of 600 the amount of disability is subtracted from the eligible retirement pay.

Find the amount for children under age 18 6100. Generally veterans cannot receive monthly monetary Military Disability Benefits from both the VA and the DoD. Even if you waive your DOD pay you and your dependents will still receive medical benefits from the DOD as long as your disability has been rated at least 30.