CRSC Estimate + Questions

[FormerFlier]

1. Estimated high-36: $6760

2. DoD disability retirement percentage: 70%

3. 7 years 10 months = 7.83 years of service. (Did not elect BRS)

4. Total VA Comp: $3967, no dependents, includes SMC-K

5. Expected CRSC rating = 60%. No expected combated related SMCs.

6. Do you qualify for another type retirement besides CH 61 disability, including REDUX? No.

By my estimate, I should receive $3967 VA + $766 DoD (taxable) + $558 CRSC (non-taxable) / month, is that accurate?

Questions:
1) Can CRSC replace the taxable portion of excess DoD retirement pay that would otherwise be received? IE could I earn VA pay + DoD Longevity pay as CRSC, all non-taxable? Or will I earn the DoD disability retirement pay beyond VA compensation as taxable income no matter what my CRSC rating ends up being?
2) Would the Major Richard Star act as proposed change these calculations in any way? My unfitting condition likely will not be determined combat related.

Thank you for the help.

 

[alsdnd]

No $707 from DoD, just $558 non taxable compensation if CRSC is approved.

 

[Provis]

1. Estimated high-36: $6760

2. DoD disability retirement percentage: 70%

3. 7 years 10 months = 7.83 years of service. (Did not elect BRS)

4. Total VA Comp: $3967, no dependents, includes SMC-K

5. Expected CRSC rating = 60%. No expected combated related SMCs.

6. Do you qualify for another type retirement besides CH 61 disability, including REDUX? No.

By my estimate, I should receive $3967 VA + $766 DoD (taxable) + $558 CRSC (non-taxable) / month, is that accurate?

Questions:
1) Can CRSC replace the taxable portion of excess DoD retirement pay that would otherwise be received? IE could I earn VA pay + DoD Longevity pay as CRSC, all non-taxable? Or will I earn the DoD disability retirement pay beyond VA compensation as taxable income no matter what my CRSC rating ends up being?
2) Would the Major Richard Star act as proposed change these calculations in any way? My unfitting condition likely will not be determined combat related.

Thank you for the help.

#1. No. CRSC can't replace income such as chapter 61 income. If your chapter 61 pension is taxable and there is an amount sent to you after VA offset it will be taxable.
#2. No. All the Major Richard Star act does is expand benefits for those who didn't get all of their benefits. It would allow recipients to receive the entire amount lost due to VA offset if they had 1 condition that qualified for CRSC. If your total income = earned longevity pension + VA total compensation then you are maxed out on compensation. Some people even with CRSC aren't made whole. For example. Due to VA offset a soldier is losing out on $1,000 compared to their longevity pension earned + VA disability. They qualify for 10% CRSC. So they get $175 from CRSC. Well that doesn't get the Soldier back everything they lost. With the Passage of the Major Richard Star act that soldier would get $1,000 a month and therefore get everything they deserve by paying them the value of their earned longevity pension through serving + VA total compensation.