CRSC vs CRDP (Also Promotion Question)

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JoePlasm

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So I'm currently doing my C&P Exams, I'm being seperated for Crohn's after 22 yrs of service, I have a variety of other conditions that my MEB Dr said I'll probably get V1/V3 for.

I'm tracking that if I have >/= to 50% VA i can get CRDP.

I've recently been told to make sure i get V1/V3 for my other conditions because I can ALSO get CRSC. I thought I had to choose one over the other (CRDP over CRSC, generally which ever gets you more).

I just want to confirm my understanding (That I'll get retired check and fully taxed + VA check if over 50% and VA not taxed) vs. what I was told (Retirement check with % tax free for V1/V3, and VA check for over 50% CRDP).



The unrelated promotion question: I'm on the list, I'm tracking my retired rank will be the promotion rank dated to the day of separation. I've heard mixed stories on if I get High 3 (36 months so the promotion makes no difference) vs. I get my High 3 calculated for my new rank (because its not my fault i cant serve for 36 months to keep it).

Thanks!
 

RonG

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So I'm currently doing my C&P Exams, I'm being seperated for Crohn's after 22 yrs of service, I have a variety of other conditions that my MEB Dr said I'll probably get V1/V3 for.

I'm tracking that if I have >/= to 50% VA i can get CRDP.

I've recently been told to make sure i get V1/V3 for my other conditions because I can ALSO get CRSC. I thought I had to choose one over the other (CRDP over CRSC, generally which ever gets you more).

I just want to confirm my understanding (That I'll get retired check and fully taxed + VA check if over 50% and VA not taxed) vs. what I was told (Retirement check with % tax free for V1/V3, and VA check for over 50% CRDP).

The unrelated promotion question: I'm on the list, I'm tracking my retired rank will be the promotion rank dated to the day of separation. I've heard mixed stories on if I get High 3 (36 months so the promotion makes no difference) vs. I get my High 3 calculated for my new rank (because its not my fault i cant serve for 36 months to keep it).

Thanks!
Hello,

I'll start with the promotion question. The average of your highest 36 months base pay will be used and the fact you don't get a chance to serve 36 months is immaterial.

CRDP & CRSC: One cannot receive both simultaneously If CRSC is approved and you also have 20 years active duty and a VA rating of 50% you qualify for CRDP--you have to choose one. Note: 20 yrs AD is used here since I assume the 20 years you cited are active duty years rather than 20 good years for reserve retirement.

If you receive a Chapter 61 retirement with the circumstances I just wrote about...your retired pay will be reduced by the amount of VA compensation you receive.
CRDP will restore the longevity portion of retired pay.
CRSC will replace the amount applicable to the approved CRSC disabilities (the VA comp tables have the amoount) OR the longevity portion of your retired pay...whichever is the lesser.

VA compensation is never taxed and is not reduced..
CRSC is nontaxable .

There are many possible scenarios not discussed in this reply.

Ron
 

JoePlasm

PEB Forum Regular Member
Registered Member
Thanks for replying.

The promotion answer is what I expected and what I had been planning for.

I am AD with 22 yrs of AD service, spouse and a preschooler. If i understand it correctly it seems I might actually get less money from Chap 61, vs just plain yrs of service + CRDP. If that is true can you turn down a Chap 61 and take yrs service + CRDP?

I have a hard time imagining a scenario where CRSC is more cost beneficial, since it's one or the other.

I'll look through your links, seems more complicated than i thought it would be.
 

RonG

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It is complicated.

You will not receive less from your CH 61 retirement...although it is possible you will net the same amount.

A good rule of thumb for those eligible for both CRDP and CRSC is:
--Take CRSC if the percentage approved by your service is the same percentage of your VA compensation
--Take CRDP if your CRSC percentage approved is a lesser percentage than the VA compensation.

Both CRSC and CRDP have ceilings of the dollar amount of the longevity portion of retired pay. There are other ceiling factors for CRSC.

Residual retired pay left from the reduction discussed earlier can reduce the amount of CRSC or CRDP payable.

There are probably hundreds of CRSC computations on this site. After looking at the links, you might consider looking at some of the computations.

I can provide a CRSC estimate if you provide all the info shown below (I might have to wait until the morning to do it):

Information necessary for CRSC estimate:
—High three average base pay OR the gross retired pay on DFAS RAS (which is preferred)
—DoD disability percentage
—Active duty years OR active duty equivalent years for those with reserve time (total points divided by 360)
—VA compensation percentage; amount; and dependents (category, number, and ages of children)
—Approved CRSC percentage
—Other type military retirement eligibility info. Also indicate if you transitioned to the Blended Retirement System.


Ron
 

JoePlasm

PEB Forum Regular Member
Registered Member
I'm missing some of the data still (doing C&P now), so I'll have to hold off.

Thank you
 

RonG

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What might be confusing is that CRDP restores only the longevity portion of reduced retired pay. The amount of retired pay waived/reduced/offset in excess of the longevity portion cannot be restored.

CRSC has similar restrictions...plus others.

Ron
 

JoePlasm

PEB Forum Regular Member
Registered Member
Yeah I think thats what was messing me up, it was always explained to me as I would keep my retired pay untouched and then get my VA pay too.

No one explained there was an offset in there that would cost me some money.

I assume things like SBP and Taxes, are all calculated after the reduction is removed.
 

RonG

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Concurrent receipt refers to the simultaneous receipt of two types of federal monetary benefits: military retired pay and Department of Veterans Affairs (VA) disability compensation. Prior to 2004, existing laws and regulations dictated that a military retiree could not receive two payments from federal agencies for the same purpose. As a result, military retirees with physical disabilities recognized by the VA would have their military retired pay offset or reduced dollar for-dollar by the amount of their non-taxable VA compensation.

Legislative activity on the issue of concurrent receipt began in the late 1980s and culminated in the provision for Combat-Related Special Compensation (CRSC) in the Bob Stump National Defense Authorization Act for Fiscal Year 2003 (P.L. 107-314). Since then, Congress has added Concurrent Retirement and Disability Payments (CRDP) for those retirees with a disability rated at 50% or greater, extended concurrent receipt to additional eligible populations, and further refined and clarified the program. There are two common criteria that define eligibility for concurrent receipt: (1) all recipients must be military retirees and (2) they must also be eligible for VA disability compensation. An eligible retiree cannot receive both CRDP and CRSC. The retiree must choose whichever is most financially advantageous to him or her and may change the type of benefit to be received during an annual open season.

Ron
 

RonG

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Yeah I think thats what was messing me up, it was always explained to me as I would keep my retired pay untouched and then get my VA pay too.

No one explained there was an offset in there that would cost me some money.

I assume things like SBP and Taxes, are all calculated after the reduction is removed.
If you were just a regular retiree with 50% VA or more, then this would be correct in a simplified world:
"I would keep my retired pay untouched and then get my VA pay too."

Many retirees do not realize they are receiving CRDP since CRDP is retired pay itself. It is included in the gross on page one of the RAS and a remark is on page two.

The Chapter 61 retirement requires a more complex computation.

Ron
 

Flip2475

New Member
Registered Member
Hi Ron, you are awesome on this site! Any chance you can help figure out the following CRSC numbers please? Not sure if I am calculating it correctly

28.5 Years of Active Duty Service
$6,248.50 Monthly Retirement (REDUX calculation)
100% VA (spouse, 5 kids under 18 yrs old) - $3750.24
100% CRSC USMC

Any Help is greatly appreciated!
Amy

PS: Are you at the Navy Yard? If so, I was assigned to the PEB in 2000-2003. Things have changed big time!
 

RonG

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Hello,

1. Do you also have a disability retirement and if so, what is the percentage? (I don't think you do, but I need to ask.)

2. Is the $6248.50 the gross retired pay on a DFAS RAS? If not, what is the source? What was your average high three (total of highest 36 months of pay dividied by 36)?

3. Navy? My father joined the Navy in 1920 and my son also was in the Navy. I was in the Army.

Edited to add:

4. IF you received the CSB under REDUX and you did NOT have a DoD disability retirement (Chapter 61), the following would apply:
--Assuming the 6,248.50 amount was provided by DFAS, with CRDP your will receive 6248.50 from DFAS.
--Assuming the 6,248.50 amount was provided by DFAS, with CRSC your retired pay will be reduced by the amount of VA compensation.
6248.50 minus 3750.24 = 2498.26 residual retired pay
3750.24 CRSC @ 100%
TOTAL from DFAS: 6248.50. This computation is predicated on the 6248.50 being determined as your REDUX since not enough info was provided for me to compute it.

Ron
 

Flip2475

New Member
Registered Member
Hello,

1. Do you also have a disability retirement and if so, what is the percentage? (I don't think you do, but I need to ask.)

2. Is the $6248.50 the gross retired pay on a DFAS RAS? If not, what is the source?

3. Navy? My father joined the Navy in 1920 and my son also was in the Navy. I was in the Army.

Ron
----------------

Ron,
No disability retirement. Also the $6,248.50 is based on the DFAS REDUX calculator as the monthly retirement pay. He isn't retired yet, but close (7 combat tours as USMC Infantry) so I was trying to help him figure out the best case numbers. I am stuck on the part of figuring out the left over retirement amount that would be taxable.

Thanks again
Amy
 

RonG

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From above:

IF you received the CSB under REDUX and you did NOT have a DoD disability retirement (Chapter 61), the following would apply:
--Assuming the 6,248.50 amount was provided by DFAS, with CRDP your will receive 6248.50 from DFAS.
--Assuming the 6,248.50 amount was provided by DFAS, with CRSC your retired pay will be reduced by the amount of VA compensation.
6248.50 minus 3750.24 = 2498.26 residual retired pay
3750.24 CRSC @ 100%
TOTAL from DFAS: 6248.50. This computation is predicated on the 6248.50 being determined as your REDUX since not enough info was provided for me to compute it.

Ron
 

RonG

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Your case was easy, but thank you.

Ron
 

Jose82

New Member
Registered Member
Good morning Ron,

I have read the threads for the last two months and finally have the courage to post.
I found some answers but their is one question left and it’s a game changer for my “special” case.
I went thru the PEB process and after two years I was medically retired and placed on TDRL. Here is the info:

GMC
AD 18 years 9 months.:
(Aug 10,2000 - May 28, 2019)
TDRL (Temporary Disabled Retirement List):
May 29 2019 - current.
Hit 20 years Aug 10,2020 (official retirement)
DOD % : 70%
VA Disability: 100%
Medical Retired pay: $3578.14
RAS : $3173
Applied for CRSC Dec 14,2019
Received letter of Approval Feb 3, 2020.
(From Injuries sustained in Operation Southern Watch Mar 2003; stated in Letter)

So first the big Question:
1) Just found out I have been found Unstable and no exams pending for re-evaluation for VA/TDRL purposes, So when will I be able to officially retire? And who decides that.
2) how will my Retro pay work and I guess it’s just waiting to get that and the pay.
3) how do I calculate my CRSC pay?
4) If my retirement and CRSC payment are close together, will I still qualify for my CRSC Retro/Backpay and then retirement kick in over CRSC since I’m sure it will be more?
5) I guess, it’s all confusing and can you try and break this down for me at a 5th grade level?
Thank you ahead of time for helping myself and everyone else on this forum.
-Jose
 

RonG

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Hello,

1. I have no idea when you can officially retire. I thought you are already retired on the TDRL. I am not a CH 61 disability retiree and that type question is beyond my expertise.
Once you have 20 AD duty (if that is the case) you are eligible for CRDP if otherwise eligible.

2. Is the retro you speak of, CRSC? If so, what is your CRSC approval percentage and what is the effective date shown in the CRSC approval letter?

3. What type 20 years August 2020? Years of active duty (which I suspect) or 20 good years for reserve retirement?

4. Please explain the following: One of the more important questions for an estimate.
Medical Retired pay: $3578.14 (what is the source for this figure?)
RAS : $3173 (If 3578.14 is your gross retired pay, what is the source of 3173?) Is it the gross rather than 3578.14? Are you speaking of VA COMPENSATION?

5. What are ALL of the following:
VA compensation percentage; amount; and dependents (category, number, and ages of children)

Ron

I will be back later this afternoon. Have an appointment in 30 minutes.

Ron
 

Jose82

New Member
Registered Member
Hello,

1. I have no idea when you can officially retire. I thought you are already retired on the TDRL. I am not a CH 61 disability retiree and that type question is beyond my expertise.
Once you have 20 AD duty (if that is the case) you are eligible for CRDP if otherwise eligible.

2. Is the retro you speak of, CRSC? If so, what is your CRSC approval percentage and what is the effective date shown in the CRSC approval letter?

3. What type 20 years August 2020? Years of active duty (which I suspect) or 20 good years for reserve retirement?

4. Please explain the following: One of the more important questions for an estimate.
Medical Retired pay: $3578.14 (what is the source for this figure?)
RAS : $3173 (If 3578.14 is your gross retired pay, what is the source of 3173?) Is it the gross rather than 3578.14? Are you speaking of VA COMPENSATION?

5. What are ALL of the following:
VA compensation percentage; amount; and dependents (category, number, and ages of children)

Ron

I will be back later this afternoon. Have an appointment in 30 minutes.

Ron

Thank you for the quick response;
- Yes all active Duty.
- TDRL is only Temporary; after an evaluation at 6months, 18months and 36 monthsThe Va can find me Fit for duty, Fit with limitations or Unfit. Once this happens, options are back on active duty, LIMDU with limitations or separation with a Special one lump-sum pay or retired.
- Dates in letter “reply date - January 31,
2020”
“In Response to your request
on Dec 14, 2019”
“Injuries obtained during
Operation Southern watch”
[packet submitted and injuries are from 2003]
- Approval Injury is For PTSD which is rated at 70%.
- $3578.14 is VA Waiver and $3178 is gross pay as per LES (Retiree Account Statement) I currently receive the $3578
- Va Comp is 100% @ 3578.14 married with 4 kids (15,13,12,10)

I have waited years, a couple more hours for info won’t hurt. Thank you again. Hope I got all the answers to your Q’s.
 

RaiderX

PEB Forum Regular Member
PEB Forum Veteran
Registered Member
$1523 is the rough estimate of the longectivity portion your retired pay, $1816.17 is the VA compensation rate for 70% with four kids.

The $1523 is less than the VA rate so $1523 is roughly what your CRSC should be. @RonG is a lot better than I at this.
 
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