SBP and VA disability

megabyte5689

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So I was medically retired last month and am about to receive my first compensation payment. I signed up for SBP and was told payment would be taken out of my VA compensation. When looking at my bank account I see 2 separate deposits one from DFAS and one from the VA. Does this sound right? When adding the 2 numbers together it comes out to about the percentage I was awarded less SBP payment. I was just wondering if this is standard? I had less than 20 years in the service
 

RonG

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So I was medically retired last month and am about to receive my first compensation payment. I signed up for SBP and was told payment would be taken out of my VA compensation. When looking at my bank account I see 2 separate deposits one from DFAS and one from the VA. Does this sound right? When adding the 2 numbers together it comes out to about the percentage I was awarded less SBP payment. I was just wondering if this is standard? I had less than 20 years in the service
As a DoD disability retiree, your retired pay should be reduced by the amount of your VA compensation.

If there is residual (remaining) retired pay, the SBP premium can be deducted from that if enough is available.

If your retired pay has not be reduced as I mentioned, then you have an over payment of retired pay and you should contact DFAS.

Ron
 

oddpedestrian

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I would strongly recommend signing up for VGLI which has a limited window of eligibility after discharge where you do not have to have a statement of good health or pass a medical exam to qualify. SBP is WAY too much IMO.
 
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