CRSC or CRDP: Does it matter in my case?

bleacherspy

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PEB Forum Veteran
Registered Member
Just medically retired (PDRL) with a combined rating of 100%. DOD gave me 100% with a combat related finding and VA was 100% total and permanent with special compensation. I had 22 years and 10 months active duty when I retired. I am about to apply for CRSC since two of my conditions were caused by an instrumentality of war and were rated 100% and 50% respectively. I am assuming I will get a 100% CRSC rating for those conditions. Based on all that, I believe that I will get the same amount of pay whether I utilize CRDP or CRSC. Does that make sense or am I screwing something up? My retired pay amount is 6480 and VA pay will be about 3900.
 
Tax-free for CRSC equals more money in your pocket. Apply and DFAS will pay you the greater benefit, in your case the CRSC if approved.
 
Good point, but all my pay is tax free right now since I'm 100% with a combat related finding by PEB.
 
Both CRDP and CRDP are both limited to the dollar amount of the longevity portion of retired pay.

CRSC does not replace waived DoD disability retired pay and CRDP does not restore waived DoD disability retired pay.

If your Chapter 61 retired pay is $6480 then you would waive/lose $3900 of that amount due to the VA compensation received. The difference of course, is residual retired pay and is classified as disability retired pay.

1. Retired pay 6480/0.75 max = 8720 high three average base pay for retirement.
2. 22 yr 10 mo (22.8333 years) x 0.025 = 57.08% multiplier
3. 8720 high 3 x 0.5708 =~4977 dollar amount of longevity portion of retired pay
4. 6480 retired pay - 4977 longevity portion = $1503 disability portion of retired pay
5. 6480 retired pay - 3900 VA waiver = 2580 reminder after waiver
6. A CRSC rate approved by the service concerned at 100% = 3900

The Estimate:
The amount of CRSC is limited to the lesser of the dollar amount of the longevity portion of retired pay (no 3; . 4977) or the amount approved by service as CR, (no 6; 3900) $3900 (the lesser) is reduced by residual retired pay of $2580 = 1320 CRSC payable.

Summary:
You should receive:
$2580 residual ret pay (disability portion)+ $1320 CRSC = $3900 both payments from DFAS
$3900 VA compensation = From the VA

Per LTC Parker, 2013: "You should get an amount from DoD and the VA that equals all of your VA and the lesser of two amounts.

1. The amount of retirement based on length of service.

2. The amount of VA compensation for combat related conditions."

The computation shown above fits.
 
2 December 2017

This is a modified CRSC estimate for Bleacherspy:

As a Chapter 61 retiree with > 20 years AD:

Your VA compensation is $3900 (100%) Your estimated approval of CRSC is 100% or $3900.

Longevity portion of retirement = $4977 (from previous post)

Total Retirement =$6480 (from previous post)

Subtract from the total retirement, the amount his DoD disability retirement exceeds the LOS amount ($6480-$4977 =$1503) The result, $1503, is the disability portion of retired pay.

$3900 (approved CRSC rate) - $1503 (disability portion)= $2397 CRSC Amount

You should receive from DoD and VA an amount equal to your approved CRSC for combat related ($3900) and his LOS ($4977)

$3900 + $4977 = $8877

Breakout:
--$3900 from the VA (100% total rating)
--$2,580 in DoD residual disability retirement ($6480 DoD pay - $3900 VA comp offset)
--$2397 in CRSC

$2580 +$2397= $4,977 from DFAS plus $3900 from VA = $8877

I got to thinking about this later in the day and wanted to revisit the issue.

Ron
 
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