Question about Severance pay

S

SGT Roppel

PEB Forum Regular Member
Registered Member
It is looking like I am getting 10% or 20% if I am lucky I have been told It will be 2x base pay and because I am Promotable It will be 2x base pay of E-6 times 17 yrs. equals roughly 122k before taxes. Now does anyone know how much they tax as I live in Tenn and If I will receive any payments from VA or will I not see that till my severance is payed off. Legal office told me I should see some from VA as well?
Thanks for any help or assistance
 
I am not sure you are tracking the severance pay correctly. I will dig a little deeper, but I don't think you are going to get E-6 pay because you are promotable. Here are a couple of links to threads that discuss your situation. The first one includes the regulation.

http://www.pebforum.com/site/threads/promotion-questions.16446/

http://www.pebforum.com/site/threads/compensation-q-a.2697/#post-10684

The VA will recoup the pay if the conditions are not combat related.

I am sorry if this is a shock, but it is better to know before you are waiting for a check that will not be as big as suspected. Why are you being boarded? Personally, I would appeal the board no matter what if you get less than 30%. With 17 years in, that's pretty hard to think what you are missing. If you appeal and they keep it the same or lower it, you will still get the same amount of severance. If they increase you to 30%, you have a lot to gain with the benefits of retirement.
 
Plan for 28% in taxes. The regulations about promotions have to do with being "selected" not just promotable. Pull the retirement regs for your branch of service. That should outline the requirements and show you the wording.

As far as VA recoupment; if it's not combat related they will likely recoup it provided the VA assigns a rating for your unfit condition. If DoD says you are unfit because of condition X, but the VA doesn't assign a rating for condition X than no recoupment. If you have other conditions rated by the VA, but not unfitting, then you will receive some monthly compensation.

Absolutely appeal, look into TERA, and think about COAD or permanent limited duty. Seek out counsel and go over your case and options. At 17 years severance should be fought tooth and nail.
 
pittpan2005 said:
Plan for 28% in taxes. The regulations about promotions have to do with being "selected" not just promotable. Pull the retirement regs for your branch of service. That should outline the requirements and show you the wording.

As far as VA recoupment; if it's not combat related they will likely recoup it provided the VA assigns a rating for your unfit condition. If DoD says you are unfit because of condition X, but the VA doesn't assign a rating for condition X than no recoupment. If you have other conditions rated by the VA, but not unfitting, then you will receive some monthly compensation.

Absolutely appeal, look into TERA, and think about COAD or permanent limited duty. Seek out counsel and go over your case and options. At 17 years severance should be fought tooth and nail.
Click to expand...
Thanks for all your advice I will look into it more deeply
 
SGT Roppel

I received 81K before tax and 56K after tax. You are taxed @ 26% at the Fed Level and then taxed again @ the State level.
 
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