I am not finding any real answers to just how CRSC is calculated for Reserve Component Members.
From what I am seeing it will be no CRSC because the Reservist Length of Service Retirement is usually a lot less then his/her active counterpart but that is assuming they calculate it using your reserve retirement points and not your actual years of service in the reserve.
How exactly does this calculation work, I have read through all the posts on CRSC and am more confused now.
Its hard to find information because there is virtually no difference.
First, understand what CRSC does. It restores the retirement pay you lose because of VA pay.
So if you have a normal reserve retirement you won't start getting retirement pay until age 60(ish). CRSC won't do anything until then. You'll also be eligible for CRDP, which is typically a better deal.
If you have a disability retirement, well, that doesn't distinguish between active and reserve really. CRSC barely does as well.
FMR volume 7B, chapter 63 is what I recommend reading. That's the regulation for DFAS. Years of service is indeed calculated using 10 USC 12733, or reserve retirement points.
There are 3 basic calculations you need to determine your CRSC amount, they each act as caps on the amount of pay, i.e. you get the lowest of these 3 calculations.
1) Retirement pay reduced by VA pay: CRSC isn't going to restore more than is taken away. So if your retirement pay is $1000, VA pay is $2000, you lose out on the $1000, CRSC can't restore more than that. Doesn't care what source your retirement pay is, active or reserve or disability, just says we're not giving more than you'd be losing out of because of the VA offset.
2) VA pay: CRSC says X, Y, Z conditions are combat related, VA says they are rated, 50%, 10%, 10%, this because a 60% CRSC percent, then you look up the VA pay rate for 60% with your number of dependents. Does not distinguish between active or reserve service at all.
3) Retirement pay for LOS: This is for chapter 61 retirees. Years of service * 2.5% * base pay basically. So if you had 2 years of service you only earned a 5% retirement for your length of service. Even if you had a 70% disability retirement, for CRSC purposes they only use the 5% * base pay, not the 70% * base pay, to determine the max rate. As a reservists they use your reserve years instead of your active years, which makes plenty of sense to me.
Not sure that makes it any clearer, it can be hard to understand. /shrug.
Ok, I re-read your post and Chapter 63 and think I get it now.
My VA offset is 1680.00.
50% from VA COMP Scale with Spouse = 917.00
My RPAS gives me 10 Years at 2.5% so that would be around 1377.00 which is listed as my payment if I reach 60 also.
Under chapter 63 the section of Chapter 61 Retiree's with over 20 years of service for periods after Jan 1, 2013 it would be the lesser of the 3 numbers above but no more than the entire Percentage Based DOD Retirement figure. (DOD and VA Total of the 2)
So for me I should expect approx. 917.00 in CRSC to be awarded if approved.
Those are the 3 calculations as I understand them and would be the ultimate number used for CRSC if approved at the 50% rate.
The only real number that concerns reservists is that service calculation from 10 USC 12733 https://www.law.cornell.edu/uscode/text/10/12733 which I understand to be the RPAS and should be the limiting factor exactly as you describe. So not important for your particular calculation unless they approve CRSC above your expected 50%. Its worth noting that if VA increases your disability rating they inform DFAS so that 50% may be increased later and then your reserve service period become the limiter.
If they could have made it harder to understand I am sure they would have. Overall, I think they have done a good job of making it convoluted though.
Great information. I get it if I was to say increase to 70% the payment would be larger but only up to the 1377.00 amount. Because it is the lower of the 3 numbers.
