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Rob m

Question

OK, the envelope came today and I was awarded 80%. I am retired military and I am recieving a military retirement check. Here is where I am confused. Page two states my VA comp will be $xxx monthly, then it goes on to say

" We denied your compensation grant because you elected to recieve your military retired pay in lieu of compensation. VA restricts payments of military retired pay and VA comp. If you elect to recieve VA comp please complete VA form 21-681, Election of Comp in Lieu of Retired Pay or waive of retired pay to secure comp from dept of VA".

I was under the impression that any rating 50% or more would qualify for both, retired pay and VA comp.

Can anyone help out. I'm hoping to get both if possible

Thanks

Edited by Rob m
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you should take the VA compensation as it is tax free where your retirement pay is taxable I don't think Congress passed money for retirees that are less than 100% or if they have DOD has not implemented it yet I am not a retiree so I have never paid attention to the rules for it but I think eventually it is supposed to cover all retirees regardless of their VA ratings

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You are correct, if you are over 50% you get two checks. When I first retired I got 90% and was getting most of my retirement and a $2K check from the VA. Now I am 100% and get full retirement and my va check. I retired in 2009. Look up CRDP and it will explain everything to you.

Edited by CHIEF915
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You will be receiving both. 20 years of service and a 50% or higher rating qualifies anyone for CDRP. It sounds like the VA is stating you elected Retirement pay vice VA Compensation. You may want to elect VA compensation over retired pay so you will receive the highest amount of tax free compensation you can. Then you will have a small portion of your retired pay held back until January of 2014.

Check out the CDRP link and it will explain how to get the most benefit.

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Rob,

I know this has been a while but what ever came of your situation?

Prior to my retirement in 01 Sep 10, I filled out a quick start claim with a VA guy that worked at my base. That little box, whether to elect VA compensation or not can really bite you in the behind. That VA guy said to check no, that you do not want to receive VA compensation. Basically he said that if you were over 50%, CDRP was automatic. Not!

So after waiting almost a year, July '10, I got my decision letter saying that I was rated 60%. It also said that I decided not to elect VA comp in lieu of retired pay, but later in the letter it indicated I would receive funds within 15 days. After the 15 days I called the call center and asked them what was going on? They said to wait two more weeks, then call back. I asked them about the "you waived VA compensation...." and they said I was over 50%, it doesn't matter.

After several months of getting the run around, I emailed my congressman. He found out that that block does in fact matter. I had to fill out a 21-651 "Election of VA Compensation in lieu of Retired Pay" to start compensation benefits. They received that 23 Sep 11, it didn't start my compensation till 1 Feb 12. There is no indication of back dating compensation payments to 1 Sep 10 or even 23 Sep 11, when they received it.

So, all the phone calls I made to the call center asking if I would be back dated and told yes appear to be BS. Take whatever a VA employee tells you with a grain of salt. It appears they are not knowledgeable of their own operating instructions. I don't know where to go from here. I would have never checked that box if I had known the ramifications of it. I took theirs guys word since he was the "expert". He was even a retired USAF SMSgt, how could he screw his own?

How have you made out?

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Jake,

I received my orginal award letter 26 July 2011 and still have not seen a penny.

After several phone calls, I was told to fill out the 21-651 "Election of VA Compensation in lieu of Retired Pay" to start compensation benefits just as you were. I sent it 30 Aug 2011 and Ebenefits shows it as received 12 Oct 2011. To date, I have not received one penny from the VA, no follow ups, nothing. I did call about 2 months ago and was told to be patient because the process takes awhile.

Am I reading your post correctly when you said the VA did not back pay you for all those months because you checked the incorrect box? If that is the case, thats not fair and I will definately take it as far as possible to get my money. I've been retired for 14 months now and feel my back pay should be about $20k and another $2-$3k for my dependants.

Before I reached the 1 year mark, I filed another claims so it would fall in the 1 year presumptive time frame. I thought maybe this slowed my payment, but it looks like yours took quite a bit of time also.

I understand the VA is busy, but if they have the time to enter my form 21-651 into the computer as received in Oct, one would think a few clicks of the mouse and I would be getting my money in a timely manner.

If you have a chance, maybe you can IM me with some contact information, I'd like to talk about the situation as I am not very happy about this long, strung out process.

Thanks Rob

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