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Military Pay In Lieu Of Compensation

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Here's the details: I currently have a claim in with the VA. This claim is an appeal to my original rating. I just checked it on ebenefits; its under a pending decision approval. However, a new claim has been opened up, today, stating: "Military pay in lieu of compensation" This is current as of today. I think that is what the VA decided on my current claim which is still in a pending decision approval. Can someone tell me what does this Military Pay in lieu of compensation means? It also states it will take 95 to 138 days to process. Thank You

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  • HadIt.com Elder

I'm assuming you receive military retirement or receive some type of reserve/NG pay, that will probably offset some or all of your VA comp. VA comp is tax free. jmo

pr

Here's the details: I currently have a claim in with the VA. This claim is an appeal to my original rating. I just checked it on ebenefits; its under a pending decision approval. However, a new claim has been opened up, today, stating: "Military pay in lieu of compensation" This is current as of today. I think that is what the VA decided on my current claim which is still in a pending decision approval. Can someone tell me what does this Military Pay in lieu of compensation means? It also states it will take 95 to 138 days to process. Thank You

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If you are retired and receiving retired pay you have to have "VA waiver" to get VA comp. As PR said VA comp is tax free. Also if you are getting an increase and it is going to be at 50% or more you will be eligible for CRDP "Concurrent Retired/Disability Pay". If you are getting say 2000 a month in retired pay and receiving 50% disability from the VA which is around 900 a month they would deduct the 900 from your retired pay. The CRDP would pay you back that 900 a month. CRDP is taxable. Now I don't know what your disability is but, if it is combat related you may be able to get CRSC "Combat Related Special Compensation" however you will need to apply for that thru your branch of service. The reason they are telling you it will take up to four months is because it goes to DFAS for processing. Now if you are still on active duty or in the NG/reserves then that is a different issue and you need to talk to someone in your finance dept. to see how it is handled.

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No I am not receiving any type of retirement pay from the military. I was medically seperated/discharged from the military but I don't receive any type of pay from the military. However, I did receive seperations/severance from the military. That's it. I heard it is better to keep your VA pay instead. If so, is there a way to stop this claim? I do have a VSO which I am going to call after I type this message. I just need as much information as possible.This way I can tell him what i would like done. Thanks for your comments.

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I don't know what the circumstances are as to your being medically discharged but, you may be eligible for retired pay and that may be what they are referring to. You should have been told at the time you were discharged what if any pay you would be getting. I would definitely contact my VSO and get a clarification of it. The VA should give you a choice as to which one you can get. Yes! VA comp is better because it is tax free.

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No I am not receiving any type of retirement pay from the military. I was medically seperated/discharged from the military but I don't receive any type of pay from the military. However, I did receive seperations/severance from the military. That's it. I heard it is better to keep your VA pay instead. If so, is there a way to stop this claim? I do have a VSO which I am going to call after I type this message. I just need as much information as possible.This way I can tell him what i would like done. Thanks for your comments.

When were you medically separated? If you were separated with less than 20% between the years of September 11, 2001 and December 31, 2009 you may be eligible to have your separation converted to a medical retirement.

Limbo is status quo for the VARO.

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I don't know what the circumstances are as to your being medically discharged but, you may be eligible for retired pay and that may be what they are referring to. You should have been told at the time you were discharged what if any pay you would be getting. I would definitely contact my VSO and get a clarification of it. The VA should give you a choice as to which one you can get. Yes! VA comp is better because it is tax free.

Can someone explain what retirement pay consists of? The Marine Corps rated me 20% severance pay upon my discharge. I put a claim into the VA the same day I was discharged. The VA dated it for the next day. My claim was awarded at 30% with the VA. THat is the claim which we are currently appealing. I have bad disc, ddd, herniated, etc. Pretty much everything that can be wrong with a back is my back. The military, I dont know what they did, but they really messed me up. I think it started in Iraq. That was the initial on-set. Then when I came back from the states it all went down hill.

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