MNG-039 · SEPARATION & RETIREMENT
Retired Pay, CRDP & CRSC
Separate retired-pay computation, VA offsets, Concurrent Retirement and Disability Pay, Combat-Related Special Compensation, applications, and elections.
Start with the retired-pay calculation
DoD retired pay depends on the applicable retirement system, retired-pay base, creditable service, and multiplier. Preserve DIEMS/service-entry data, retirement orders, service computation, and the first Retiree Account Statement.
CRDP and CRSC are different
- CRDP: restoration of retired pay for qualifying retirees with VA disability compensation; DFAS states that eligible retirees generally receive it automatically.
- CRSC: tax-free special compensation for qualifying combat-related disabilities; the retiree must apply through the branch of service.
- Dual eligibility: DFAS states that a retiree cannot receive CRDP and CRSC at the same time; an election may be required when eligible for both.
Audit the pay interaction
- DFAS retired-pay statement
- VA rating and award amounts/effective dates
- VA waiver/offset entries
- CRSC branch decision if applicable
- CRDP/CRSC election correspondence
- Retroactive DFAS/VA audit
- Tax treatment and withholding records
Official sources
Source status: SRC-096; SRC-097; SRC-098 verified October 4, 2026. Individual eligibility and tax consequences can differ; use the current program decision and account record.
