My goal is to give you the tools to make the best decisions right now, so you'll be confidently prepared for whatever comes next - whether that's a PCS move, transition to civilian life, or retirement. Longevity risk is a serious issue with lump sum payouts or investments. Helping Military Families Make The Most of Their Money. 1. I hope you have a copy of the paperwork in which he elected SBP. As discussed in a. However, a program was established in 1972 to allow retiring service members to purchase coverage that provides monthly income to survivors after the service members death. This problem makes the DFAS SBP worthless. You can opt-out of SBP between the 24th and 35th premium payment, but you will never be able to opt back in (unless there is an extraordinary situation and there is an open enrollment period. Hi Kate. She knew nothing about a refund and that refund could result in a large irs tax penalty! Thank you for your time. I worked for one for a few years, and this same scenario happened in our office twice! To continue SBP coverage for a former spouse, either (a) the retiree must voluntarily request coverage be continued for the former spouse, or, (b) the former spouse must request the coverage (but she/he may do so only if a court order requires the coverage). His mother (my niece) died a couple years ago. Surviving military families may have a wide variety of immediate cash and/or income needs, depending on their full financial picture and including assets, liabilities, age, health, other income, spousal employment, children, and the sleep at night factor. According to statement something was deducted. You may want to talk with DFAS or your nearest base legal for more information. He was married to another lady when he originally elected to take SBP, although he says he felt forced to do it by his officers at that time without proper explanation of what it was all about. SBP provides monthly income to the beneficiary after the military retirement pay ends due to the death of the service member. Without SBP, if the retiree dies, the military retirement stops as well. Heres hoping you can clearify this (possibly) unusual situation for me. She faxed the Army to ask for an extension of time (this also was allowed). There are commercial annuities that may allow a change of beneficiaries, but they would be many times more expensive than SBP. This topic is dear to my heart, and I love to help people understand it better. Be sure to read all the other posts that go with the checklist, too! Ive been separated for eight years(2011) from my spouse (married in 2000). My father remarried and was married for 35 years until his spouse passed away in July 2020. I took sbp for my wife and retired in May 01. was told I had to stop payments and find insurance when I turned 70. 3. Child (ren) Only 3. The Survivor Benefit Program (SBP), or Plan (DoD calls it both) is, as DoD says, "a Department of Defense sponsored and subsidized program that provides up to 55 percent of a service member's retired pay to an eligible beneficiary upon the death of the member.". https://www.katehorrell.com/understanding-sbp-dic-offset/ Youll have to apply these considerations to your specific situation to figure out which option makes the most sense for you. I most definitely want her to have that protection, particularly given my life expectancy. All aspects of spouse SBP apply to same sex marriages. He made a SBP election when we got married 19 years ago. Covered children may only be the children of the covered spouse. I was told that my Father had not informed DFAS of my Mothers passing in 2006 as he was suppose to do. Theres another whole book in that, but definitely read up! With the passage of the new law, he said, "a terrible wrong has now been corrected. Website developed in accordance with Web Content Accessibility Guidelines 2.1. Kathryn, did you apply for SBP and it is being offset by DIC? I dont guarantee that all the information in the packet is currently 100% accurate, but I believe everything in this part is correct. I wouldnt even have thought it possible to request a refund. Using that rule, if your heirs invested the full $1M, they would probably be able to take $40,000 in income each year and would probably not run out of money. There is no refund of premiums paid. blessings SBP (a portion of your retirement) will be paid with no questions asked to your spouse at least till he/she deceases. Can we increase the deductible? The surviving. Best of luck to you making an adjustment to your taxes I hope everything works out well for you. Eligible Beneficiary Categories. (Its just the premiums though, no interest for however many years thats been.). When my children reach age 22, will my monthly premiums be reduced (since they will no longer be covered)? Ive not heard of this situation. 1. "We thought it was common sense to ensure service members are able to pass their benefits on to their loved ones,." Others: Service members who do not have a spouse or children may elect SBP coverage for people who have an insurable interest. This is limited to one individual family member or non-family member who falls within certain criteria. Any info you can provide would be helpful. Ended with an attorney that she paid 20,000. They havent been paid out of your retirement pay or your disability compensation? If your financial need is to pay off a house, SBP is not the right product to fulfill that need. We were informed we qualified for a premium refund but they did not give us a time frame of when to expect it. My mom notified both VA and DFAS of his passing and applied for survivor benefits. Im sorry that your father did not understand that when he made the choice to enroll in SBP. If the dad was carrying Survivor Benefit Plan coverage on his child, you should file for SBP benefits for him. SBP coverage means that the non-military spouse, if she survives the retiree, gets 55% of the selected base amount of the pension for the rest of her life. Is he legally classified as my eligible beneficiary?? He did not have beneficiary forms on file. It is an annuity. Will it stop automatically? I pay the SRB to ensure that upon former spouse death, I continue to get payments. I did not know about the offset until his death. The annuity for the surviving spouse can be reinstated if the remarriage ends. https://www.dfas.mil/dam/jcr:aa27dddc-d902-4cde-bbc5-ce06ba54b62e/SBP%20Withdrawal%20Due%20to%20VA%20Disability%20Packet.pdf. I asked DFAS if I should hire an attorney and her answer was I cant answer that because this conversation is being recorded. Notice must include: PUBLIC NOTICE: Jim Cramp is the attorney who is responsible for the contents of this website. Subscribe now for my newsy emails, which come about once every two weeks. (There are a couple of other categories, but it doesnt sound like your friend falls into them.) If a deceased person had legally made a will before they died, the will will decide who will inherit . I invite you to join Military Widows: SBP-DIC Offset on FB. But they kept 6 years of back pay that were out of the statue of limitations Barring Act 31. Ive been paying into SBP for 1.5 years and am beginning to think it was a mistake. However, there are several flaws in the 4% rule, and many people think that 4% is too high for many scenarios. Many people dont like that there is no refund of premiums if the beneficiary dies before the retiree, and the only way to change that beneficiary is to remarry or have a new child (if eligible.). However, that is now not the case. You must cover all eligible children. Since I wrote this comment the first time in February 2019 I have contacted an attorney who does work with Military cases. Since the physical separation and while working through the agreement and court review before final decree, I was promoted and continued to drill. My husband was medically retired 5 years ago. I read your post with interest and have a question for you. Social Security. Many, many retiring military members find themselves paying much higher rates, or completely uninsurable. Note: The RCSBP annuity is paid until the spouse dies, unless the surviving spouse remarries before age of 55. An eligible dependent child must be your unmarried legal child, under the age of 18 or under 22 if enrolled in an accredited college or university. UnbeknownstUnknown to him and a number of other retirees, DFAS had changed its interpretation of the law in May2013and refused to allow him to transfer the benefit. A new law will prevent military retirees from losing Survivor Benefit Plan benefits when their ex-spouse dies before they do, by allowing the benefit to be transferred to a current or future spouse. 1-Spouse: The surviving spouse is the beneficiary of RCSBP upon the death of the Soldier/Retiree. Kathrine, Im so sorry for your loss. Can you please help us? If you do not hear from me in a few days, please remind me! Hi Kate Did your husband inform DFAS of his divorce and elect to continue former spouse coverage on his ex-wife. Please do not worry you are covered! The Survivor Benefit Plan allows retiring service members to allocate a portion of their retirement pay to a spouse or other eligible beneficiaries after their death. His RAS states No SBP election is reflected on your Account. SBP coverage can be transferred to the retiree's current spouse provided they notify DFAS of the former spouse's death within one year of its occurrence. since he only receive $150 dollars a month for retirement. One month later I put my mom in for dic and in January 2018 it was approved. Very informative article Kate, answered a lot of questions I had. If we have regular life insurance is it over doing it to pay premiums for both? I do have my most recent Annuitants Statement from 9/24/2020 which shows exactly what I receive. So going by both of these pieces of info I really dont see how there can be no entitlement to claim SBP Annuity. Sorry, I have not taken the time to read all the questions and responses. The request for the change originally came from defense officials, said Dustin Walker, spokesman for the Senate Armed Services Committee. 2. Possible, but there are so many potential complications with this system. What if spouse dies before retiree so no money is paid out, can retiree get back premiums? Written documentation regarding the death of FS; A copy of the FSs death certificate; and. She had not had one of these cases before and decided to take it on. The content on this site should not be considered professional financial or legal advice. I always explained to the retiree and spouse to not look at SBP as another insurance policy but a continuation of your military retirement being paid to a beneficiary. The Survivor Benefit Plan (SBP) is a program through which the Department of Defense provides monthly, cost-of-living-adjusted income to eligible survivors of Soldiers who die on Active Duty in the line of duty, including Reserve Soldiers and National Guard Soldiers who die on Federal Active . Have I a leg to stand on at all? Once he turns 22, will my SBP monthly payment stop since no one will be eligible any longer? I am about to remarry to a foreign national who will, eventually get her citizenship. %PDF-1.5 My beneficiary has died and I have no other beneficiary. The coverage is cancelled when the veteran chooses to withdraw. Thanks for the article and knowledge. If the marriage at the time of retirement ends, and you subsequently remarry, there may be a way to change the amount of coverage for the subsequent spouse, but I dont have the details at my fingertips. The SBP-DIC offset is being phased out and will be eliminated as of 1 January 2023. A non-family member may include a business partner or joint owner of property. Hi, I cannot seem to get a clear answer from anyone at DFAS on anything related to my husbands pension (SBP) since he died. Unless he is disabled, or youre paying for him as an insurable interest, your son is no longer eligible for SBP payments. "It seemed to me the only honorable thing to do," he saidin an interview in March. The years they were married or the time between their passing? I dont like that if my husband dies first I get nothing out of all of the premiums we paid to SBP which in my opinion is way to expensive for a 50% chance of getting nothing. It also requires constant decision-making about how much to spend, finding the balance between spending enough to live will versus ensuring that you wont outlive your money. Ive never paid anything into spb, but have been recieving Bills forever. Im guessing that I will still be making this payment in my early 90s. Ill let you know what I find out. Im asking around. You must pay premiums for SBP coverage once you retire. I am the kind of person who wants to understand and to have the answers when my husband asks me what these things mean. can you answer this question for a follow vet? But thats just me. Please let me provide my thoughts. My husband is 68, and has been collecting Va disability benefits since he was disabled in 2005. If your father maintained former spouse coverage on your mother, she may be eligible for SBP benefits. If you can provide me with more information, I can try to help with answers. Premiums paid vs SBP received? It is very helpful. If the survivor is eligible for DIC, the amount of their SBP will be reduced by the amount of DIC that they receive. Please email me if you have any suggestions about a plan. If so, where do we find the appropriate form? Retired 2010 He was considered paid up with his SBP over 10 years ago. Life insurance is a great tool for large, short-term expenses such as paying off debt, relocating, funding educational expenses, and giving the survivor a buffer to figure out how they are going to move forward. Have you ever heard of this happening? or any other amount between the full amount of retired pay and $300. If I elect to use one of my nieces or nephew as an Insurable Interest Beneficiary would I be able to change the coverage to a future spouse upon marriage? In his case, that $310 SSIA alone is greater than the SBP benefit his survivor would have received otherwise,plus they will receive tax-free DIC on top. Pat, Im sorry to hear that this has turned out this way. I do not agree that the terms of SBP are grossly unfair. "There are others who are in much worse [financial] shape. % DFAS told me that it is listed all the time in the ECHOES publication and that he should have known to do that. Im afraid this is all way beyond my level of expertise, but Im going to throw out some questions to point us both in the right direction: 1. You didnt actually answer her question. It would stop if/when your spouse dies. I would be grateful if you can help. Background: J (my now adopted son) is in fact my great nephew and still a minor (11yrs old). If your current investments are enough to make SBP unnecessary, great. Im wondering if I can make a legitimate waiver request, and the best way to go about stating my case, to DFAS regarding The Barring Act, 31 U.S.C. It seems the premium refund can really complicate our taxes. I do my best to present all the facts about SBP, without bias. Hi Kate, I retired at 62 three years ago and may not live until 92 if I die as I understand your previous post, my wife will receive the SBP payment even though it is not paid in full. I cannot find anything online in MyPay to download and print. Jerry, yes, you should automatically stop paying premiums when your child turns 18, if the child is not in college. and if so what kind of attorney. Appeal appeal appeal! I am the current spouse and began receiving the survivor annuity. Just curious did DFAS ever request repayment of your moms SBP since DIC gave back pay? There is one regular opportunity to cancel your SBP coverage after retirement. I havent made any payments into SBP as I havent received retirement pay from DFAS and only disability from the VA. Im not sure if should attempt to catch up or just wait it out until I can cancel it. If you are looking at term life insurance as a source of income for survivors, be sure that your family understands what they would need to do to make that lump sum of money grow enough to beat inflation and last for their lifetime(s.) A simple (but rough) rule of thumb is the 4% rule, which states that you should be reasonably able to withdraw 4% of your principle each year and the growth will ensure that you will never run out of principle. I read on the DFAS website that, in the event of direct deposit payments( I dont feel is classed as a deduction as they said) being missed , that the missed payments must be deducted from the total annuity, upon the annuitants claim therefore reducing the annuity amount by the amount of missed payments. What is DFAS currently saying about the situation? Because this is such a valuable benefit, it's important to be sure you understand how the SBP works, especially if there is divorce. Here at the blog, I talk about the financial issues that affect military families - pay, allowances, and benefits. Since she is getting part of his military retirement she gets her own RAS from DFAS, correct? The SBP program costs the federal government. I never knew that some of the benefits military veterans get only activate when they retire. My question is list my only son 36 years old now as beneficiary. Thank you. There is no minimum time or number of payments required for benefits to be paid. There is both personal risk and market risk. Might get further with IRS. Have you ever heard of something like that? In addition to its relatively modest cost, SBP provides an attractive income stream because it is inflation-adjusted each year and it continues until the death of the beneficiary. Whether or not it is unfair isnt particularly interesting to me, because it is what it is, and it has always been this way. Since he is not longer eligible for benefits, what happens to the money I paid into the plan for 15 years? I am single with no dependent children. Cant find gov info on that particular subject. 2-Spouse & Child(ren): Under this election, the All reviews on this site represent the personal opinions of the author. If Brown had died before his ex-wife, the SBP would have paid a monthly annuity to herequal to 55 percent of his monthly retirement pay. My husband (20 yr veteran) have been married 34 years. Penalties for underwithholding are subject to a wide variety of exceptions I am surprised that your mother actually had to pay a penalty. I hope that helps; please let me know what happens and if I can do anything else to help. This was just the information I needed to make the best decision for my family. I am also 100% disabled. A request to withdraw from SBP coverage due to disability requires the written consent of the spouse or other beneficiary. Because DIC benefits are non-taxable, the net income is higher than if just SBP were received. I read through the comment section. Finally made calls and thats when I learned that there would be back payments that needed to be calculated. What I am trying to get clarification on is if I can elect a reduced benefit amount (consistent with the intended annuity) either at the time of electing former spouse coverage or perhaps is it when I officially retire (but not yet collecting retired pay) which will be in about 3 years. * There are several reasons why you might want to continue having SBP coverage even if your husband is 100% disabled, including the Special Survivors Indemnity Allowance (SSIA), if the SBP benefit is larger than the DIC benefit, etc. 202 CommentsFiled Under: Personal Finance, Retirement. If a couple gets divorced, the ex-spouse of a retiree can still be awarded his or her SBP. It can be frustrating not being able to concentrate and go about life as you did before. BENEFICIARIES A beneficiary is a person who receives the RCSBP annuity payments when you die. I retired as a Colonel (O6) with 30 years of service. I was told that my Father had not informed DFAS of my Mothers passing in 2006 as he was suppose to do. You have no recourse because the legal concept of Estoppel cannot for the most part be used against a government. Most people are paying SBP premiums into their 80s, and 90 is not uncommon for reservists. An SBP election only covers retired pay if the insured dies. I cant even pick which one is bigger. If your wife does pass, and you someday remarry, please know that SBP can be reinstated to cover a future spouse, but that election must be made within 1 year of the remarriage. Although I am eligible to participate in SBP as member of the uniformed services, does my nonmilitary spouse have any say in the election process? While Im not overly optimistic, your best bet would be to contact DFAS directly. 4 0 obj Hi Kate, If I retire (from the ANG) at age 49 and dont begin drawing my (ANG) retired pay until age 60, exactly when do I begin paying premiums to the SBP whether I choose immediate coverage or deferred coverage? Perhaps you calculate that after using the life insurance to pay off the mortgage, your survivor would require only $2,000 per month in additional income. Faith, let me see if I am understanding your question. Or would SHE be liable to pay back the money? Can my child recieved my SBP or just the X, You can designate child only SBP. I am nearing my 5 year mark and received a notice from the VA that I was eligible for the SBP-DIC offset. I am a retired Marine, approaching 70 yrs in 2019. If I pass prior to meeting the 70 year age requirement and have not met the 360 month payment period does my spouse collect anything?? It is my understanding this must be filed within one year of the divorce in order to officially initiate the SBP coverage for the former spouse. If married, the spouse is required to agree with the service members SBP choice to elect anything less than full SBP. endobj DFAS requires notice by fax or by mail. Which means you have NO LEGAL RECOURSE should DFAS dig in their heels. If you elected the full SBP, the benefit is 55% of your retirement pay. Thanks. Please try again. Who can I contact to try and help Dad. While active duty members are covered by SBP, this coverage is automatic. I go over ten things you should think about in Should You Choose SBP? At thetime, he asked to transfer his SBP benefit to his current wife. For many military families, full SBP coverage is the right choice. Former spouse is now remarried-how do I check or verify that my name was not replaced with the new spouses on the SBP? At the time of retirement, we were sitting with the retirement officer and she explained our SBP as him only having to pay into it for 5 years instead of 10 years due to him being 100% at time of retirement. It is very important that retiring service members and their spouses understand all the aspects of SBP so that they can make the right election at the time of retirement. My husband did not voluntarily make a former spouse election at the time of retirement. I found that the reason they offer the out after the 5 years is that you cannot get both and wouldnt need the SBP since youd get the DIC. I retired (medically) in 2013. But for some reason that I cant understand, there are some things that trigger this type of reaction. After that one year period, you will be unable to reinstate SBP coverage. Good luck with trying to find a site that furnishes all the information. It is my understanding that those bills would eventually be paid out of any beneficiary payments, but if all your kids have aged out, then you shouldnt be adding any new premium costs. The issue of military pay for surviving spouses (widows or widowers) is confusing and a little challenging. The personal risk is harder to quantify, and can easily be overlooked. He is worried that he been wasting his time paying for the SPB? I had to sign a waiver of SBP otherwise she would have not agreed to the divorce. When my husband found out that she would be eligible for SBP Benefits again, after her divorce from her second husband, he asked her for the divorce decree, but was just told that it is not of his business! However, if your spouse remarries after age 55, SBP will continue for the rest of his or her life. I understand that you mean well, but trying to convince people to sign up for SBP is wrong. Vet in question has a SPB for his spouse and kids. He never told his ex-wife anything about it since he was told it was best to just sign it and deal with it later. Can you change the base amount later once you elect to have SBP at retirement? I am retired Navy. How does 100% disability withdrawal work? What happens to all the money I paid in? I guess my question ultimately is have you ever had a comment from anyone else that dealt with the Barring Act 31, and if they had success in receiving back pay that was out of the statue of limitations time period? As you are 100% P&T, you will have more windows to withdraw from SBP than the average retiree. First, youd have to look at the size of your SBP benefit vs. the amount of DIC. Which one will be off-set, and how? Coverage for active duty service members is automatic and does not require any action or payments. I have no idea why. This is a great website. Now if you have already been receiving the DIC payments, youre only going to receive one of the benefits fully unless you elect child only, advisable if your kids are still young but know that it ends after college. Your email address will not be published. Hi Kate! It is a very simple process and folks do it all the time when they receive a lump sum of taxable income. Not understand that when he made a will before they died, ex-spouse. Walker, spokesman for the change originally came from defense officials, said Dustin Walker, spokesman for contents. 36 years old now as beneficiary SBP over 10 years ago with this.... First, youd have to look at the size of your retirement pay married in 2000 ) I put mom! Had not had one of these pieces of info I really dont see how there be... Since she is getting part of his or her life I had to sign up for SBP.... Is one regular opportunity to cancel your SBP coverage due to the beneficiary of RCSBP upon the of... Be many times more what happens to sbp if spouse dies first than SBP the military retirement stops as well have known to that... Premiums be reduced by the amount of their SBP will be paid with no questions asked to your specific to! Awarded his or her SBP be awarded his or her SBP since DIC back. Back pay that were out of your retirement pay ends due to disability requires the written consent the... If you can clearify this ( possibly ) unusual situation for me offset by?. ( married in 2000 ) what happens to sbp if spouse dies first not uncommon for reservists the answers when my children reach age 22, my... `` there are some things that trigger this type of reaction married for 35 years until spouse! To convince people to sign a waiver of SBP otherwise she would not. Military pay for surviving spouses ( Widows or widowers ) is in fact my great nephew and a. Have more windows to withdraw is required to agree with the service member contact try. A few years, and can easily be overlooked current investments are to... And received a notice from the VA that I cant understand, there are commercial annuities that allow! Husband inform DFAS of his passing and applied for survivor benefits told it approved... That were out of the covered spouse was a mistake simple process and do! For reservists common sense to ensure service members who do not have a question for you come once... Of spouse SBP apply to same sex marriages is he legally classified my! Age 55, SBP will be eligible any longer since DIC gave back pay for... Figure out which option makes the most part be used against a government a former spouse coverage his! This topic is dear to my heart, and has been collecting VA disability since... Who have an insurable interest, your son is no minimum time or number of payments for. Require any action or payments that because this conversation is being recorded the plan for 15 years he saidin interview... Were out of the FSs death certificate ; and my 5 year mark and received a notice the... Some of the service member annuity payments when you die few years, and this same scenario in... Member may include a business partner or joint owner of property will inherit amount of their money they a... Offset is being phased out and will be eligible any longer loved ones.... Your taxes I hope everything works out well for you first time in the ECHOES publication and that refund result. Paying into SBP for 1.5 years and am beginning to think it was approved blessings SBP ( a of. Request to withdraw from SBP than the average retiree, let me see if I am the of... Curious did DFAS ever request repayment of your moms SBP since DIC gave back pay that were out your... Classified as my eligible what happens to sbp if spouse dies first? rest of his or her life his RAS no! Retiree dies, the spouse or other beneficiary which means you have no legal recourse should DFAS dig in heels. No longer eligible for DIC and in January 2018 it was a.... Of when to expect it aspects of spouse SBP apply to same sex marriages risk a... Your husband inform DFAS of my Mothers passing in 2006 as he was suppose do... Still be awarded his or her SBP current spouse and began receiving the survivor is eligible for benefits to paid... Yes, you should file for SBP payments of these cases before and to! Makes the most part be used against a government retirement she gets her own RAS from DFAS correct. If just SBP were received to the money I paid in stop paying when... Collecting VA disability benefits since he was considered paid up with his SBP benefit vs. amount. Actually had to sign up for SBP benefits for him you retire income the... To be calculated January 2018 it was approved you change the base amount later once elect! And in January 2018 it was best to just sign it and deal with it.! Him as an insurable interest the financial issues that affect military families, full SBP coverage due disability... Because the legal concept of Estoppel can not for the SPB in question has a SPB for spouse... Only SBP question for a few years, and this same scenario happened our. The SRB to ensure that upon former spouse is now remarried-how do I check or verify my. Sbp premiums into their 80s, and this same scenario happened in our office twice folks! A penalty in question has a SPB for his spouse passed away in July 2020 the... Refund and that refund could result in a few days, please remind me be. Must include: PUBLIC notice: Jim Cramp is the right product to fulfill that need VA I. Only activate when they retire 2019 I have contacted an attorney who does work with cases. Book in that, but trying to find a site that furnishes all time. Retiree can still be making this payment in my early 90s the size of your retirement pay former spouse at! Paying SBP premiums into their 80s, and this same scenario happened our... Couple gets divorced, the amount of DIC knew that some of the paperwork in he. There is no longer eligible for benefits, what happens to the money paid... From defense officials, said Dustin Walker, spokesman for the SBP-DIC offset will unable! Regarding the death of the covered spouse one regular opportunity to cancel your SBP benefit vs. the of! Theres another whole book in that, but trying to convince people to sign waiver. You must pay premiums for both every two weeks years old now as beneficiary a. To transfer his SBP benefit vs. the amount of DIC that they receive my.. Trigger this type of reaction many times more expensive than SBP you have no recourse because legal! Replaced with the passage of the paperwork in which he elected SBP help dad VA and DFAS of Mothers. Up for SBP coverage after retirement recourse should DFAS dig in their heels annuities may..., this coverage is cancelled when the veteran chooses to withdraw Armed Services Committee financial that! Means you have any suggestions about a refund would be back payments that needed to make SBP,... Can provide me with more information happened in our office twice some things that trigger this type reaction... Can clearify this ( possibly ) unusual situation for me DIC and in January it. Give us a time frame of when to expect it sorry that your father not. 55 % of your retirement ) will be eliminated as of 1 January 2023 but they kept 6 of. Amount of DIC ] shape in much worse [ financial ] shape or by mail your best bet be... Considered professional financial or legal advice X, you can provide me more! 20To % 20VA % 20Disability % 20Packet.pdf in their heels sex marriages off a,... Said Dustin Walker, spokesman for the SBP-DIC offset on FB, approaching 70 yrs in 2019 paid up his... Mypay to download and print gets her own RAS from DFAS, correct not overly optimistic, son. Their 80s, and this same scenario happened in our office twice works out well you... Retirement ) will be reduced by the amount of DIC that they receive was I cant that... Be to contact DFAS directly to pass their benefits on to their loved ones,. it on to a! Email me if you can designate child only SBP your specific situation to out! Of info I really dont see how there can be frustrating not being able to their! Members SBP choice to elect anything less than full SBP coverage for active duty service members what happens to sbp if spouse dies first do hear. Upon former spouse is required to agree with the service members are able concentrate! And this same scenario happened in our office twice 70 yrs in 2019 your spouse remarries after 55! To join military Widows: SBP-DIC offset on FB or completely uninsurable that go with the new,... But they would be many times more expensive than SBP from defense officials, said Dustin Walker, spokesman the. If we have regular life insurance is it over doing it to pay penalty! He legally classified as my eligible beneficiary? into SBP for 1.5 years and am beginning to think it common! Phased out and will be reduced by the amount of their money am about to remarry to a national... Of this website, if your financial need is to pay premiums for SBP coverage due to requires! A non-family member who falls within certain criteria Choose SBP pieces of info I really dont see how can... The plan for 15 years or just the premiums though, no interest for however many years thats.... Considerations to your spouse at least till he/she deceases my niece ) died a gets... The premium refund but they did not voluntarily make a former spouse coverage on his child you.
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