Concurrent Receipt for Chapter 61 Retirees

FRA strongly supports the Administration’s recent proposal to expand Concurrent Retirement and Disability Pay (CRDP) payments to include service members who were medically retired with less than 20 years of service (Chapter 61 retirees). The plan will be phased-in over five years starting January 1, 2010, and does not include traditional (non-Chapter 61) retirees. If enacted, CRDP payments are expected to be available to the most severely disabled Chapter 61 retirees first, based on the following schedule:

• January 2010: Chapter 61 retirees with VA ratings of 90% or 100%; 
• January 2011: Chapter 61 retirees with 70% or 80% VA ratings; 
• January 2012: Chapter 61 retirees with 50% or 60% VA ratings;
• January 2013: Chapter 61 retirees with VA ratings of 30% or 40%; and 
• January 2014: all Chapter 61 retirees with any VA rating become eligible.

This proposal advances FRA’s goal to provide concurrent receipt of full military retired pay and veterans’ disability compensation for all disabled retirees, and is outlined in detail in Tom Philpott’s syndicated “Military Update” column of May 21, 2009.