Two additional monetary benefits for retired military members are Concurrent Retirement and Disability Pay (CRDP) and Combat-Related Special Compensation (CRSC).
Concurrent Retirement and Disability Pay (CRDP)
CRDP is a Department of Defense (DoD) program that allows some individuals to receive both military retired pay and VA disability compensation. This dual receipt was prohibited until the CRDP program began on Jan. 1, 2004.
Eligibility: To qualify for CRDP, Veterans must:
- Have a VA service-connected rating of 50 percent or greater, and:
- Be retired from military service based on longevity, including temporary Early Retirement Authority (TERA) retirees; or
- Be retired under Chapter 61 with 20 or more qualifying years of service; or
- Be retired from National Guard or Reserve service with 20 or more qualifying years; and
- Be eligible to receive retired pay (must be offset by VA payments).
Retirees do not need to apply for this benefit. Payment is coordinated between VA and the military pay center.
Combat-Related Special Compensation (CRSC)
CRSC is a DoD program that provides tax-free monthly payments to eligible retired Veterans with combat-related disabilities. With CRSC, Veterans can receive both their military retirement pay and VA disability compensation for disabilities determined by the service department to be combat related.
Eligibility: To qualify for CRSC, Veterans must:
- Be a military retiree.
- Be entitled to and/or receiving military retired pay.
- Have a compensable service-connected disability.
In addition, Veterans must be able to provide documentary evidence that their disabilities were the result of one of the following:
- Training that simulates war (e.g., exercises, field training)
- Hazardous duty (e.g., flight, diving, parachute duty)
- An instrumentality of war (e.g., combat vehicles, weapons)
- Armed conflict (e.g., gunshot wounds, Purple Heart)
Disabilities related to in-service exposure to hazards (e.g., Agent Orange, Gulf War illnesses, radiation exposure) for which VA awards compensation are considered combat-related for CRSC purposes.