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Recouping Separation Pay from U.S. Service Members and Veterans Who Later Receive Veterans Affairs Disability Compensation

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[Technical Report, Research Report]

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When service members separate from the military, they may receive one of many types of separation benefits. Some of these service members later become eligible for other types of compensation, such as U.S. Department of Veterans Affairs VA Disability Compensation VADC. To avoid paying more than one award of compensation to any person based on that individuals own servicewhat is sometimes called double-dippingVA is prohibited from paying compensation to a veteran who also received certain separation benefits from the U.S. Department of Defense DoD until the full separation amount has been withheld, or recouped. Because of concern about how recoupment affects veterans, Section 654 of the National Defense Authorization Act of 2020 required the Secretary of Defense, in consultation with the Secretary of Veterans Affairs, to conduct a study to determine 1 how many members and veterans who received separation pay, special separation benefits, and voluntary separation incentive payments are affected by recoupment and 2 the aggregated amount of additional money members and veterans would receive in the absence of recoupment.


Subject Categories:

  • Personnel Management and Labor Relations
  • Economics and Cost Analysis

Distribution Statement:

[A, Approved For Public Release]