Eligibility: Spouse of retired military member.
SPB is a contributory plan that pays the surviving spouse up to 55% of the military member's retirement pay. Deductions are taken from retirement pay until the time of death. Contributions are made even if the retiree is drawing compensation instead of retirement pay.
Note: In June 2004 Congress voted to phase out the Social Security offset to SBP. In the past at age 62 SBP is decreased dollar for dollar by Social Security payments.
The removal of this offset was placed at 3.5 years starting in 2005. Individuals will receive full payments of both benefits in mid-year 2008.
There was an open season to re-enroll or to increase SBP coverage from 1 October 2005 to 30 September 2006. There was a buy-back penalty. DoD may choose to open windows of buy back eligibility in the future.
Dependency Indemnity Compensation (see section below) has also caused a dollar for dollar decrease in SBP in the past. Many veterans waived SBP coverage because of this fact. The 2004 law that did away with the Social Security offset did not address Dependency Indemnity Compensation offset, which is still in affect. At the end of 2005 and 2006 Congress rejected the proposed amendments doing away with this, leaving the SBP/DIC offset in effect.
For more information on this topic or other information for surviving spouses:
Or you can contact them at:
Society
of Military Widows
National Headquarters
5535 Hempstead Way
Springfield, VA 22151
1-800-842-3451
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