Has anybody received VSI/SSB that are now having payments recouped from their retired pay? How long did it take until your payments started?

2018-04-20T11:13:18-04:00

I assumed the recoupment would soon after my retirement. I have buddies who retired years ago and still has not started. Surely somebody is paying it back.

Response by MSG Richard Sudhoff made Aug 12 at 2018 11:59 PM

2018-08-12T23:59:30-04:00

Even though I was told recoupment would only occur with a Reserve retirement, they are recouping starting this month with an Active retirement. I retired 9 years ago.

Response by COL Kathryn Harrington made May 9 at 2019 7:34 AM

2019-05-09T07:34:33-04:00

I was surprised to find out recently that they were going to take about 50% of my retirement check to pay back VSI - including taxes. Is anyone else experiencing that? I still have about 3 years before I get my retirement check at age 60.

Response by Lt Col James (Jim) Jay, MMG, BSBA made Jun 10 at 2020 11:57 PM

2020-06-10T23:57:12-04:00

They started my recoupment 1 year following the start. Was supposed to get a letter stating they were going to start, but did not get that either.

Response by Lt Col James (Jim) Jay, MMG, BSBA made Nov 12 at 2020 11:35 AM

2020-11-12T11:35:03-05:00

The problem I see from when the SSB/VSI was paid is the taxes paid by the individual to the IRS. Since for me that was over 25 yrs ago, now the recoupment includes that tax money. DFAS does not care and it is “not their problem.” I went to Senator Marsha Blackburn TN and Rep Mark Green and they could not help either. The VA takes the taxes paid into consideration though. I went to my local Veterans Service Office and we called DFAS and had the same result. There are many that are paying it back and are feeling the pinch of this issue. It is wrong to take back money we paid in taxes that we did not get to keep.

Response by Lt Col James (Jim) Jay, MMG, BSBA made Nov 12 at 2020 11:38 AM

2020-11-12T11:38:36-05:00

I saw a court case in Virginia about SSB and VA disability payments. The congress did address the issue with Combat Disability payments, but did not address SSB/VSI RECOUPMENT.