CRSC payment is a monthly benefit paid by the Department of Defense to military retirees and survivors who have service-connected disabilities

CRSC stands for Concurrent Retirement and Disability Pay. It lets military retirees receive both their retirement pay and disability compensation at the same time — something that normally is not allowed. Without CRSC, a retiree with a service-connected disability would have to choose between their retirement check or their disability check, not both. CRSC closes that gap by paying the disability portion separately.

The payment comes from the Department of Defense, not the Veterans Affairs office, though VA disability ratings determine who qualifies. CRSC deposits directly into your bank account each month, on the same schedule as military retirement pay. The amount depends on your disability rating and your years of service.

Key Takeaways

  • CRSC lets military retirees receive both retirement pay and VA disability compensation in the same month, rather than choosing one or the other.
  • You must have retired from the military with at least 20 years of service and have a service-connected disability rated by the VA to receive CRSC.
  • The Department of Defense pays CRSC directly to your bank account each month, and the amount is based on your disability rating percentage.
  • You do not receive CRSC automatically — you must request it through the Defense Finance and Accounting Service (DFAS) after your VA disability rating is in place.

Who qualifies for CRSC payments

To receive CRSC, you must meet three conditions at the same time. First, you must have retired from active duty, the Reserve, or the National Guard with at least 20 years of service. Second, you must have a service-connected disability rating from the VA — this is the disability that stems directly from your military service. Third, your disability rating must be at least 50 percent, or you must have been medically retired with any disability rating.

If you were discharged before 20 years of service, you do not may have access to for CRSC, even if you have a high VA disability rating. The 20-year service requirement is firm. Survivors of military retirees can also receive CRSC under certain conditions — if the retiree died while receiving CRSC, the surviving spouse or may be able to access children may continue to receive the payment.

How CRSC payments are calculated

CRSC is not a flat amount. The payment is based on your disability rating percentage and your military retirement pay. The VA assigns disability ratings in 10-percent increments: 10 percent, 20 percent, 30 percent, and so on up to 100 percent. The higher your rating, the larger your CRSC payment.

The exact formula depends on whether you retired under the old military retirement system (before 2018) or the new Blended Retirement System (2018 and later). Under the old system, CRSC is typically calculated as a percentage of your basic retirement pay. Under the new system, the calculation may differ slightly. The Department of Defense publishes the current rates each year, and they increase with the annual cost-of-living adjustment (COLA) that applies to all federal retirement and disability payments.

Your CRSC payment does not reduce your retirement pay. Instead, it is paid in addition to your retirement check. This is the core benefit of CRSC — you receive both amounts without one canceling out the other.

How to request CRSC

CRSC does not start automatically. You must submit a request to the Defense Finance and Accounting Service (DFAS) after you have a VA disability rating in place. The fastest way is to request it online through the DFAS website or through your military personnel account if you have access to one. You can also mail a written request to the DFAS office that handles your retirement pay.

When you request CRSC, have your VA disability rating letter ready. DFAS will verify your rating with the VA directly, so you do not need to submit the letter yourself, but having it on hand helps you confirm the rating percentage. DFAS typically processes CRSC requests within 30 to 60 days, though the timeline can vary depending on the workload at your regional DFAS office.

Once approved, CRSC payments begin the month after DFAS processes your request. The payment deposits into the same bank account as your retirement pay, on the same schedule. If your VA disability rating changes later — either increases or decreases — your CRSC payment adjusts automatically.

CRSC versus other military disability payments

CRSC is one of several payments available to military retirees with disabilities. Another option is Survivor Benefit Plan (SBP) payments, which go to your family members after you die. SBP and CRSC work together — you can receive both at the same time. A third option is Combat-Related Special Compensation (CRSC), which is different from the CRSC described here and applies only to combat-related disabilities under specific conditions.

The key difference between CRSC and regular VA disability compensation is timing. If you are not a military retiree, you receive only VA disability pay. If you are a military retiree without CRSC, you must choose between retirement pay or VA disability pay — you cannot receive both. CRSC removes that restriction and lets you have both.

What happens if your disability rating changes

The VA reviews disability ratings periodically, and your rating can increase or decrease based on changes in your condition. If your rating increases, your CRSC payment increases automatically. DFAS receives the updated rating from the VA and adjusts your payment in the next month's check. If your rating decreases, your CRSC payment decreases in the same way.

If your rating drops below 50 percent and you were not medically retired, you may lose CRSC may be able to access entirely. However, if you were medically retired, you keep CRSC even if your rating falls below 50 percent. It is worth confirming your retirement category with DFAS if you are unsure whether a rating decrease would affect your payment.

Frequently Asked Questions

Can I receive CRSC if I am still on active duty?

No. CRSC is only for military retirees — people who have left active duty after 20 years of service. If you are still serving, you receive your active-duty pay and cannot receive CRSC or VA disability compensation at the same time.

Does CRSC reduce my VA disability compensation?

No. CRSC is paid in addition to your retirement pay. Your VA disability compensation remains separate and unchanged. CRSC exists specifically so you do not have to choose between retirement and disability pay.

What if I was medically retired with fewer than 20 years of service?

You may still may have access to for CRSC if you were medically retired, even with fewer than 20 years of service. Medical retirement is treated differently from standard retirement. Contact DFAS with your discharge paperwork to confirm your may be able to access.

How long does it take to receive my first CRSC payment after I request it?

DFAS typically processes CRSC requests within 30 to 60 days. Once approved, your first payment arrives in the following month's deposit. The exact timeline depends on how quickly DFAS receives and verifies your VA disability rating.

Will my CRSC payment increase with cost-of-living adjustments?

Yes. CRSC payments increase each year with the federal COLA adjustment, the same adjustment that applies to retirement pay and VA disability compensation. The increase is automatic and requires no action on your part.