## August 13, 2003 M21-1, Part IV

**Change 175**

### CHAPTER 20. ELECTIONS, WAIVERS AND RECOUPMENTS

**CONTENTS**

**PARAGRAPH PAGE**

**SUBCHAPTER I. GENERAL**

20.01 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-1

20.02 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-1

20.03 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-1

20.04 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-2

20.05 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-2

20.06 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-I-3

**SUBCHAPTER II. ELECTIONS BETWEEN PENSION PROGRAMS**

20.07 **Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007** 20-II-1

20.08 **Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007** 20-II-2

20.09 **Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007** 20-II-3

**SUBCHAPTER III. FEDERAL EMPLOYEES\' COMPENSATION ACT**

20.10 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-III-1

20.11 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-III-1

20.12 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-III-2

20.13 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-III-2

20.14 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-III-5

**SUBCHAPTER IV. WAIVER OF DISABILITY BENEFITS DURING RESERVE TRAINING
DUTY**

20.15 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-1

20.16 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-1

20.17 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-1

20.18 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-2

20.19 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-2

20.20 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-3

20.21 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-6

20.22 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-6

20.23 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-6

20.24 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-7

20.25 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IV-7

**20-i**

**M21-1, Part IV August 13, 2003**

**Change 175**

**SUBCHAPTER V. RECOUPMENT OF READJUSTMENT, SEPARATION,**

**SPECIAL SEPARATION BENEFIT (SSB), AND DISABILITY SEVERANCE PAY**

**VOLUNTARY SEPARATION INCENTIVE (VSI) INFORMATION**

20.26 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-1

20.27 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-3

20.28 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-3

20.29 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-5

20.30 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-7

20.31 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-8

20.32 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-8

20.33 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-8

20.34 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-8

20.35 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-V-8

**SUBCHAPTER VI. DISABILITY COMPENSATION FOR PAIRED ORGANS**

**OR EXTREMITIES (38 CFR 3.383)**

20.36 **Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005** 20-VI-1

20.37 **Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005** 20-VI-1

20.38 **Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005** 20-VI-2

20.39 **Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005** 20-VI-3

20.40 **Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005** 20-VI-3

**SUBCHAPTER VII. ELECTIONS BETWEEN SERVICE PENSION, OLD LAW PENSION,**

**SECTION 306 PENSION AND IMPROVED PENSION IN DEATH CASES**

20.41 General 20-VII-1

20.42 Effect of Surviving Spouse\'s Election 20-VII-1

20.43 Children 20-VII-2

**SUBCHAPTER VIII. ELECTIONS BETWEEN DEPENDENCY AND INDEMNITY**

**COMPENSATION AND DEATH COMPENSATION**

20.44 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-1

20.45 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-1

20.46 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-1

20.47 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-3

20.48 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-3

20.49 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-3

20.50 **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005** 20-VIII-4

**SUBCHAPTER IX. FEDERAL EMPLOYEES\' COMPENSATION---DEATH CASES**

20.51 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IX-1

20.52 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IX-1

20.53 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-IX-3

**SUBCHAPTER X. TWO-PARENT CASES**

20.54 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-1

20.55 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-2

20.56 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-2

**20-ii**

### M21-1, Part IV April 29, 2005

**Change 219**

20.57 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-2

20.58 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-2

20.59 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-3

20.60 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-3

20.61 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-X-4

**SUBCHAPTER XI. SOCIAL SECURITY BENEFITS UNDER SECTION 217(b),**

**SOCIAL SECURITY ACT\--DEATH CASES**

20.62 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-1

20.63 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-1

20.64 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-1

20.65 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-1

20.66 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-2

20.67 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-2

20.68 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-3

20.69 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-3

20.70 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-4

20.71 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-4

20.72 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XI-5

**SUBCHAPTER XII. MISCELLANEOUS ELECTIONS**

20.73 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-1

20.74 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-1

20.75 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-2

20.76 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-2

20.77 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-2

20.78 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-3

20.79 **Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated
August 14, 2006** 20-XII-5

**ADDENDUM**

A. **Rescinded per M21-1MR, Part V, Subpart iii, Chapter dated May 14
2007** 20-A-1

**July 8, 1997 M21-1, Part IV**

**Change 93**

**CHAPTER 20. ELECTIONS, WAIVERS AND RECOUPMENTS**

**SUBCHAPTER I. GENERAL**

**20.01 RESTRICTIONS ON CONCURRENT PAYMENTS (38 CFR 3.700)**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.02 AVOIDANCE OF OVERPAYMENTS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.03 ELECTIONS\--GENERAL**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.04 ASSUMPTION OF ELECTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.05 FORM OF ELECTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.06 APPOINTMENT OF FIDUCIARY TO EXERCISE RIGHT OF ELECTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-I-1**

**May 25, 1995 M21-1, Part IV**

**Change 70**

**SUBCHAPTER II. ELECTIONS BETWEEN PENSION PROGRAMS**

**20.07 Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007**

**20.08 Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007**

**20.09 Rescinded per M21-1MR, Part V, Subpart iii, Chapter 5 dated May
14, 2007**

**NOTE: Page 20-II-3 has been removed per M21-1MR, Part V, Subpart iii
dated May 14, 2007.**

**20-II-2**

##### May 2, 2003 M21-1, Part IV

**Change 169 Erratum**

**SUBCHAPTER III. FEDERAL EMPLOYEES\' COMPENSATION ACT**

**20.10 GENERAL INFORMATION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.11 RESTRICTIONS ON CONCURRENT PAYMENTS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.12 PROCESSING OF CLAIMS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.13 ELECTIONS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.14 ADJUDICATION OF CLAIMS FOR DUAL BENEFITS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-III-1**

**July 1, 2004 M21-1, Part IV**

**Change 201**

**SUBCHAPTER IV. WAIVER OF DISABILITY BENEFITS**

**DURING RESERVE TRAINING DUTY**

**20.15 WAIVER OF VA BENEFITS TO RECEIVE MILITARY PAY AND ALLOWANCES**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.16 VA FORM 21-8951---ONE-TIME WAIVER AND ANNUAL WAIVER**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.17 HINES PROCESSING OF INITIAL TAPE RECEIVED FROM DMDC**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.18 NUMBER OF DAYS OF VA BENEFITS TO BE WAIVED**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.19 REGIONAL OFFICE ACTION UPON RECEIPT OF WAIVER**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.20 PREPARATION OF DRILL PAY WAIVER AWARDS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.21 COMPUTATION OF NO-RATE PERIOD ON AWARD**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.22 ACTION WHERE VETERAN FAILS TO RETURN VA FORM 21-8951 MAILED BY
HINES**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.23 RECOVERY BY VETERAN OF EXCESS WAIVER**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.24 INCAPACITATION PAY**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.25 EXTENDED ACTIVE DUTY**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-IV-1**

**SUBCHAPTER V. RECOUPMENT OF READJUSTMENT, SEPARATION,**

**SPECIAL SEPARATION BENEFIT (SSB), AND DISABILITY SEVERANCE PAY**

**VOLUNTARY SEPARATION INCENTIVE (VSI) INFORMATION**

**20.26 PROHIBITION AGAINST DUPLICATION OF BENEFITS (38 CFR 3.700)**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.27 DETERMINATION OF TOTAL AMOUNT OR BALANCE TO BE RECOUPED**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.28 DETERMINATION OF MONTHLY WITHHOLDING AMOUNT**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.29 PREPARATION OF AWARDS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.30 APPORTIONMENTS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.31 EFFECT OF REDUCTION OR TERMINATION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.32 NOTICE TO THE PAYEE**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.33 PREVIOUSLY DISALLOWED CLAIMS OF READJUSTMENT PAY**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.34 NON-DISABILITY SEVERANCE PAY**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.35 VOLUNTARY SEPARATION INCENTIVE (VSI) AND SPECIAL SEPARATION
BENEFIT (SSB)**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-V-I**

**October 8, 2004 M21-1, Part IV**

**Change 210**

**SUBCHAPTER VI. DISABILITY COMPENSATION FOR PAIRED ORGANS**

**OR EXTREMITIES (38 CFR 3.383)**

**20.36 Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005.**

**20.37 Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005.**

**20.38 Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005.**

**20.39 Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005.**

**20.40 Rescinded per M21-1MR, Part IV, Subpart ii dated December 13,
2005.**

**20-VI-1**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**SUBCHAPTER VII. ELECTIONS BETWEEN SERVICE PENSION, OLD LAW PENSION,**

**SECTION 306 PENSION, AND IMPROVED PENSION IN DEATH CASES**

**20.41 GENERAL**

a\. **Old Law and Section 306 Pension.** Under the provisions of Public
Law 95-588, effective

January 1, 1979, those receiving Old Law nonservice-connected death
benefits or Section 306 nonservice-connected death benefits, may only
elect Improved Pension. The instructions in subchapter II relating to
the protection afforded a veteran in receipt of pension under Section
306 or the Old Law, and of the right to Improved Pension, are equally
applicable to surviving spouses and children (when there is no surviving
spouse or the children are outside the custody of the surviving spouse)
in death cases.

b\. **Spanish-American War Surviving Spouses**

\(1\) **Entitlement Under 38 U.S.C. 1536.** Spanish-American War
surviving spouses entitled to pension under 38 U.S.C. 1536 may elect
payments at the rates provided by Improved Pension under the conditions
(other than service requirements) prescribed by 38 U.S.C. 1541. Such
election is irrevocable upon negotiation of the first check received
under Improved Pension.

\(2\) **Payment of Greater Benefit.** Spanish-American War surviving
spouses who are entitled to additional pension for A&A will continue to
be paid whichever is the greater benefit \-- pension under 38 U.S.C.
1536 or Section 306 pension \-- if Improved Pension is not elected. No
election between the 38 U.S.C. 1536 and Section 306 programs will be
required and unlimited changes may be made to pay the greater rate.

c\. **Finality of Election.** The provisions of paragraph 20.09 as to
finality of election (and voidability) are for equal application in
death cases.

**20.42 EFFECT OF SURVIVING SPOUSE\'S ELECTION**

The election by a surviving spouse also controls the rights of all
children in the case except for those children outside the surviving
spouse\'s custody who are receiving an apportioned share of the
surviving spouse\'s Section 306 or Old Law award***.***

a\. **Child Not in Custody.** Under 38 CFR 3.701(a), a surviving
spouse\'s election of Improved Pension does not affect the child\'s
right to continue receiving the apportioned amount in effect on December
31, 1978. Such a child may elect Improved Pension if it is to the
child\'s advantage.

b\. **Child\'s Protected Rate Continued.** Continue the protected
apportionment rate to the child who is outside of the surviving
spouse\'s custody. Do not reflect the child\'s dependency in the
surviving spouse\'s award or increase the surviving spouse\'s maximum
pension rate because of this child. The protected Old Law or Section 306
rate paid to the child is separate, rather than a portion of the
surviving spouse\'s Improved Pension award.

c\. **Surviving Spouse\'s Award.** Award benefits to the surviving
spouse without regard to the protected apportionment rate awarded to the
child. Do not reflect any out-of-custody child in the surviving
spouse\'s award. Do not increase the surviving spouse\'s maximum pension
rate on account of this child. Do not reduce the surviving spouse\'s
rate because of the protected apportionment rate awarded an
out-of-custody child (VAOPGCPREC 1-95).

**20-VII-1**

**M21-1, Part IV May 2, 2003**

**Change 169 Erratum**

**EXAMPLE.** A surviving spouse of a WWII veteran is receiving Section
306 pension at the rate of \$129 per month (\$159 - \$30) Monthly
pension has been apportioned to the veteran\'s helpless child from a
previous marriage. at the rate of \$30 per month since prior to December
31, 1978. In January 1995, the surviving spouse elects to receive
Improved Pension. The helpless child did not make such an election. The
surviving spouse has no income for VA purposes. The awards for PN 10 and
PN 11 would be as follows:

**PN 10 SURVIVING SPOUSE\'S AWARD**

[DATE RSN RATE EC DEPEN S H INC SLC WITHHOLD]{.underline}

02-01-95 30 0448.00\* 2D 10/10 0 0 0000

\* Rate payable to a surviving spouse alone under 38 U.S.C.
1541(b)\--\$5386/12

**PN 11 HELPLESS CHILD\'S PROTECTED RATE AWARD**

[DATE RSN RATE EC DEPEN S H INC SLC WITHHOLD]{.underline}

02-01-95 29 0030.00 28 81/81 0 1 0000

**20.43 CHILDREN**

a\. **No Surviving Spouse on December 31, 1978.** Children in receipt of
or entitled to receive pension on December 31, 1978, at the full amount
payable to children when there is no surviving spouse, have the same
elective rights as veterans and surviving spouses.

\(1\) **Child\'s Election.** If there is no surviving spouse, the
election of a child (entitled to Section 306 or Old Law pension) to
receive Improved Pension may not increase the rate payable to a child
remaining under Section 306 or Old Law pension (38 CFR 3.704(a)). The
rate payable for each child remaining under Section 306 or Old Law may
not exceed the amount which would be paid if all children were receiving
under that law.

**EXAMPLE.** Three children are receiving \$37 each under Section 306
pension. Two children elect Improved Pension. The child remaining under
Section 306 pension must continue to be paid as one of three children.
Under Improved Pension each child stands alone and the existence of the
other two children will not be a factor.

\(2\) **Additional Child Established.** If an additional child is
established with eligibility only to Improved Pension, the corresponding
Section 306 or Old Law award must be adjusted.

**EXAMPLE.** A child alone under age 18 is receiving \$61 under Section
306 pension. Child over age 18 enters school and establishes eligibility
under Improved Pension. The Section 306 award must be adjusted to pay
\$43, the rate for one of two children. If eligibility for the
schoolchild terminates prior to the termination of the Section 306 award
for the child under age 18, the Section 306 award must be adjusted to
pay the rate for one child.

\(3\) **Spouse Reestablishes Entitlement.** If a surviving spouse
reestablishes entitlement after 1978, entitlement is under the Improved
Pension program and the children in the surviving spouse\'s custody have
entitlement only to Improved Pension. However, children not in custody
of the surviving spouse have their Old Law or Section 306 pension rates
protected.

**20-VII-2**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**EXAMPLE.** A helpless child alone not in the surviving spouse\'s
custody is receiving \$61 under Section 306 pension. The surviving
spouse\'s eligibility is restored under Improved Pension. The surviving
spouse\'s award will not reflect the child. The rate payable to the
surviving spouse will be determined under 38 U.S.C. 1541(b). The child
will continue to receive the \$61 protected rate.

b\. **Surviving Spouse Receiving on December 31, 1978**

\(1\) **Children in Custody.** Children in custody have no separate
right of election. On termination of the surviving spouse\'s entitlement
for any reason, the children\'s only entitlement is to Improved Pension.

\(2\) **Children Not in Custody.** Children out of the surviving
spouse\'s custody, having entitlement on December 31, 1978, have a
separate right of election if the surviving spouse\'s entitlement is
terminated for any reason.

**EXAMPLE.** A child receiving an apportioned Section 306 rate of \$28
is still entitled to the \$28 rate on the termination of the surviving
spouse\'s award. The child\'s award must use special law code 10 to
continue the protected rate. See part V, paragraph 6.09. Use the Section
306 entitlement code.

**20-VII-3**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**SUBCHAPTER VIII. ELECTIONS BETWEEN DEPENDENCY AND INDEMNITY
COMPENSATION AND DEATH COMPENSATION**

**20.44 Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005**

**20.45 Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005**

**20.46 Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005**

**20.47** **Rescinded per M21-1MR, Part IV, Subpart iii dated December
13, 2005**

**20.48 Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005**

**20.49 Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
2005**

50. **Rescinded per M21-1MR, Part IV, Subpart iii dated December 13,
    2005**

**20-VIII-1**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**SUBCHAPTER IX. FEDERAL EMPLOYEES\' COMPENSATION\--DEATH CASES**

**20.51 GENERAL**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.52 EFFECT OF ELECTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.53 NOTICE TO CLAIMANTS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-IX-1**

**M21-1, Part IV May 2, 2003**

**Change 169 Erratum**

**SUBCHAPTER X. TWO-PARENT CASES**

**20.54 LIMITATIONS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.55 SAME PARENTAL LINE**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.56 FORM OF ELECTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.57 NOTICE TO CLAIMANT**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.58 AWARDS TO OR FOR ELECTING CHILDREN**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.59 EFFECT OF ELECTION ON OTHER PAYEES**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.60 REELECTIONS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.61 AWARD ACTIONS\--OTHER PAYEES**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-X-1**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**SUBCHAPTER XI. SOCIAL SECURITY BENEFITS UNDER SECTION 217(b),**

**SOCIAL SECURITY ACT\--DEATH CASES**

**20.62 SCOPE**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.63 GENERAL INFORMATION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.64 FORMS USED FOR EXCHANGE OF INFORMATION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.65 USE OF FORM SSA 650**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.66 INITIAL ACTION UPON RECEIPT OF CLAIM FOR VA BENEFITS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.67 NOTICE TO CLAIMANT AND DISALLOWANCE PENDING REPLY**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.68 AWARD ACTION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.69 NOTICE OF GRATUITOUS DEATH AWARDS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.70 ADJUSTMENT OF AWARDS**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.71 SECTION 217(b) BENEFITS PAID TO SURVIVING SPOUSE FOR CHILDREN**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.72 VA AWARD MADE PRIOR TO RECEIPT OF FORM SSA 651**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-XI-1**

**May 2, 2003 M21-1, Part IV**

**Change 169 Erratum**

**SUBCHAPTER XII. MISCELLANEOUS ELECTIONS**

**20.73 ELECTIONS OF DEA BENEFITS.**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.74 PAYMENT OF DIC AT PENSION RATES**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.75 SURVIVING SPOUSE DIC RECIPIENT\'S ELECTION OF IMPROVED DEATH
PENSION**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.76 OUT-OF-CUSTODY CHILD\'S RIGHT TO IMPROVED PENSION WHEN WIDOW
RECEIVES DIC**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.77 RETIRED SERVICEPERSON\'S FAMILY PROTECTION PLAN (10 U.S.C.
1431)**

Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August 14,
2006

**20.78 RADIATION EXPOSURE COMPENSATION ACT (RECA) OF 1990**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20.79 SURVIVING SPOUSE DIC RECIPIENT\'S ELECTION OF \$90 LIMITED DEATH
PENSION RATE\--MEDICAID NURSING HOME (38 CFR 3.551(i))**

**Rescinded per M21-1MR , Part III, Subpart v, Chapter 4 dated August
14, 2006**

**20-XII-1**

**May 25, 1995 M21-1, Part IV**

**Change 70**

**ADDENDUM A - Rescinded per M21-1MR, Part V, Subpart iii, Chapter dated
May 14 2007**

**20-A-1**