SBP OPEN SEASON ENROLLMENT FAQs - ARMY, NAVY, AIR FORCE, SPACE FORCE, MARINE CORPS RETIREES RECEIVING PAY

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SBP Open Season Enrollment - Frequently Asked Questions

OVERVIEW

The Survivor Benefit Plan (SBP) Open Season allows eligible retirees, reserve/guard

component, and Gray Area Retirees who, on December 22, 2022, were not participating 

in SBP or RCSBP to enroll in the Plan. 

For a member who enrolls during the SBP Open Season, the law generally requires that 

the member will be responsible to pay retroactive SBP premium costs that would have 

been paid if the member had enrolled at retirement (or enrolled at another earlier date, 

depending on the member’s family circumstances).

The SBP Open Season runs from December 23, 2022 to January 1, 2024.

Enrollment in SBP during the Open Season is a four-step process.

STEP 1. Submit the Letter of Intent (LOI), found on our SBP Open Season special 

focus webpage at https://www.dfas.mil/sbpopenseason23, including all 

required information and the type of enrollment.

STEP 2. DFAS will send you an estimate of your monthly premium costs going 

forward, as well as the one-time “buy-in premium,” based on the information 

provided. 

STEP 3. After considering the costs, if you want to officially enroll, submit the 

enrollment form, including your choice for how you will pay for the buy-in 

premium. 

STEP 4. DFAS will confirm your enrollment, including your final costs, and provide 

instructions on how to submit payment or start deductions. You are allowed 30 

days from the date you sign your enrollment form to cancel enrollment –

cancellation must be in writing and received within the 30 days.

The details of the enrollment process are available on the NDAA 2023 SBP Open Season 

special focus webpage https://www.dfas.mil/sbpopenseason23. 

PLEASE NOTE: These FAQs are intended for retirees receiving pay ONLY. Reserve/Guard 

Component and Gray Area Retirees (not yet receiving retired pay) should submit their Letter 

of Intent and enrollment form to their Branch of Service. See the webpage (above) for more 

information. 

QUESTIONS AND ANSWERS

ENROLLING IN SBP – FOR RETIREES RECEIVING PAY ONLY

(Click a Link Below to Jump to Specific Answers in this Fact Sheet)

What are the Advantages and Disadvantages of the Survivor Benefit Plan?

Who is Eligible?

How Do I Enroll?

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QUESTIONS AND ANSWERS – cont.

(Click a Link Below to Jump to Specific Answers in this Fact Sheet)

What Will It Cost?

How is the One-Time Buy-In Premium Calculated?

How Long Will It Take to Process My Letter of Intent (LOI) to Enroll in SBP Coverage?

What Are The Payment Options? 

I Want To Pay Part Of My Buy-In Premium Up Front And Have The Rest Deducted From 

My Pay. What Do I Put On The Enrollment Form?

I Want To Have My Buy-In Premium Deducted From My Pay. I Get Both Retired Pay And 

CRSC Pay. Which One Will You Deduct The Premium Installments From?

I Want To Have My Buy-In Premium Deducted From My Pay But the Monthly 

Installments Would Be Higher Than My Pay. What Can I Do?

I Plan to Make a Lump Sum Payment for the Buy-In Premium. When Do I have to Pay It? 

I Want To Pay the Buy-In Premium Directly in 12 Monthly Payments. What Do I Put On 

The Enrollment Form?

If I Choose Installment Payments Deducted from My Pay, Can I Change that During the 

12 Months?

I Received My Enrollment Confirmation. Why is the Buy-In Premium Amount Higher Than 

It Was on My Original Estimate.

I Had SBP Coverage Before and Paid Monthly Premiums. Will Those Premium Payments 

Reduce the Buy-In Premium?

If I Have the Buy-In Premium Installments Deducted from my Retired Pay, Will It Reduce 

My Taxable Income?

If I Submit an Enrollment Form, When Will It Be Effective? 

Is spouse (or other beneficiary) concurrence required for a member who is receiving 

retired pay to make an open season election? 

What Type of Information Is Needed With the Enrollment Form?

Can I Change My Coverage From Child Only to Spouse and Child or From Spouse and 

Child to Child Only?

Can I Change My Coverage From Full Coverage to Reduced Coverage or From Reduced 

Coverage to Full Coverage? 

Am I Required to Enroll for a Former Spouse If I Have a Court Order?

Can a Former Spouse with a Court Order Enroll in SBP Coverage because of the Open 

Season?

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Q1. What are the Advantages and Disadvantages of the Survivor Benefit Plan?

A. To learn more about the advantages and disadvantages of SBP, please visit 

https://www.dfas.mil/sbpadvantages

Q2. Who is Eligible to Enroll?

A. An eligible member who, on December 22, 2022, was receiving retired pay and was 

not participating in SBP or RCSBP may elect SBP for any type of coverage you would 

have been eligible to elect and declined, or failed to elect, at your first opportunity. This

includes eligible members who previously participated in SBP and discontinued 

participation.

NOTE: If you discontinue coverage in SBP during the Open Season, you are NOT eligible 

to reenroll during the Open Season.

Members of the Reserves, Guard, or members who are awaiting retired pay (Gray Area 

Retirees) should contact their Branch of Service – contact information is on the DFAS 

Gray Area Retiree webpage at https://www.dfas.mil/grayarea.

Q3. How Do I Enroll?

A. Enrollment is a four-step process:

STEP 1. Submit the Letter of Intent (LOI), found on our SBP Open Season special 

focus webpage at https://www.dfas.mil/sbpopenseason23, including all 

required information and the type of enrollment.

STEP 2. DFAS will send you an estimate of your monthly premium costs going 

forward, as well as the one-time “buy-in premium,” based on the information 

provided. 

Your final enrollment costs, both monthly premium and buy-in premium may 

change if there is a time gap between when you receive the estimate and the time 

you submit your final enrollment form. Costs may also change if there are changes 

to the information submitted.

STEP 3. After considering the costs, if you want to officially enroll, submit the 

enrollment form, including your choice for how you will pay for the buy-in 

premium. Payments can be made in a lump sum or through 12 equal monthly 

installments or a combination of a partial sum and 12 equal monthly installments. 

STEP 4. DFAS will confirm your enrollment, including your final costs, and provide 

instructions on how to submit payment or start deductions. You are allowed 30 

days from the date you sign your enrollment form to cancel enrollment –

cancellation must be in writing and received within the 30 days.

**NOTE: This process is for ARMY, NAVY, AIR FORCE, SPACE FORCE, and MARINE CORPS 

RETIREES RECEIVING PAY – for all others, see instructions on the webpage or LOI.

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Q4. What Will It Cost?

A. Eligible members who elect to participate will be required to pay for participation in 

the program. The total amount of the one-time buy-in premium to be paid shall be the 

sum of:

1) The total amount by which your retired pay would have been reduced before 

the effective date of the election if you had elected to participate in the Survivor 

Benefit Plan, for the same base amount specified in the election, at the first 

opportunity that was afforded you to participate; plus

2) Interest on the amount by which your retired pay would have been so reduced, 

computed from the date on which the retired pay would have been so reduced at 

such rate or rates and according to such methodology as the Secretary determines 

reasonable; and

3) An additional amount the Secretary of Defense determined is necessary to 

protect the actuarial soundness of the Department of Defense Military Retirement 

Fund against any increased risk for the fund that is associated with the election.

Each one-time buy-in premium will be different based on these factors, as well as your

individual situation. Estimated costs will be provided once you have submitted the Letter 

of Intent found on our SBP Open Season special focus webpage at 

https://www.dfas.mil/sbpopenseason23

Note: In addition to the “buy-in premium” above, members who choose to enroll will be 

subject to prospective premium deductions each month beginning with the effective date 

of the election, in the same manner monthly SBP premiums are collected for all SBP 

participants.

Q5. How is the One-Time Buy-In Premium Calculated?

A. The one-time buy-in premium is calculated based on a table of cost factors 

determined by the DoD Office of the Actuary. Please see our special focus webpage for 

more details: https://www.dfas.mil/sbpopenseason23

Each one-time buy-in premium will be different because it is based on your individual 

situation. Estimated costs will be provided once you have submitted the Letter of Intent 

available on our SBP Open Season special focus webpage.

Q6. How Long Will It Take to Process My Letter of Intent to Enroll in SBP 

Coverage?

A. Normal processing time is 30 days from the date DFAS receives a valid LOI containing 

all of the necessary information.

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Q7. What Are The Payment Options? 

A. There are three payment options available on the enrollment form. You can choose 

only one option for payment. Once enrolled, you are legally responsible to pay

according to that option.

Buy-In Premium Payment Options

Payment Option A = Choose to submit a lump sum payment for the total amount 

of the one-time buy-in SBP premium due.

Payment Option B = Choose to submit a partial payment of the SBP buy-in 

premium due and have the remainder of the SBP buy-in premium plus installment 

interest deducted from your retired pay or CRSC pay in 12 equal monthly 

installments. If you receive both retired pay and CRSC pay, we will deduct the 

installments from whichever has the highest net pay. If you want to submit a specific 

amount as a partial payment of the SBP buy-in premium due, please write a note

on SBP Open Season 2023 Enrollment Form and include the specific amount you want 

to pay. 

Payment Option C = Choose to have the SBP buy-in premium plus installment 

interest deducted from either your retired pay or your CRSC pay in 12 equal monthly 

installments (if you receive both retired pay and CRSC pay, we will deduct the 

installments from whichever has the highest net pay); OR choose to make direct 

payments to DFAS in 12 equal monthly installments plus installment interest. 

You are strongly encouraged to review your retired pay or CRSC pay and keep in mind 

any expected changes to your pay in the upcoming months and how those changes 

might affect the payment option you choose. Also, keep in mind that your net pay will be 

reduced by your SBP monthly premium cost going forward. 

If you choose to make a lump sum payment, a partial payment or direct installment 

payments, we must receive payment within 30 days of the date of the enrollment 

confirmation letter. 

If you choose to pay your buy-in premium over time, installment interest will be added 

to your buy-in premium. This information will be included in your enrollment 

confirmation letter. 

Q8. I Want To Pay Part Of My Buy-In Premium Up Front And Have The Rest 

Deducted From My Pay. What Do I Put On The Enrollment Form?

If you want to submit a specific amount as a partial payment of the SBP buy-in 

premium due, please write a note on SBP Open Season 2023 Enrollment Form and 

include the specific amount you want to pay. 

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Q9. I Want To Have My Buy-In Premium Deducted From My Pay. I Get Both 

Retired Pay And CRSC Pay. Which One Will You Deduct The Premium 

Installments From?

If you receive both retired pay and CRSC pay, we will deduct the installments from 

whichever has the highest net pay.

Q10. I Want To Have My Buy-In Premium Deducted From My Pay But the 

Monthly Installments Would Be Higher Than My Pay. What Can I Do?

If you choose to have the buy-in premium deducted from your pay in 12 equal monthly 

installments and we determine your net pay will not be high enough to cover the 

installments, you will be required to make a partial payment plus have the balance of the 

buy-in premium deducted in 12 equal monthly installments from your pay. We will 

include this information in your enrollment confirmation letter. We must receive your 

partial payment within 30 days of the date of the enrollment confirmation letter. 

Q11. I Plan to Make a Lump Sum Payment for the Buy-In Premium. When Do I 

have to Pay It? 

If you choose to make a lump sum payment, a partial payment or direct installment 

payments, we must receive payment within 30 days of the date of the enrollment 

confirmation letter. 

Q12. I Want To Pay the Buy-In Premium Directly in 12 Monthly Payments. What 

Do I Put On The Enrollment Form?

If you DO NOT want the installments deducted from your pay, please write a note on 

your enrollment form that you want to make direct payments.

If you choose to pay in 12 equal monthly installments, the default payment method for 

the buy-in premium is to deduct the installments from your pay (if you have enough net 

retired pay or net CRSC pay to cover the deduction of the monthly installments). 

In addition, in this case we must receive your first payment within 30 days of the date of 

the enrollment confirmation letter. 

Q13. If I Choose Installment Payments Deducted from My Pay, Can I Change 

that During the 12 Months?

If you choose to pay in 12 equal monthly installments, you must either have the 

installments deducted from your pay over the entire 12 months OR pay DFAS directly for 

the entire 12 months. We are not able to change your method of payment during the 12 

months. 

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Q14. I Received My Enrollment Confirmation. Why is the Buy-In Premium 

Amount Higher Than It Was on My Original Estimate. 

Your final enrollment costs, both the monthly premium and buy-in premium, may change 

if there is a time gap between when you submit your LOI and the time you submit your 

final enrollment form. Costs may also change if there are changes to the information 

submitted. In addition, if you choose to pay your buy-in premium over time, installment 

interest will be added to your buy-in premium. 

Q15. I Had SBP Coverage Before and Paid Monthly Premiums. Will Those 

Premium Payments Reduce the Buy-In Premium?

If you were enrolled in SBP coverage at some point prior to this SBP Open Season and 

you paid monthly SBP premiums, those premiums can be credited toward your buy-in 

premium amount. 

Q16. If I Have the Buy-In Premium Installments Deducted from my Retired 

Pay, Will It Reduce My Taxable Income?

Since the one-time buy-in premium is not considered a reduction in retired pay due to an 

election under chapter 73 of title 10, United States Code, these amounts do not serve to 

reduce the member's taxable retired pay. This applies even when paid through 

deductions from retired pay.

Q17. If I Submit an Enrollment Form, When Will It Be Effective? 

A. Enrollment will be effective the first day of the first calendar month following the date 

a valid enrollment form is received. 

Note: Once a valid enrollment form is submitted, you are considered obligated for 

payment of the one-time buy-in premium and prospective monthly premiums unless 

cancellation in writing is received within 30 days of the date of your signature on the 

enrollment form. Premium accrues from the point of obligation until paid in full.

Q18. Is spouse (or other beneficiary) concurrence required for a member who 

is receiving retired pay to make an open season election? 

An eligible member who, on December 22, 2022, was receiving retired pay and was not 

participating in SBP is not required to have concurrence of his/her spouse (or other 

beneficiary) to make an open season election.

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Q19. What Type of Information Is Needed With the Enrollment Form?

A. In order to process an enrollment request and determine the monthly premium and 

one-time buy-in premium we need information and documentation for your eligible 

dependents. Please see the enrollment form for specifics. Some examples include:

Spouse Only or Former Spouse election: marriage certificates, divorce decrees, 

and court orders for all events that have taken place since you were first eligible to 

elect coverage through present day.

**NOTE: If you have had more than one marriage since retirement or Notice of 

Eligibility for Retirement (NOE), we also need the date of marriage and the 

spouse’s date of birth for your first spouse at or after retirement or NOE.

Child Only, Spouse and Child or Former Spouse and Child election: Birth 

certificates, adoption documents, court appointed guardian documents, and 

supporting medical documentation if a child is incapacitated.

Natural Interest Person election: Birth certificate.

Q20. Can I Change My Coverage From Child Only to Spouse and Child or From 

Spouse and Child to Child Only?

A. No. The 2023 NDAA SBP Open Season does not allow for changes to existing SBP 

coverage. Instead, the 2023 Open Season allows only for enrollment by those who were 

NOT enrolled in SBP as of December 22, 2022, or for discontinuation of coverage for 

those enrolled in SBP as of December 22, 2022. Further, you may not discontinue 

coverage during SBP Open Season for one category of beneficiary and then re-enroll in a 

different category. The 2023 Open Season enrollment is only for those eligible members 

who were NOT enrolled in SBP as of December 22, 2022.

Q21. Can I Change My Coverage From Full Coverage to Reduced Coverage or 

From Reduced Coverage to Full Coverage? 

A. No. The 2023 NDAA SBP Open Season does not allow for changes to the level of SBP 

coverage. Instead, the 2023 Open Season allows only for enrollment by those who were 

NOT enrolled in SBP as of December 22, 2022, or for discontinuation of coverage for 

those enrolled in SBP as of December 22, 2022. Further, you may not discontinue 

coverage during the SBP Open Season and then re-enroll for a different level of 

coverage. The 2023 Open Season enrollment is only for those eligible members who 

were NOT enrolled in SBP as of December 22, 2022.

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Q22. Am I Required to Enroll for a Former Spouse If I Have a Court Order?

A. The 2023 NDAA SBP Open Season specifically states enrollment in the Plan must be 

voluntary on the part of the eligible member. It further specifies that no court order may 

require an eligible member to make an open season election pursuant to section 643, 

P.L. 117-263. Details regarding the law surrounding enrollment and court orders are 

found on SBP Open Season special focus website:

https://www.dfas.mil/sbpopenseason23

Q23. Can a Former Spouse with a Court Order Enroll in SBP Coverage because 

of the Open Season? 

A. The 2023 NDAA SBP Open Season does not provide for a beneficiary to “deem” an 

election. Further, it specifically states enrollment in the Plan must be voluntary on the 

part of the eligible member. It specifies that no court order may require an eligible 

member to make an Open Season election pursuant to section 643, P.L. 117-263. 

However, that does not prevent a Former Spouse from deeming an election using the 

normal process (the request must be submitted within one year of the order requiring 

former spouse SBP coverage) during the time period of the Open Season. See the 

following webpage for information: 

https://www.dfas.mil/Garnishment/FormerSpouseSBPDeemedElection/