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Defense Finance and Accounting Service

 Retiree Newsletter 

 March 2023

 

Director’s Message

The weather is getting warmer, the snow is melting here in Cleveland, and the 

days are getting longer. That means that spring is upon us. It also means the 

March edition of the Retiree Newsletter is here! This newsletter is full of articles 

with very useful information.

Taxes are due soon, so we have an article with information to help you finish 

your taxes. If you need a re-issued 1099-R or to make a change in your tax 

withholding status, the information on how to get that done is in there. There is 

also important information on a change to the IRS Form W-4P.

For our Gray Area Retiree Spotlight article, we have the first in a series of 

articles on the Reserve Component Survivor Benefit Plan (RCSBP).

As you may know, the 2023 NDAA provides for an SBP Open Season. We have 

three articles in this issue with details about the Open Season. The first article is an 

overview, the second article outlines the enrollment process, and the third article 

outlines the discontinuation process. If you are considering enrolling or 

discontinuing during the SBP Open Season, which runs from December 23, 2022 to 

January 1, 2024, please read these articles for important information you need to 

know. 

We also have a helpful article on keeping your Arrears of Pay (AOP) and 

Survivor Benefit Plan (SBP) beneficiaries informed and updated. This is a good 

article to share with your loved ones. 

This year brought big changes to the Survivor Benefit Plan for surviving spouses 

and for the surviving spouse and children of members who died in the line of duty. 

We have a brief look-back at what happened earlier this year. 

Finally, we have some very informative articles from our partners in this issue. 

Be sure to check them out. 

We hope you find this newsletter useful and informative. Once your taxes are 

complete, be sure to get outside and enjoy the spring weather. 

As always, it is our pleasure to serve those that served our great country. 
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The 2023 Tax Deadline is Approaching

April 18, 2023 is the tax deadline this year and now is a good time to make 

sure you have all your tax documents ready. Here is a summary of current 

information and tools available if you are missing documents.

For those of you opting to receive documents by mail, note that 1099-Rs were 

mailed in January 2023. If you need a reissue, the fastest and most secure way to 

obtain a copy of a 1099-R is through myPay. Not only is it easy to access your 

account information through myPay, but prior year 1099-Rs are also available 

(retirees-up to four prior years; annuitants-up to two prior years). 

Another advantage of using myPay is that your 1099-R tax statement is 

available much sooner than through mail. This season, retiree 1099-Rs were 

available on myPay starting December 17, 2022 and annuitant 1099-Rs were 

available as of December 21, 2022. 

Instructions to access these documents are at: https://mypay.dfas.mil

Retirees and annuitants can get their 1099-Rs sent to the address on file with 

DFAS or to a one-time, temporary mailing address by submitting a request online. 

Our online request tool accepts international addresses. You can also request prior 

year 1099-Rs (four years for retirees and two years for annuitants). Your 1099-R 

should be in the mail within 7-10 business days. Find instructions: 

https://dvidshub.net/r/8bu5qm. 

DFAS also provides a self-serve telephone option for retirees. Retirees can 

access the phone option at 1-800-321-1080. If you are a retiree using the phone 

option, please verify your current mailing address is correct. The telephone option 

is currently available for retirees only, not annuitants, and only for the current year 

tax statement.

If you prefer traditional mail, you can send us a written request by fax or mail, 

but please make sure you leave time for processing. It can take up to 30 days to 

process requests received by fax or mail. 

Members with unique situations can speak directly to one of our customer care 

representatives. Depending on call volume, wait times will vary while we assist 

other customers. 

Correcting Your 1099-R 

Retirees and annuitants with questions and concerns regarding incorrect tax 

information on their 1099-R can contact the DFAS Customer Care Center at 800-

321-1080, submit your inquiry online on our website, or send a written inquiry via 

mail or fax.

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Changing Your Federal Tax Withholding 

If you need to change your withholding, you can do it easily in myPay. You can 

also fill out and mail an IRS Form W-4 if you are a military retiree or an IRS Form 

W-4P if you are an annuitant. The forms are available on the IRS website 

(https://www.irs.gov) and are also linked from the DFAS Forms 

webpage: https://www.dfas.mil/raforms

Please note: You are not required to file a new Form W-4 or Form W-4P unless 

you claim exemption from federal tax withholding. If you claim exemption, the IRS 

requires you file a new W-4 or W-4P at the beginning of EACH tax year. 

Military retired pay is paid for many different reasons under many different 

laws. There are differences in the types of pay a military retiree might receive and 

the tax laws that apply to them. Whether a portion or all of an individual’s military 

retired pay is subject to federal income taxes depends on his/her individual 

circumstances. 

An individual’s choice to have no withholding for federal taxes does not impact 

whether the individual’s military retired pay is actually subject to federal income 

taxes. Ultimately, the IRS will determine the amount of taxes owed on the military 

retired pay. 

Changes to the IRS Form W-4P

For annuitants only: the IRS also updated the IRS Form W-4P in 2022. The new 

IRS Form W-4P was available starting in 2022. However, payers (like DFAS), were 

given until 2023 to implement the necessary changes to accept the new form. DFAS 

kept the new IRS forms received from annuitants who sent them in and 

implemented those changes once the system updates were completed in March 

2023. Annuitants with updated tax withholding based on a new IRS W-4P will 

receive a letter and new Annuitant Account Statement. 

The IRS Tax Withholding Estimator

The IRS has an online Tax Withholding Estimator to help you determine how 

much tax you need to have withheld. The estimator helps taxpayers determine if 

the right amount is being withheld from their income to cover their tax liability. 

The estimator uses a simple, six-step question-and-answer format using 

information like marital or filing status, income, withholding, adjustments, 

deductions and credits.

The mobile-friendly estimator is available 

at: https://www.irs.gov/individuals/tax-withholding-estimator
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Gray Area Retiree Spotlight: What is RCSBP?

The Reserve Component Survivor Benefit Plan (RCSBP) enables members 

who served in Reserve Components and qualify for retired pay to leave the people 

they care about with a benefit called an “annuity.” You can choose a benefit for: 

“Spouse Only;” “Spouse and Child(ren);” “Child(ren) Only;” “Natural Interest 

Person;” “Former Spouse;” or “Former Spouse and Child(ren).” 

An annuity is a monthly payment that lasts the lifetime of your beneficiary after 

you pass away. The amount of the monthly payment is a percentage of your retired 

pay, and that percentage depends upon the election you make if you sign up for 

RCSBP.

Is RCSBP the Same as SBP?

RCSBP is quite similar to the Survivor Benefit Plan (SBP) that covers nonreserve components of the armed services. However, there are a number of 

differences in eligibility, coverage and cost that reflect the unique nature of Reserve 

and Guard service.

Who is Eligible for RCSBP?

RCSBP is available to Reserve Component members listed below:

• The Army National Guard of the United States

• The Army Reserve

• The Navy Reserve

• The Marine Corps Reserve

• The Air National Guard of the United States

• The Air Force Reserve

When Can I Sign up for RCSBP?

Reserve Component members are eligible to sign up for RCSBP after they 

complete the equivalent of 20 qualifying years of service. You can make the 

election when you receive your Notice of Eligibility (NOE) Letter (also known as the 

20-year letter).

When you receive your NOE, you have 90 days to choose an option regarding 

RCSBP. If your election is not received within the 90 days, the law requires that you 

are automatically enrolled for Option C. Therefore it is very important you make an 

election as soon as you receive your NOE. 

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What are the RCSBP Options? 

There are three options each Reserve Component member can choose: 

Option A - You may decline to make election until the age of 

Non-Regular Retirement, age 60 or earlier if you are eligible for reduced 

retirement. You will remain eligible to elect SBP coverage upon reaching the 

age you qualify for a Reserve non-regular retirement. No annuity will be 

payable to your beneficiaries if you die before non-regular retirement. 

Spousal concurrence is a requirement and it must be notarized. 

Option B – You may defer the annuity. This election provides coverage 

for the annuity payments, but if you die before age 60, the RCSBP or SBP 

annuity does not start until date you would have been 60 years old. At nonregular retirement, the RCSBP election becomes your SBP election and you 

will pay both RCSBP premiums for coverage already received and SBP 

premiums for current coverage. Spousal concurrence is a requirement and it 

must be notarized. 

Option C – You may elect for an immediate annuity. Provide coverage 

for an RCSBP or SBP annuity to begin immediately after your death, whether 

you die before or after your non-regular retirement. At your non-regular 

retirement, the RCSBP election becomes your SBP election and you will pay 

both RCSBP premiums for coverage already received and SBP premiums for 

current coverage. 

Look for another article in our new series on RCSBP for Gray Area Retirees in 

the next issue of the DFAS Retiree Newsletter. 

-More News for GARs on Next Page-
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Special Note for Gray Area Retirees About the SBP and RCSBP Open Season

The SBP Open Season allows for retirees receiving retired pay, eligible 

members, or former members awaiting retired pay who were NOT enrolled in SBP 

or RCSBP (Reserve Component Survivor Benefit Plan) as of December 22, 2022, to 

enroll. 

The SBP Open Season also allows eligible members and former members who 

were enrolled in SBP or RCSBP as of December 22, 2022, to permanently 

discontinue their SBP coverage. The law generally requires the covered 

beneficiaries to concur in writing with the election to discontinue. 

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

Gray Area Retirees and Reserve/Guard component members should 

contact their Branch of Service for information on how to enroll or discontinue 

SBP or RCSBP coverage during the SBP 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). 

Army Gray Area Retiree Soldiers (not yet receiving pay), please visit the Army’s 

webpage on the Survivor Benefit Plan at 

https://soldierforlife.army.mil/Retirement/survivor-benefit-plan or contact 

your local Retirement Services Officer.

Special Note for Air Reserve Component Members

Please see the Partner article in this newsletter for important news from ARPC: 

“Air Reserve Component Retirement Pay Applications Transition to myFSS” 
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The NDAA 2023 SBP Open Season is Now

The SBP Open Season allows for retirees receiving retired pay, eligible 

members, or former members awaiting retired pay who were NOT enrolled in SBP 

or RCSBP (Reserve Component Survivor Benefit Plan) as of December 22, 2022 to 

enroll. 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 also allows eligible members and former members who 

were enrolled in SBP or RCSBP (Reserve Component Survivor Benefit Plan) as of 

December 22, 2022 to permanently discontinue their SBP coverage. The law 

generally requires the covered beneficiaries to concur in writing with the election to 

discontinue. Previously paid premiums will not be refunded.

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

There are special forms to enroll or discontinue in accordance with the NDAA 

2023 SBP Open Season law and processes. 

The forms, information, and FAQs are available on our special focus webpage: 

https://www.dfas.mil/sbpopenseason23

Please note that the information in this article is for retirees receiving pay. Gray 

Area Retirees and Reserve/Guard component members should contact 

their Branch of Service for information on how to enroll or discontinue SBP 

coverage during the SBP Open Season. 

We have two additional SBP Open Season articles in this issue of the 

newsletter: one article outlines the enrollment process and one article outlines the 

discontinuation process. 

Brief Overview of the Enrollment Process

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

STEP ONE: Submit the Letter of Intent (LOI) to Enroll, so we can send you 

an estimate of your monthly premiums and most importantly, an estimate of 

your one-time buy-in premium. 

STEP TWO: We will mail you an estimate, based on the information in your 

Letter of Intent (LOI). 

STEP THREE: After consideration of the costs, if you want to officially enroll, 

submit the Enrollment Form, including your choice for how to pay the buy-in 

premium. 

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STEP FOUR: We will mail you a confirmation of your enrollment, with your 

final costs, and provide instructions on how to submit payment or start 

deductions. Your enrollment will be effective the first day of the first 

calendar month following our receipt of your valid enrollment form. 

You are allowed 30 days from the date you sign the enrollment form to 

cancel your enrollment. Cancellation must be in writing and received within 

those 30 days.

For more details on the enrollment process, please see the “What Retirees 

Need to Know About Enrolling” article in this issue of the newsletter. 

Brief Overview of the Discontinuation Process

During the SBP Open Season, retirees are allowed to stop (discontinue) their

SBP coverage. To discontinue SBP coverage, complete and submit an “SBP Open 

Season 2023 Discontinuance Form.” The form is available to download from our 

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

The discontinuation will be effective the first day of the first calendar month 

following our receipt of your valid discontinuation form. 

Please note: To be valid, the form must be properly signed and dated by all 

parties, including the current spouse, and any currently-covered former spouse, 

child aged 18-22 or natural interest person (NIP). In addition, the covered party’s 

signature must either be notarized or witnessed by an SBP counselor.

No refunds of SBP premiums for the period of coverage are allowed. In 

addition, retirees remain responsible for any debt accrued due to unpaid premiums 

during the time in which the retiree had SBP or RCSBP coverage.

Before submitting your request for discontinuance, please review the SBP 

advantages and disadvantages information on the first page of the 

Discontinuance form. SBP Open Seasons rarely occur. Consider the impact your 

decision will have on your loved ones moving forward. Because your beneficiaries 

must also concur with the decision to discontinue, you may want to review this 

information with them.

For more details on the discontinuation process, please see the “What 

Retirees Need to Know About Discontinuing” article in this issue of the 

newsletter. 
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The NDAA 2023 SBP Open Season: What Retirees 

Need to Know About Enrolling 

The SBP Open Season allows for retirees receiving retired pay, eligible 

members, or former members awaiting retired pay who were NOT enrolled in SBP 

or RCSBP (Reserve Component Survivor Benefit Plan) as of December 22, 2022 to 

enroll. 

For a member already receiving retired pay: Upon enrollment you will be legally 

responsible and obligated to pay a “buy-in premium.” The buy-in premium is 

comprised of (a) amounts you would have been required to pay you had enrolled in 

SBP at an earlier opportunity plus (b) additional open season costs. 

You will also be responsible to pay monthly premiums beginning with the 

effective date of the election in the same manner that monthly premiums are 

collected for all SBP participants, until you reach “paid-up” status. 

To protect a retiree from making a legal commitment to payment of an 

undetermined amount for the buy-in premium (which may be thousands of dollars) 

we set up a four-step process that includes a request for an estimate prior to 

officially enrolling. 

The Enrollment Four-Step Process

STEP 1. Submit a completed and signed Letter of Intent to Enroll (LOI), 

including all required information and the type of enrollment so we can send 

you an estimate of your monthly premiums and most importantly, an estimate 

of your one-time buy-in premium. You can use our askDFAS online upload tool 

to submit your form or send it via postal mail or fax.

Download the “Letter of Intent to Enroll during the SBP Open Season” from our 

special focus webpage. The webpage also has information on how to submit 

your completed LOI and additional FAQs about enrollment: 

https://www.dfas.mil/sbpopenseason23

STEP 2. We will mail you an individual estimate, based on the information in 

your Letter of Intent (LOI). It will provide an estimate of your monthly premium 

cost going forward, as well as an estimate of the one-time “buy-in premium.” 

Keep in mind, your final enrollment costs, both the monthly premium and buyin 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. 

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

completed and signed SBP Open Season 2023 Enrollment Form, including 

your choice for how you will pay for the one-time buy-in premium. You can use 

our askDFAS online upload tool to submit your form or send it via postal mail or 

fax. 

Download the “SBP Open Season 2023 Enrollment Form” from our special focus 

webpage. The webpage also has information on how to submit your completed 

form and additional FAQs about enrollment: 

https://www.dfas.mil/sbpopenseason23

STEP 4. We will mail you a confirmation of your enrollment, including the 

final costs, and provide instructions on how to submit payment. Your enrollment

will be effective the first day of the first calendar month following our 

receipt of your valid enrollment form. 

You are allowed 30 days from the date you sign the enrollment form to 

cancel your enrollment. Cancellation must be in writing and received within 

those 30 days. 

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 buyin 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. 
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Important - About Enrollment and Premiums

Key points to keep in mind: 

• Normal processing time is 30 days from the date we receive a valid request.

• Your enrollment will be effective the first day of the first calendar 

month following our receipt of your valid enrollment form. 

• Beginning with the effective date of your enrollment and going forward, SBP 

monthly premiums will be deducted from your retired pay or CRSC pay until 

you reach “paid-up” status. These are your “prospective monthly 

premiums.” This means the amount of your net pay will be lower than it is 

prior to your enrollment in SBP coverage. 

• 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. 

• 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. 

• 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. 

• If you choose to pay in 12 equal monthly installments, and you have enough 

net retired pay OR net CRSC pay to cover the deduction of the monthly 

installment, the default payment method for the buy-in premium is to 

deduct the installments from your pay. If you DO NOT want the installments 

deducted from your pay, please notify us promptly. In addition, in this case 

we must receive your first payment within 30 days of the date of the 

enrollment confirmation letter. 

• 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. 

• 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. 
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• 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 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. 

• 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.

• 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. 

• 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. The previous sentence applies even when paid through deductions 

from retired pay.

Frequently Asked Questions About Enrollment

We also have a list of Frequently Asked Questions about enrolling in SBP during 

the SBP 2023 Open Season on our special focus webpage:

https://www.dfas.mil/sbpopenseason23

**NOTE: The above process is for ARMY, NAVY, AIR FORCE, SPACE FORCE, and 

MARINE CORPS RETIREES RECEIVING PAY
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The NDAA 2023 SBP Open Season: What Retirees 

Need to Know About Discontinuing 

The SBP Open Season also allows eligible members and former members who 

were enrolled in SBP or RCSBP (Reserve Component Survivor Benefit Plan) as of 

December 22, 2022 to permanently discontinue their SBP coverage. 

Before submitting your request for discontinuance, please review the SBP 

advantages and disadvantages information on the first page of the 

Discontinuance form. SBP Open Seasons rarely occur. Consider the impact your 

decision will have on your loved ones moving forward. Because your beneficiaries 

must also concur with the decision to discontinue, you may want to review this 

information with them.

There is a special form to discontinue coverage during the SBP Open Season. 

The form and details are available on the NDAA 2023 SBP Open Season special 

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

To submit the form to DFAS, we ask that you:

• Ensure the SBP Open Season 2023 Discontinuance Form is (available on the 

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

filled out completely and signed.

• If you are married, your spouse must concur with the discontinuance and 

your spouse’s signature(s) must be notarized or witnessed by an SBP 

counselor. In addition, any covered beneficiaries who are adults (18 and 

over) must concur with the discontinuance and their signature(s) must be 

notarized or witnessed by an SBP counselor. 

You can upload the Discontinuance form to our askDFAS online upload tool, 

send it via postal mail, or fax it to DFAS. 

Your discontinuance will be effective the first day of the first calendar 

month following our receipt of a valid SBP Open Season 2023 Discontinuance 

Form. We will mail you a discontinuance confirmation letter when we have 

processed your request. 

Important - About Discontinuing

Key points to keep in mind: 

• No refunds of SBP premiums for the period of coverage are allowed.

• Discontinuation does not absolve the member of any unpaid premiums.

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• Your discontinuance will be effective the first day of the first calendar month

following our receipt of a valid SBP Open Season 2023 Discontinuance Form.

• If discontinuing RCSBP coverage, the Reserve Component Premium, 

sometimes referred to as “add-on” cost, will continue until your retired pay 

has been reduced for a total of 360 months, or until the death of the 

beneficiary of RCSBP. This coverage has already been provided to you while 

you awaited the requisite age of entitlement to retired pay. The cost would 

be prorated if you discontinues coverage prior to starting receipt of retired 

pay.

• If you discontinue your SBP coverage during the SBP Open Season that runs 

from December 23, 2022 to January 1, 2024, you cannot re-enroll in SBP 

coverage during the SBP Open Season. 

• To be valid, the form must be properly signed and dated by all parties, 

including the current spouse, and any currently-covered former spouse, child 

aged 18-22 or natural interest person (NIP). In addition, the covered party’s 

signature must either be notarized or witnessed by an SBP counselor.

• Please remember to sign and date the form, have all beneficiaries concur, 

and have the notary or SBP counselor witness sign. Once all the information 

is filled in and all signatures received, the form can be submitted directly 

through askDFAS or via fax or email.

• Normal processing time is 30 days from the date DFAS receives a valid 

discontinuance form containing all of the necessary information to 

discontinue coverage. We will mail you a discontinuance confirmation letter 

when we have processed your request. 

• Retirees may terminate their SBP coverage during their third year (25th to 

36th months) of receiving retired pay subject to the provisions of 10 U.S.C. § 

1448a. This is different from the opportunity to discontinue coverage during 

the SBP Open Season. Retirees in their third year may either terminate SBP 

coverage pursuant to 10 U.S.C. §1448a using the Survivor Benefit Plan 

Termination Request (DD 2656-2).

• The 2023 NDAA SBP Open Season does not allow for changes to existing SBP

Coverage.

• In order for a retiree to discontinue SBP coverage for a former spouse that 

was required by a court order, the retiree must provide a new court order 

releasing the retiree from the requirement to provide the former spouse with 

SBP coverage. Additionally, the retiree’s former spouse must concur with the 

request to discontinue coverage, and the former spouse’s signature must be 

notarized or witnessed by an SBP counselor.

Frequently Asked Questions About Discontinuing

We also have a list of Frequently Asked Questions about discontinuing SBP 

coverage during the SBP 2023 Open Season on our special focus webpage:

https://www.dfas.mil/sbpopenseason23
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Keeping Your AOP and SBP Beneficiaries Informed 

and Updated

An inevitable reality for all of us is that one day we will no longer be there for those 

we love. For military retirees, there are two ways to leave something behind for your 

loved ones. 

• Arrears of Pay (AOP): this is the retiree’s final pay. The designated 

beneficiary will be entitled to the Arrears of Pay, which is the prorated retiree pay 

from first of the month of death to date of death. 

• Survivor Benefit Plan (SBP): If chosen, SBP provides an ongoing monthly 

annuity to your beneficiary. For SBP, you must elect coverage and pay the 

associated premiums to cover your eligible dependent(s). 

In most cases, the Arrears of Pay will be only the pro-rated amount of your final 

month’s retirement pay, because by law, your entitlement to retirement pay ends on 

the date of your death. Once your death is reported, DFAS will reclaim any funds 

disbursed after the date of your death and audit your account. 

As mentioned above, the amount of the payment owed to you will then be 

computed (based on the number of days in the month you were alive) and paid to your 

AOP beneficiary.

Your AOP beneficiary will need to send us a claim form to receive this payment. 

When DFAS is notified of your death, this claim form will be sent in a condolence 

package to the AOP beneficiary you designated for your account. Unless otherwise 

noted, the AOP beneficiary for your account will also be the person we contact for 

assistance in closing your account, so it is important to designate a person you trust to 

handle your affairs. 

Failing to designate an AOP beneficiary could cause stress and financial hardship for 

your loved ones during an already difficult time. If you do not designate an AOP 

beneficiary, the payment of any money that remains in your retirement account could 

be greatly delayed.

We also suggest you limit the number of your AOP beneficiaries to avoid delays in 

payment. Remember that the AOP payment is usually less than one month’s pay, and 

this amount will be divided among all of your designated beneficiaries. Please note that 

designating a sole beneficiary in your will or Trust does not automatically make that 

person your AOP beneficiary. 

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In the days and weeks after your passing, your loved ones will need to notify a 

number of people and agencies. We here at DFAS try to make the process a bit easier 

by offering an online notification of death form on our website. Your loved ones can 

access the online notification form from several different links at the Retired Military & 

Annuitants area of our website at: www.dfas.mil/retiredmiitary

Your loved one(s) can also call our Customer Care Center at 800-321-1080. 

When your loved one(s) has notified us, they will receive a condolence package in 

the mail that will include information and the form to claim Arrears of Pay (SF 1174), as 

well as the information and form to apply for the Survivor Benefit Plan annuity (DD 

2656-7), if you elected to provide it. 

This package should arrive in the mail within 30 days after we are notified. It’s 

important for your loved ones to know that they will also need to provide a copy of the 

certificate of death with these forms.

In lieu of a physical check, AOP payments can be direct deposited to a claimant’s 

bank account. In order to do this, the claimant needs to send a completed Direct 

Deposit Authorization (DFAS-CL Form 1059) with their SF 1174. This form is available 

for download from the webpage: https://www.dfas.mil/retireeaop

We know that taking care of the paperwork after someone passes away is difficult. 

We want to make the process as easy as possible. DFAS offers a set of tools to make 

filling out and submitting the SF 1174 (for claiming Arrears of Pay when a retiree 

passes away) and DD 2656-7 (for claiming the SBP annuity) quicker and easier.

For spouses or children of a deceased retiree, the SF 1174 Form Wizard will help 

them fill out the SF 1174 Arrears of Pay form. The Form Wizard will ask a series of 

questions and fill in the answers in the appropriate areas of the form. When they have 

finished answering the questions, they can click a button to generate a ready-to-print 

PDF with the answers.

The SF 1174 and Direct Deposit forms can be submitted via the askDFAS online 

upload tool on DFAS.mil, and instructions on how to complete these steps are available 

at: https://www.dfas.mil/RetiredMilitary/survivors/1174RetireeAOP/

Please note that having an AOP designation does NOT entitle the person named as 

an AOP beneficiary to a Survivor Benefit Plan (SBP) annuity. A separate SBP election 

must be made to cover the desired individual for SBP purposes. 

For the beneficiary of the SBP annuity, the DD 2656-7 Form Wizard will assist them 

in completing the survivor annuity form. The Form Wizard will ask a series of questions 

and fill in the answers in the appropriate areas of the form. When they have finished 

answering the questions, they can click a button to generate a ready-to-print PDF with 

the answers.

The DD 2656-7 form and supporting documents can be submitted via the askDFAS 

online upload tool on DFAS.mil, and instructions on how to complete these steps can be 

found at: https://www.dfas.mil/startsbp

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You can keep your AOP beneficiary up-to-date by completing the Designation of 

Beneficiary form (DD 2894) and submitting the signed form to DFAS via mail, fax or the 

askDFAS online upload tool available on DFAS.mil. Instructions on how to complete the 

form and manage your AOP designation can be found on the webpage below. We also 

have a Form Wizard to make filling out this form faster and easier. It is available at: 

https://www.dfas.mil/RetiredMilitary/provide/aop/aop-beneficiary/

You may also make changes to your AOP beneficiary(ies) by logging into your 

myPay account available at https://mypay.dfas.mil. Further instructions on 

managing your myPay account can be found at: 

https://www.dfas.mil/RetiredMilitary/manage/mypay/

To make any necessary changes to your beneficiary(ies) for SBP, you can complete 

the Survivor Benefit Plan Election Change Certificate (DD 2656-6) and submit the 

signed form to DFAS via mail, or by using the askDFAS online upload tool available on 

DFAS.mil. Instructions on how to complete and manage your SBP can be found at: 

https://www.dfas.mil/RetiredMilitary/provide/sbp/
18

Changes to the Survivor Benefit Plan for SBP 

Annuitants in 2023 

This year brought big changes to the Survivor Benefit Plan for surviving spouses 

who were also receiving Dependency and Indemnity Compensation (DIC) payment 

from the VA. It also brought big changes for surviving spouses and children of 

members who died on active duty or inactive duty, in the line of duty, and chose 

the Optional Annuity for Dependent Children. 

SBP-DIC Offset Elimination 

Beginning with the February 1, 2023 payday, the SBP-DIC Offset was fully 

eliminated. That means spouses now receive their full SBP monthly payments

from DFAS and their full Dependency and Indemnity Compensation (DIC) 

payments from the VA. 

The Special Survivors Indemnity Allowance (SSIA) will no longer be paid after 

the January 3, 2023 payment, because SSIA is only paid to spouses who have their 

SBP payment offset by DIC. 

Please note the change in the law does NOT affect the amount of DIC you 

receive from the VA. You should continue to receive your full DIC amount from the 

VA. 

Find out more on our special focus webpage: 

https://www.dfas.mil/sbpdicnews

The Survivor Benefit Plan 2023 Active Duty/Line of Duty Optional Annuity 

for Dependent Children Elimination/Annuity Reversion to Surviving

Spouses

The National Defense Authorization Act for Fiscal Year 2020 repealed the 

authority for the Optional Annuity for Dependent Children for Active Duty/Line of 

Duty survivors as of January 1, 2023.

This means for the surviving spouse of an Active Duty/Line of Duty member 

who requested to have the Survivor Benefit Plan (SBP) annuity paid directly to an 

eligible dependent child or children, the annuity must revert to the surviving spouse 

in 2023 (if she or he submits documentation and is eligible). 

Please check our special focus webpage for news and information regarding the 

changes: https://www.dfas.mil/sbp2023childoptrev

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If you are the surviving spouse of an Active Duty/Line of Duty member who 

requested to have the Survivor Benefit Plan (SBP) annuity paid directly to an 

eligible dependent child or children and you have NOT submitted a Spouse Eligibility 

Packet, we need your information as soon as possible. Please download, fill out and 

submit the eligibility packet from our special focus webpage as soon as possible: 

https://www.dfas.mil/sbp2023childoptrev

 If you are the surviving child or the parent or guardian of a surviving child of an 

Active Duty/Line of Duty member whose surviving spouse requested to have the 

Survivor Benefit Plan (SBP) annuity paid directly to the child or children at the time 

of the member’s passing, please see our special focus webpage for more 

information: https://www.dfas.mil/sbp2023childoptrev
20

News from Our Partners: Air Reserve Component 

Retirement Pay Applications Transition to myFSS

 Headquarters AF/A1 is in the process of transitioning all personnel systems 

currently located on the myPers website onto two new platforms, myFSS and 

MyVector. This Digital Transformation Initiative directly impacts how we serve 

Airmen and, as such, it is the number one priority for the Headquarters Air Reserve 

Personnel Center. 

As a result of this digital transformation, the submission of Air Reserve 

Component Retirement Pay Applications is transferring from the current myPers

platform to a new platform called myFSS no later than 1 May 2023. The 

myFSS platform was created to ensure consistent communication between HQ 

ARPC and customers in the gray area. Customers will use it to inquire on personnel 

records and requests. 

Most importantly, the myFSS retirement application has been developed to 

simplify routing of retirement source documents to HQ ARPC, who will in turn 

coordinate with DFAS to begin retirement payments.

All Reserve and Air National Guard “Gray Area” retirees will need to log 

into myFSS through any commercial browser or device and obtain a 

Username/Password by following the steps below: 

Gray Area Retirees are members who served in the Air National Guard or Air

Force Reserve, are qualified for retired pay, and have retired from their service 

(stopped drilling), but are not yet at the age where they can start receiving 

retired pay.

-1. Log into myFSS (Link: https://myfss.us.af.mil) 

-2. Click “First-time Non-CAC User Registration” and follow prompts to obtain a 

username/password

This will be our primary means of communication prior to reaching your 

retirement pay age. 

The Reserve and Air National Guard “Gray Area” Retiree’s Application 

Process is as follows: 

1. Log into myFSS (Link: https://myfss.us.af.mil) 

2. Complete/Sign DD Form 2656 (Save in pdf format)

3. Click on “myRetirements”

4. Click on “ARC Retirements”

5. Proceed to Knowledge Articles/Application as applicable

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We appreciate your patience as we transition to new systems. We will provide 

additional information as we continue to implement these digital transformation 

initiatives. Any questions about the processing of your retirement pay application 

can be directed to the Total Force Service Center at 1-800-525-0102. 

You will find further updates and additional resources below.

Retirements (af.mil)

Air Force Gray Area Retirees (dfas.mil)
22

News from Our Partners: Bases Launch 2023 Air Force Assistance 

Fund Campaign...50 Years of Caring

On 27 February, the Department of the Air Force launched the 50th annual Air 

Force Assistance Fund 50 Years of Caring Campaign at Air and Space Force 

Bases worldwide. Thanks to your generosity, over $243 Million have been donated 

by Airmen and Guardians, and other supporters over these past 49 years, providing 

a safety net for our fellow Airmen, and now Guardians as well as their families. 

Your contributions helped provide a total of over $45,000, in assistance in 2022! 

I’d like to enjoin you to continue your support of these four extraordinary charities, 

committed to taking care of our own. 

The Air Force Villages Charitable Foundation provides the full spectrum of the 

continuum of care for widows and widowers of retired Air Force Officers living at 

Blue Skies of Texas in San Antonio, just down the road from Lackland AFB. Thanks 

to your generous donations over the years, over 600 surviving spouses have been 

served. Over $23 million has been invested in their care since 1970 and you’ll be 

glad to know 100% of gifts go directly to the residents’ living expenses and 

continuing care to allow them the peace of mind to live comfortably in their homes 

with a secure future.

The Air Force Aid Society made sweeping changes in policy in recent years, 

opening the aperture of support to all Guard and Reserve personnel, as well as 

assisting more Airmen and Guardians with the use of more grants (that don’t need 

to be repaid) and fewer loans (which do need to be repaid...interest free, of course). 

In 2022, the Air Force Aid Society provided $13 million in direct assistance to over 

17,000 Airmen, Guardians, and their families. Whether the need was emergency 

assistance; educational scholarships for dependents; or community programs 

ranging from childcare programs, to car care, to spouse/parenting programs—the 

Society has been there for us for 80 years...thanks to you!

The Air Force Enlisted Village, situated basically “across the street” from Eglin 

AFB, continues a long tradition of fulfilling their primary mission: “To provide a 

home”. No eligible widow or widower of a retired Airman or Guardian has ever 

been turned away due to an inability to pay. Residents enjoy independent living, 

assisted living and memory support on the Bob Hope Village and Hawthorne House 

campus. And decisions are made based on “The Mom Rule”: Would I do this to my 

mom? Would I do this for my mom? And, would my mom approve? Your donations 

have provided essentials that many of us take for granted: A safe home, security, 

dignity, independence, and camaraderie.

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The General & Mrs. Curtis E. LeMay Foundation provides financial support to the 

surviving spouses of officer and enlisted Air and Space Force retirees with grants of 

monetary assistance that don’t ever need to be repaid. Monthly grants range from 

$200 to $625. One-time support is provided for unplanned expenses as well. Last 

year, more than $23,000 one-time grants helped with past due mortgage 

payments, dental needs, and emergency lodging. Your support continues to matter 

to the current 63 spouses receiving monthly aid to help with the necessities of life. 

These grants make everyday living a little easier with personal care costs, 

transportation services, and meal deliveries. And thanks to your generosity, in 

2022, the LeMay Foundation provided over $341,000 in grants to their recipients.

If you haven’t yet had the opportunity to give but so desire, you can give 

anytime online now at https://www.afassistancefund.org. Just click the 

“DONATE NOW!!” button near the top right of the page. You’ll be taken to our 

donation page where you can choose to either use a donation form to authorize 

payroll deduction donations, or document where you’d like your check or money 

order donation to go. Then there’s our “E-Giving” option where you can help out 

your favorite base and squadron by giving directly to their campaign—just scroll 

down to the “DONATE TODAY WITH OUR NEW PEER-TO-PEER PLATFORM” box and 

click the “Donate Today!” button. You can also give by texting AFAF to 50155 

using your smart phone.

By any of these E-Giving options, a one-time donation as well as recurring 

(monthly) donations may be made by either credit/debit card or by e-Check (draw 

from checking). We know many retirees have asked in the past to be able to give 

on a continual basis without having to renew the Payroll Deduction Plan allotments 

each year—now we have that capability with e-Giving by using your credit card, 

debit card or authorizing auto-draft from checking (e-check)! Join the AFAF 

Wingman Squadron today by signing up for monthly giving and your monthly 

donation won’t automatically stop after just one year—unless you pause or stop it 

yourself. You’re in full control with your giving account! In fact, if you authorize 

monthly recurring e-giving, it’s highly recommended that you set up an account. 

You can do that after making your donation online by going to 

https://secure.qgiv.com/for/afassistancefund and clicking the “Sign In” link 

In the box that pops up, you can log in with Facebook, Google, Apple, or if you’ve 

already established an account, you can enter your Username/Password. 

Otherwise, please click the “Create an Account” link. This account will give you the 

autonomy to manage your monthly gifts without needing assistance. If you need 

help linking your account to your monthly gift, please contact Department of the Air 

Force Fundraising at usaf.fundraising@us.af.mil. 

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Again, if e-Giving isn’t your thing, that’s okay. You can still give by check, 

money order, cashier’s check, or through the annual payroll deduction plan from 

your retired pay. The contribution form can be found online at 

https://www.afassistancefund.org/wpcontent/uploads/2022/12/DAF_2561-20221026.pdf Please be aware that 

payroll deduction allotment authorizations mailed to AFPC will not begin coming 

from retired pay until 1 July 2023. 

*****PLEASE DON’T SEND CASH IN THE MAIL*****

Mail Check and Payroll Deduction Plan Donations to:

AIR FORCE ASSISTANCE FUND

AFPC/DP3SA

550 C STREET WEST

JBSA RANDOLPH TX 78150

Thank you once again for your continued support of the annual AFAF Campaign, 

and our fellow Airmen, Guardians, and their families. Retired, but still Active! 
25

News from Our Partners: Navy-Marine Corps Relief 

Society

Thank you!

To all who supported NMCRS in 2022. Your generosity made a huge impact in 

the lives of over 40,000 Sailors, Marines and their families.

A note from LtGen Robert R. Ruark, USMC (Ret.), President, CEO

LtGen Jack W. Klimp, USMC (Ret.) relinquished the helm of NMCRS last year. 

It's truly an honor and privilege to build upon his legacy and assume the role as 

President, Chief Executive Officer. There are very few non-profit organizations in 

existence today that can claim such an honorable legacy of service and support to 

those that serve this great nation, and I am proud to continue that tradition. 

My life’s work has been dedicated to supporting others. Following my 36-year 

career in the Marine Corps, I served nearly four years as the Chief Executive Officer 

of the Marine Corps Scholarship Foundation.

I am grateful for the opportunity to lead this incredible organization that 

provides critical support in so many ways to our Marines and Sailors.

We LOVE our Volunteers!

Volunteers have been the backbone of Navy-Marine Corps Relief Society for 

more than 119 years. The staff at NMCRS is made up of a small cadre of paid 

employees, and thousands of volunteers. This is what makes it possible for our 

donated funds to directly assist Sailors, Marines, and their families. When service 

members seek our assistance, they often interact directly with one of our skilled 

volunteers. 

Not sure if this is right for you? Our volunteers have unique backgrounds and 

experiences, and they have different reasons for serving. However, they all desire 

to support the community of active duty and retired Navy and Marine Corps service 

members and their families.

For many, volunteering can help build job-relevant skills and experience. Others 

find that they can use skills they already have to serve in a new area. Volunteer 

opportunities in the Society include leading a team, performing mission-related 

tasks, and providing support and assistance.

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Our offices are located on Navy and Marine Corps bases across the country and 

around the world. Some opportunities allow you to volunteer from home so you 

don't need to be near a base. For most, you can volunteer as few as three hours a 

week.

If you are interested in being a volunteer, you can expect to: 

• Receive specialized training

• Get extensive support and resources

• Connect with other volunteers and build friendships

• Get assistance with child- and dependent-care and mileage expenses

• Help others and make a difference

• Build experience to add to your resume

• Feel appreciated and have fun

“I wanted to volunteer at the Navy-Marine Corps Relief Society because 

there was an opportunity to give back and serve those that protect our 

Country. It is an honor being an NMCRS volunteer, engaging with clients as

I log them in for their appointment and being affiliated with an organization 

that assists in such meaningful ways.” 

 Lloyd Gillespie, Volunteer

You can learn more about volunteering at NMCRS 

https://www.nmcrs.org/get-involved/volunteer 

Receiving Assistance:

If you are facing a financial challenge please do not hesitate to reach out to 

NMCRS. All of our programs and services are free and confidential. Our support 

does not affect your credit score. The most common requests for our no-interest 

loans and grant assistance are basic living expenses, such as rent and food. Each 

year, NMCRS provides millions of dollars in assistance for these daily needs to both 

active duty and retired Sailors and Marines. To learn more, please visit 

https://www.nmcrs.org

Education Assistance:

The NMCRS Education Assistance Program is designed to help eligible Navy and 

Marine Corps families pursue their academic goals. 2023-24 applications being 

accepted through May 15, 2023. Scholarships and interest-free education loans are 

awarded once per academic year. Scholarships range from $500-$3000 and 

interest-free loans are available up to $4000. Awards are determined by FAFSA 

Student Aid Report (SAR) and tuition costs. Funds are provided directly to the 

institution to help pay for tuition, books, room and board. Students may reapply 
27

each year. To learn more about eligibility and to apply, please visit 

https://www.nmcrs.org/our-services/scholarships 

Give with confidence! NMCRS has the highest attainable charity ratings.

NMCRS can “be there” for moments like this, because of donors like you. Your 

generous giving allows us to give back in ways and experiences that are truly 

priceless. To learn more about how the Society is providing relief, as well as read 

some stories about clients, volunteers and donors please visit

https://www.nmcrs.org/about-us/legacy-newsletters-index 

NMCRS has a four-star rating with Charity Navigator. You can read more here

We also have a platinum rating from Candid (formerly Guidestar). You can learn 

more here

NMCRS programs and services are only possible thanks to the generous support 

of our donors. If you would like to set up an allotment, please contact NMCRS at 

giving@nmcrs.org to begin the process. If you would like to make a gift online to 

support your fellow shipmates and Marines, you can make a credit card donation at 

https://support.nmcrs.org/a/rfd

Checks can be mailed to:

Navy-Marine Corps Relief Society

Attn: Development Department

875 N. Randolph St, Suite 275

Arlington, VA 22203

Looking for other ways to donate? Please visit 

https://www.nmcrs.org/get-involved/donate

Thank you!
28

2023 Pay Calendar

To help you plan for 2023, below is a list of the days you should expect to 

receive your pay. Retired and annuitant pay is due on the first of the month. 

However, if the first falls on a weekend or holiday, retirees are paid on the last 

business day of the month and annuitants are paid on the first business day of 

month. For example, in December 2022, retirees will receive payment on December 

30, 2022. However, annuitants are scheduled to receive payment on January 3, 

2023. Please see the chart for each month in 2023.

Entitlement Month Retired Pay Date Annuitant Pay Date

January 2023 February 1, 2023 *February 1, 2023

February 2023 March 1, 2023 March 1, 2023

March 2023 March 31, 2023 April 3, 2023

April 2023 May 1, 2023 May 1, 2023

May 2023 June 1, 2023 June 1, 2023

June 2023 June 30, 2023 July 3, 2023

July 2023 August 1, 2023 August 1, 2023

August 2023 September 1, 2023 September 1, 2023

September 2023 September 29, 2023 October 2, 2023

October 2023 November 1, 2023 November 1, 2023

November 2023 December 1, 2023 December 1, 2023

December 2023 December 29, 2023 January 2, 2024

*February 1, 2023 is the first payday for SBP changes that are effective January 1, 2023
29

 Contact Us

DFAS Retired & Annuitant Pay Website

https://www.dfas.mil/retiredmilitary

DFAS Retired & Annuitant Pay

Mailing Addresses

Retired Pay: 

Defense Finance and Accounting

Service

U.S. Military Retired Pay

8899 E 56th Street

Indianapolis IN 46249-1200

Annuitant Pay: 

Defense Finance and Accounting

Service

U.S. Military Annuitant Pay

8899 E 56th Street

Indianapolis IN 46249-1300

DFAS Retired & Annuitant Pay 

Phone and Fax Numbers

Phone:

Toll-free: 800-321-1080

Local: 317-212-0551

DSN: 699-0551

Retired Pay Fax: 800-469-6559

Annuitant/Survivor Pay Fax: 800-982-8459

 Phone: 888-332-7411

myPay

https://mypay.dfas.mil