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VA Recoupment of Disable Veterans SSB/VSI Payments

VA Recoupment of Disable Veterans SSB/VSI Payments

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Started by Anonymous 14 years, 3 months ago
Re: Loss of Special Separation Benefit Compensation I am asking that the Department of Defense, Congress and The Department of Veterans Affairs stop the recoupment of Disable Veterans SSB/VSI payments. Investigate and determine how the law applies to those Veterans that did not retire or receive retainers pay. The SSB/VSI payments were incentive payments so that the Department of Defense could drawdown the military. The SSB/VSI payments were not just given to us we had to give up the remaindered of our contractually enlistment obligation, just one of the qualifications to receive the SSB/VSI payments. Dr. Jo Ann Rooney Principal Deputy Under Secretary of Defense For Personnel and Readiness 1400 Defense Pentagon Washington, DC 20301-1400 Dear Dr. Rooney: I am writing in regards to the Special Separation Benefit (SSB) program, formerly Voluntary Separation Pay program, under 10 U.S.C. 1174a. It is my understanding that despite the name change SSB operates under the same guidelines as the Voluntary Separation Pay program. On August 1, 1995, I separated voluntarily from the United States Army under the SSB program. I was an eligible member that had served on active duty for more than 6 years but less than 20 years. I served 5 years of continuous active duty service prior to separation and had not received any other awards as an incentive to leave the military. I met the requirements such as years of service, grade/rank, and the remaining period of obligated service. Additionally, I had to agree to serve in Ready Reserve for a period of 3 years after my release from active duty. I am in receipt of two honorable discharges, U.S Army 1 August 1995 and U.S. Army Reserve 8 June 1999. It is my belief that VA is in error of recoupment of my SSB payment. The Department of Defense offered the SSB payment as an incentive to drawdown the military. As a recipient of this payment I had to meet eligibility and had to have remaining period of obligated service, which I did and gave up the remainder of my enlistment which was 18 months and was required to service 3 years non-obligated U.S. Army Reserve duty. Now, 15 years later and without any advance notice, I am required to repay the SSB payment by way of my VA compensation. Deep in the midst of economic recession, I cannot currently bare this financial burden. If I have to pay back the SSB payment, who is going to give me back what I gave up for the opportunity to be rewarded the SSB monies that I received? As I stated above, I gave the remaining 18 months of my enlistment that I was obligated by contract with Department of the Army to complete and the required 3 years of reserve duty, which I was not obligated to do at the end of my enlistment. The Department of Defense Financial Management Regulation, volume 7B, chapter 4 covers the recoupment of SSB. Regulations state the members that are affected are “certain members who voluntarily separated before October 1, 1995 (that) received a lump sum special separation benefit (SSB) based on years of service for pay purpose and grade or rank at date of separation.” “Under Recoupment of SSB, It states, “If a member who has received an SSB later qualifies for retired or retainer pay under Titles 10 or 14 of the U.S. Code, the gross amount of SSB received as shown on the member’s DD 214 shall be recouped at a monthly installment from each payment of such retired or retainer pay as specified in section 0409.” I did not retire from the U.S. Amy or the U.S. Army Reserve and I have not qualified for retainer pay. In the Department of Defense Financial Management Regulation, it does not deal with members who did not retire or qualify for retainer pay having the SSB payment recouped. Later, some members did qualify for retirement and retainer pay. It is my belief that the law for the VA to recoup the SSB payments was for those particular members who retired or qualified for retainer pay. As stated above the Voluntary Separation Pay program superseded the SSB. Under recoupment of this program, the Secretary of the Military Department concerned or designee may waive the requirement to repay the voluntary separation pay if it is determined that recovery would be contrary to the best interests of the United States. I am asking that the Secretary of the Military Department concerned or designee grant me this waiver. The SSB/VSP payment was an incentive for the drawdown of the military. I was lead to believe that if I gave up my remainder of my enlistment and obligate myself to 3 years of reserve duty that I was entitled to receive the SSB payment in exchange. Now, the VA wants the SSB payment back for my disability compensation. The SSB money is being offered as an incentive to the men and women of the Uniformed Services to encourage them to leave the military early for the Department of Defense to meet its obligation to drawdown the military. However, VA takes it back to pay our entitlements to VA compensation; how can payment by the government be used to satisfy two different payments? If I have to repay the SSB payment, what did I get from the Department of Defense for my 18 months that remained of my enlistment as well as the 3 years of reserve time? Respectfully Your, Diane Morrison Cc Dr. Clifford L. Stanley, Under Secretary of Defense (Personnel and Readiness) Senator Kay Hagan Governor Bev Perdue

Updates

January 24, 2018

We just hit 250 signatures. This issue deserves real attention.

Reached 250 supporters

January 23, 2018

Reached 100 supporters

May 13, 2015

220 Comments

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Marcia Williams
1 year ago Featured

I received SSBP in 1992. I joined the reserves and later retired in 2006. In 2023 I became eligible for military reserve retirement and was informed I will be deducted 40% of my retired military pension to pay back the money I received in 1992.

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Anonymous
2 years ago Featured

I was never told that if I received disability from VA my SSB would be recouped. $30000 SSB recouped from 10% disability. My career field was being downsized and I knew if I didn't take this option there was still the risk of being forced to seperate from USAF with nothing.

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Maria May
3 years ago Featured

Given a bonus to leave Navy as part of a drawdown. Was not given option to OPT out of SBI. Was not given any info that SBI would have to be paid back if I qualified for VA disability at a later time. How could this be legal?

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PAUL V RIGSBY
8 years ago Featured

I JUST GOT THIS NOTICE OF REPAYMENT, AFTER RECEIVING VA BENEFITS LAST 4 YRS. ITS A SHAME VETS ARE IN DOUBLE JEOPARDY FOR GETTING OUT EARLY TO BENEFIT GOVERNMENT, THEN PENALIZED FOR GETTING INJURED AN COMPENSATED FOR IT.

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Gregory Wasson
9 years ago Featured

The same thing happened when I was let go in 1992, Downsized with 17 years in the military. It took me 20 years to pay back the 50K they gave us. Now officers it was called severance pay. Enlisted it was an SSB payment.

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Anonymous
10 years ago Featured

Some soldiers were forced to medical retired for combat related injuries and later VSI was taken from their retirement pay. Many of them were not able to go back to their civilian jobs and were not prepare for the sudden retirement.

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Maureen A Bascom
3 months ago

I agree with the statements made here. I was offered this SSB to break my contract and go into the ready reserves. Not only did DFAS recoup the SSB, they also took back the taxes I had to pay when I got it. Now to make the situation worse, the VA is also recouping the SSB, even though DFAS has already taken all of it back. This pay was to separate from active service, and was not for injuries or a disability. This is the most unfair recoupment ever.

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David Howey
10 months ago

SEND THIS LETTER TO ALL ELECTED REPRESENTATIVE -- AND VA SECRETARY, COLLINS AND SECWAR HEGSETH Honor American Veterans by Restoring our Benefits David S. Howey, Col, US Army (Retired) I am calling on President Trump and Congressional leaders of both parties to honor our nation’s veterans this Veteran’s Day by returning and restoring ALL veterans benefits and entitlements which have been taken from us. For years, our nation’s veterans have been subjected to policies and laws which effectively “nickel-and-dime” away our benefits through a slow-drip of bureaucratic double-talk and “fine print” which in some cases force veterans to pay back more than they originally received. Congress authorizes certain benefits by law and then the bureaucracy swoops in and devises ways to water down the entitlement and change what the entitlement was originally meant for. Separation bonuses are meant to ease the transition from a stable military career to a civilian one. Disability payments are meant to compensate veterans for physical and emotional traumas of military service. Retirements are meant to honor veterans who have faithfully served for decades. They are all meant for different purposes, but government bureaucrats decide which of those benefits veterans can receive. If we qualify for bonuses, disability, or retirements give us all of what we earned. If we received a bonus decades ago, as soon as we receive another entitlement, the bureaucracy comes for their share. The veteran never sees the money. It’s taken off the top by the bureaucrats at the IRS, the VA, and the Pentagon. Where is the logic and fairness in these policies? Why would we want to take ANY pay or benefit away from those who have defended our country? Shouldn’t Congress want to protect the entitlements that Congress themselves authorized? It’s as if Congress wants the political “feel-good” of voting for benefits but they turn a blind eye when the bureaucracy claws that same m