CRDP vs CRSC Optimizer
Should you take CRDP or CRSC? Enter your retirement pay, VA disability details, and filing status to compare after-tax income for both concurrent receipt options.
Understanding CRDP vs CRSC
What is CRDP?
Concurrent Retirement and Disability Pay (10 U.S.C. § 1414) allows eligible military retirees to receive both full retirement pay and VA disability compensation. You must have 20+ years of service and a VA rating of 50% or higher. CRDP is taxable as retirement pay.
What is CRSC?
Combat-Related Special Compensation (10 U.S.C. § 1413a) provides tax-free payments for the combat-related portion of your VA disability. It replaces the retirement pay offset dollar-for-dollar. CRSC is available to any military retiree with combat-related disabilities — no minimum years of service required.
Key Difference: Taxes
CRDP restores your full retirement pay, which is taxable income. CRSC provides a tax-free payment under 26 U.S.C. § 104(a)(4). Depending on your tax bracket and the combat-related portion of your rating, CRSC may put more money in your pocket even if the gross amount is lower.
Legal References
CRDP statute
10 U.S.C. § 1414
CRSC statute
10 U.S.C. § 1413a
CRSC tax exemption
26 U.S.C. § 104(a)(4)
VA offset regulation
38 C.F.R. § 3.750
Related Tools