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New Law Improves Active Duty Survivor Benefits
The recently approved National Defense Authorization Act 2002 made two major improvements to the survivor benefits for currently serving active duty military members. (Does not apply to members already retired.) The new law expands eligibility for the Survivor Benefit Plan (SBP) and changes the method of computation of the benefit amount as if the death occurred in "Line of Duty". Previously, active duty service members had to be retirement eligible for survivors to receive SBP. The NDAA 2002 extended eligibility to all active duty members, regardless of their time in service. Eligible survivors of service members under 20 years of service, who die on active duty, are now entitled to SBP benefits. The second change is in the calculation of the benefit amount. The retired pay and SBP amount will now be computed as if the member was 100% medically retired immediately prior to death, which results in a 75% multiplier...equal to a 30-year career. The new rules are incorporated in our database and you will see the impact, if applicable, on the Benefits Analysis page of your next annual Family Information Record (FIR).
For more information email AFSC (info@afsc-usa.com) or call 1-888-237-2872.
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