M-Day Retirement Counselor

M-Day Retirement CounselorSFC Caraway

RC-SBP Retirement Options Early Retirement State Pension Plan Retirement Pay Application

Process

TRICARE Retired Reserve Retirement Benefits NGB 23 Resources

Reserve Component Survivor Benefit Plan (RC-SBP) gives retirement eligible Soldiers the option to leave up to 55% of their retirement to surviving

dependents.There are 3 Options to choose from: Option A: Decline coverage (remains eligible for standard SBP coverage at age

60) Option B: Deferred Annuity starting on what would have been the Soldier’s 60th

birthday(if deceased prior to age 60) or, if 60 or over at time of death, on the day following date of death.

Option C: Immediate Annuity beginning on the day following date of death regardless of age at time of death

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RC-SBP must be elected with in 90 days of receiving your NOE If married or new dependent must be changed with in 1 year of date of marriage or birth Option C is automatically selected if no option is picked

Break even point(Threshhold)

There are 4 Different Options for Retirement:

Remain in the National Guard Retired Reserve Stand By Reserve (IRR) Discharge

Each of these choices have an effect on retirement pay and benefits.

Remain in the Guard Must earn 50 retirement points yearly. Earn longevity (money earned for time in

service). Earn COLA (cost of living allowance). Can be promoted. Continue to earn retirement points.

Stand By Reserve Soldiers that have a remaining contractual

obligation will be sent to the IRR. Must earn 50 retirement points. Will be

discharge if Retired Reserve is not requested or 50 points a year not met.

Unpaid training. Accumulate retirement points

Retired Reserve Can be recalled for service Can receive help applying for retired pay Earn longevity Earn COLA Do not earn retirement points Cannot be promoted

Discharge No military obligation Cannot earn longevity or COLA Do not get a retirement ID card No base privileges

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Discharge option: you do not receive your packet in the mail you must request it. If you choose discharge you are ending all ties you have with the military. No ID card is provided and all base privileges may be lost. You can Earn Retirement Points from: Annual Training, Drilling, Funeral Honors, and Correspondence Courses to count towards your 50 retirement points per year. Reminder: if you get promoted you have an obligation in order to retire at that rank. E-6 and below – 2 year Voluntary, 185 days Involuntary E-7 thru E9- 3 years Voluntary, 185 days Involuntary W01-W05- 31 days Voluntary, 31 days Involuntary O1-O2 - 18 Months Voluntary, O2-O3 - 24 Months Voluntary, O3-O5 - 4 Years Voluntary, O5 and above- 3 years Voluntary, 185 days Involuntary

Soldiers electing discharge instead of transfer to the Retired Reserve must be

aware that a discharge will have an impact on retired pay.

EXAMPLE

E-7 with 22 years of service for pay at time of discharge or transfer to retired Reserve:

Monthly retired pay at age 60 if discharge: $931.84 (based on pay scale 2005)

Monthly retired pay at age 60 if transferred to retired reserve: $1,674.03 Difference: $742.19 (based on pay scale 2020)

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This example assumes the transfer to the retired reserve or discharge would occur on January 1, 2005 and basic pay increased 3.2 percent each year from 2006 through 2020. Remember this example is from 2005 not 2013 so E-7 retirement may be higher.

As of 28 Jan 2008, Soldiers who served in contingency operations are eligible for early retirement in 90 day increments.

Reduced Eligibility Age: Deployments must be after 28 Jan 2008 Given 90 days for every 90 days of deployment within the same fiscal year prior

to 30 September 2014. 1 October 2014 and after all time is cumulative. The 90 days does not have to be consecutive RPED time is based on the codes used on the supporting documents. (Orders, DD

214s) Codes must be those approved by NGB in order to be counted as qualified time for Early Retirement.

Section 12731(f) of Title 10, U.S. Code28 Jan 2008

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Contingency Operations = Iraq and Afghanistan There is currently no early retirement for deployments before 2008 so deployments before 2008 will not count towards early retirement.

North Carolina provides a state pension for Soldiers who have served 15 years or more in the North Carolina National Guard.

Given $105.00 per month, when eligible for 20 year retirement. $10.50 per month for each additional year of service. Total pension shall not exceed $210.00 per month (30 years service). Submit Application for state pension to:

JFHQ NC J9Attn: Retirement Counseling Office

1636 Gold Star DriveRaleigh, NC 27607

General Statue 127-40(A)

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Must serve 15 years in the North Carolina National Guard, does not have to be consecutive. Must be eligible for retired pay. Payment is $105.00 per month until 20 years then it goes up $10.50 per month every year after. It maxes out at $210.00 per month for 30 or more years of total service. The State Pension is calculated from total number of good years based on your RPAM Statement, not the LES, NGB 22, or DD 214.

Applications are no longer forwarded to the Retiree by mail from HRC-Fort Knox. It is up to the Retiree to remember to submit there application in a timely manner.

Submit application for pay to Human Resources Command Fort Knox (HRC-Fort Knox) 8-12 months prior to 60th birthday or RPED date.

HRC-Fort Knox process applications the month of birthday.For help completing your packet you should:

1. Visit http://nc.ng.mil/services/retirement/Retirement/Pages/default.aspx2. Contact your local unit3. Contact the state Retirement Service Officer (RSO)

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Because Packets are no longer sent by mail its important to insure you start your application process in a timely manner. Packets are not mailed to soldiers who selected discharge. It must be requested! Remember to use your chain of command (your local unit first).

http://nc.ng.mil/services/retirement/Retirement/Pages/default.aspx

Date SM Turns 60/RPED

USAR CONT GP (Retired Reserve)

Leave Blank. Attach RPAM Statement (NGB 23A). RPAM statement should be prepared the same day this application is

be completed.

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This is the DD 108. It’s fairly simple. Insure you mention the highlighted areas. The bottom portion of this form (not seen) is where you will sign and date.

Date SM Turns 60/RPED

Designated for individual to receive any unpaid retired pay, i.e., if SM passes and is still due a retirement check.

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This is the top half of page 1 of the DD 2656 It’s fairly self explanatory. Insure you feel in all areas required. If ‘Yes’ for 11 or 12 supporting documentation is required.

$0 if under Bailey Settlement,

otherwise, multiply income projected on

RPAM by 5.5%

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This is the bottom of page 1 of the DD 2656 13 and 22 can be, and are often, the same person. 25 can be left blank if the Children are aged out. (over 18 not in college or over 23 if in college)

If SM elects not to participate in SBP and they have a spouse, the spouse must sign and it must be Notarized.

Insurable interest is anyone but the spouse and dependent child. SM must understand that the premium starts at 10%, increases 5% for every year of age difference and caps at 40% of pay before taxes.

A dependent child is anyone up to age 18. If age 18, they must be a full time student and not married. They can receive benefits until age 22. A child with a disability can receive payments for the remainder of their life span. If disability occurred before the age of 18

and that child requires care.

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This is the top of page 2 of the DD 2656 The most common election on this form is ‘A’ because most children are aged out by the time the parents are applying for Retirement In 27, if electing anything other than ‘coverage based on full gross pay’ form will have to be signed by spouse and notarized. Insurable Interest can cost up to 40% of Retired pay. Highly recommend against it. Spouse can not be ‘insurable interest’

Witness is full-time military staff or authorized VA rep that is helping prepare this document.

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This is the bottom of page 2 of the DD 2656 Do not sign and date until in front of your witness. Insure witness fills out 31. a – 31. g in it’s entirety. Notary and spouse signature is only required if not electing to have coverage for them based on full gross Retired pay.

Once retiree’s reach age 60 they and their dependants are entitled to free, or at nominal cost heath care. To include RPED.

At age 65 you qualify for Medicare part B, which becomes the primary insurance, with TRICARE as a supplemental insurance.

TRICARE dental is available to retired members and their families. Also “Gray Area Retirees” qualify for this benefit.Access www.tricare.com for information on retirement benefits.

Tricare North Region: (877) 874-2273

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At age 65 register for Medicare part B to be eligible for TRICARE for Life. Every Retiree in the gray area has different options for TRICARE. Please see a TRICARE rep or handouts we have available.

As a retiree you are entitled to benefits, but they may change based on which option you chose. Some of these are:

Base facilities and activities Medical facilities (Age 60) TRICARE (age 60 – until age 65) Legal assistance Survivor assistance Family services SGLI VGLI (If requested)

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Base Facilities include: PX, Gyms, Vacation Houses, ID card facilities, Hospital, and any MWR (bowling)

Displays earned points and creditable years of service for retired pay.

RPED is located in the top right of the RPAM A “Good” year is a minimum of 50 points earned per

year. The year is based on your anniversary year ending

date (AYE) Should be reviewed annually at the unit level.

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50 points equate to a good year however the average is usually about 78 points per year

RPED: 2020/10/12, 4 Pds.

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This is an example of the RPAM. The RPED (annotated in Red) shows up like this example. If you do not have RPED time the date will be the date SM turns 60 and will have ‘0’ periods

www.nc.ngb.army.mil/Services/Pages/Retirees.aspx www.hrc.army.mil/ www.tricare.mil/ www.deltadental.com/Public/index.jsp www.pec.ngb.army.mil/ www.va.gov

SFC Tre’ Caraway

Email: [email protected]

Phone:(919) 664-6128

Address:JFHQ-NC-G1 SSSATTN: RETIREMENT COUNSELOR1636 GOLD STAR DR,RALEIGH, NC 27607

Documents

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