New Survivor Benefit Policy . . . Who Knew?

GySgt Wayne A. Ekblad — Mon, 20 Apr 2015 07:13:22 -0400

For decades, DFAS had allowed the transfer of SBP benefits to a new spouse if a former spouse died before the retiree. But, in 2013, DFAS --- with no public notice --- changed the way it interprets the law governing SBP. With the change, retirees are no longer automatically allowed to transfer the benefits.

Were you aware of this change?

http://www.marinecorpstimes.com/story/military/benefits/2015/04/20/dfas-sbp-interpretation-former-spouse/25826965/

New survivor benefit policy vexes retiree

DFAS' new SBP interpretation blocks transfer after death of former spouse

Response by SCPO David Lockwood made Apr 20 at 2015 7:18 AM

SCPO David Lockwood — Mon, 20 Apr 2015 07:18:51 -0400

Never knew about this but I always was under the assumption that this was for spouses that were that was with the service member while on active duty.

Response by Capt Private RallyPoint Member made Apr 20 at 2015 7:57 AM

Capt Private RallyPoint Member — Mon, 20 Apr 2015 07:57:17 -0400

Ex spouses, divorces, court orders, etc have to be accounted for. As I read this there is not a problem if there are no potential other claimants.

Response by COL Vincent Stoneking made Apr 20 at 2015 8:28 AM

COL Vincent Stoneking — Mon, 20 Apr 2015 08:28:07 -0400

Wow! I did not. Thank you for sharing.
I knew of the "pre 2013" policy, but have heard nothing of the change.

It SEEMS, based on the last couple of paragraphs, like you could have a court reverse the decision on survivor benefits (shouldn't be hard, the estate of the ex-spouse isn't entitled to them in any case....). But it would be a whole lot better if DFAS would just publish a policy with guidance on what to do in this situation, or congress amend the law to bring clarity.

Response by LCDR Private RallyPoint Member made Apr 20 at 2015 10:01 AM

LCDR Private RallyPoint Member — Mon, 20 Apr 2015 10:01:46 -0400

Thank you very much GySgt Wayne A. Ekblad for this post. It made me look up the rules on the DFAS website and realize how stupid I am. I got married just over a year ago so I missed the deadline on adding my spouse. My kids are all over 18 and not in school so they are not eligible and I am outside the small window to stop coverage. I sent them a note to find out if I am totally screwed but from the looks of it I am stuck for the rest of my life paying for coverage that no one can ever use. So not matter how educated you are ignorance can still cost you a lot of money.

Response by TSgt Tim (lj) Littlejohn made Apr 20 at 2015 10:26 AM

TSgt Tim (lj) Littlejohn — Mon, 20 Apr 2015 10:26:23 -0400

Unbelievable, DOD screwing retired SMs' once again. Some darn office jerk got a lot of brownie points for this!!!!!!