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Separation Pay Element 43

Separation Pay Element 43. Separation Pay. Discussion: Definition of Involuntary Separation Eligibility Criteria Full separation pay vs. Half separation pay No Separation Pay Reserve Obligation in the Ready Reserve. Separation Pay Definition.

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Separation Pay Element 43

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  1. Separation Pay Element 43

  2. Separation Pay Discussion: • Definition of Involuntary Separation • Eligibility Criteria • Full separation pay vs. Half separation pay • No Separation Pay • Reserve Obligation in the Ready Reserve

  3. Separation Pay Definition • Discharged, or released from active duty and includes all forms of separation under conditions wherein the individual is released from active duty at any time prior to the completion of a stipulated period of active service or tour of active duty and not at his/her own request, or denied reenlistment or extension on active duty.

  4. Eligibility Criteria • Officer and Enlisted • Involuntary • Honorable or general under honorable conditions • Completed at least 6 years of active duty service but less than 20 prior to separation • Qualified for Retention • Entered a written agreement to serve in the Ready Reserve for a period of not less than three years

  5. Eligibility Criteria Cont. • Block 26 • Separation Program Designator Code • Block 28 • Narrative

  6. Full Sep - vs - Half Sep Pay • Full separation pay: 10% of your annual base pay, multiplied by the number of years you served • Half separation pay is: One-half the amount computed for full separation pay

  7. Full Sep -vs- Half Sep Pay • Separations limited to half-sep pay: • PFA Failure (Only if due to BCA failure) • HYT • Alcohol abuse rehabilitation failure • Parenthood, physical or mental conditions

  8. Example • E-5 receiving involuntary separation pay at 6 years: $2,734.50 base pay x 12 = $32,814.00 $32,814.00 x 6 (number of years served) = $196,884.00 $196,884.00 x 10% = $19,688.40 = Full Separation Pay

  9. No Separation Pay • No Separation Pay Entitlement: • Reservist discharged on inactive duty • Reservist released from active duty for training • Less than 6 years total active service • Administrative Separation under OTH • Not retention “eligible” except when half sep pay is authorized (EX: HYT) • Voluntary Request

  10. Reserve Obligation • Written agreement • Service obligation • Qualifications

  11. Flash Quiz/Review • True or false, only enlisted personnel are entitled to ISP? False, both officer and enlisted are eligible. • How long is the term of Reserve obligation. Not less than 3 years. • To receive an ISP Payment, a Sailor must enlist in the _______________. Ready Reserve = (Drill (SELRES) or Non-Drill (IRR)) • Name two ISP eligibility criteria: 1. Must be involuntary. 2. Must have completed 6 years of service, but less than 20.

  12. Resources • Command Pay and Personnel Administrator (CPPA) • 10 U.S.C. 1174 • DTM Implementing Disability-Related Provisions of the National Defense Authorization Act of 2008 • DoDI Directive 1332.29 • MPM 1920-040

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