1. Involuntary Separation Pay
Element 43 Page 207

2. Objectives
Help you:
Understand when you might be eligible for Separation Pay
Understand factors that will make you ineligible for Sep Pay
Estimate how much Sep Pay you may receive

3. You may be eligible if:
You have completed your 1st term of enlistment or period of obligated service, and at least six years of service
You are separating involuntarily
You are NOT eligible for retirement
You are NOT separating under adverse condition?

4. Obligated Service Requirement
… and you agree to serve 3 years in the Ready Reserve in addition to any other remaining service obligations

5. You’re not eligible if you:
Choose not to reenlist
Return your C-WAY quota
Leave Active Duty during your initial enlistment
Are eligible for retirement

6. You’re not eligible if you:
Separate:
As a result of court martial
Under other than honorable conditions
Due to unsatisfactory performance or misconduct

7. Levels of Sep Pay Full – must be honorable
E.G: Reduction in forces, High Yield Tenure issues
Half – honorable or general
E.G. Failing the PRT, security clearance issues, failure to complete a family care plan

8. Calculation Full: Half: .10 x ((12 x monthly base pay) x years of svc)
Involuntary separation pay is based on the members base pay at the time of separation and their years in months of service.
This calculation is done by the Finance Office.
12x =
x 75 months =
x 10% = /

9. An E4 with 8 years of service with base pay of $2,664
For example
An E4 with 8 years of service with base pay of $2,664
,10 X ((12 X monthly base pay) X YOS)

10. For example An E4 with 8 years of service with base pay of $2,664
10% X (12 X $2,664) X 8
10% X ($31,968 X 8)
10% X $255,744
Full Invol Sep Pay $25,574.40
Half Invol Sep Pay $12,

11. Minus Taxes Other government debts
If later you begin receiving disability compensation from VA, all or part of your taxable separation pay my be recouped

12. Resources MILPERSMAN 1920-030, 040, 050, 060 NAVADMIN 420/10
BUPERSINST D
DODFMR Vol 7a
Command Pay & Personnel Administrator (CPPA)

13. Questions?