Check the SBP-DIC News Webpage for Information on the SBP-DIC Offset Phased Elimination
Congress included a phased elimination of the SBP-DIC offset in the 2020 National Defense Authorization Act, titled “”Phase-Out of Reduction of Survivor Benefit Plan Survivor Annuities by Amount of Dependency and Indemnity Compensation.”
Although the NDAA has not yet been signed into law, we want to make sure you know where to get information on how this change, if passed, may affect SBP annuitants.
We have added a new webpage called “SBP-DIC News” where we will post information on the status of the implementation of this new law, once passed.
Please plan to check this webpage for updates:
You can also learn more about SBP, DIC and SSIA on this webpage:
Here are a few key points to keep in mind:
- Based on the NDAA, Spouse SBP annuitants who are subject to the DIC offset will see the first change in the SBP annuity payment they receive on February 1, 2021. You do not need to notify us that your SBP payment is affected by this change in the law.
- The most important action SBP annuitants can take at this time is to ensure your annuity account information is up-to-date and includes your correct mailing address so we can contact you, if needed. Also, if you’re not using myPay, set up a profile now and add your email address.
- We are unable to provide individual estimates of the upcoming changes in spouse SBP annuity payments due to this change in the law. Please do not call our Customer Care Center to request an individual estimate.
- If you previously received a refund of SBP premiums paid due to the SBP-DIC offset, you will not need to pay back that refund because of this change in the law.
- The “Repeal of Authority for Optional Annuity for Dependent Children” and “Restoration of Eligibility for Previously Eligible Spouses” in the NDAA only affect those spouses and children of service members who died on active duty when the surviving spouse previously elected to transfer the SBP annuity to a child or children. They do not affect previous or future SBP elections by retirees or SBP annuities for a retiree’s beneficiaries.