Military retiree pay dates to change
for September, December
|CLEVELAND (Defense Finance and Accounting Service) —
Paydays for military retirees and those who receive portions of retired
pay are changing for the months of September and December, as the
Defense Finance and Accounting Service (DFAS) changes its pay schedule
to comply with the 2011 National Defense Authorization Act (NDAA).
The 2011 NDAA requires military retiree pay to be processed on the first
day of the month. When that day falls on a weekend or national holiday,
the pay date is moved to the previous business day.
This year payments normally scheduled for Oct. 3, 2011 will be issued
Sept. 30, 2011 and payments normally scheduled for Jan. 3, 2012, will be
issued Dec. 30, 2011. For the calendar year 2011, this means military
retirees will receive 13 rather than the normal 12 payments.
The 13th payday on Dec. 30 falls within the 2011 tax year, which could
affect the tax liability of some retirees and those who receive portions
of their retired pay. Customers should speak with a tax advisor, the
Internal Revenue Service or their state tax authority to determine if
their tax withholding will satisfy federal and state income taxes when
they file returns next year. DFAS cannot provide tax advice.
For tax year 2012 and beyond, retirees will receive their normal 12
This change affects regular retired pay, concurrent retirement and
disability pay and combat related special compensation. The new rule
also applies to retiree allotments, garnishments and court-ordered
former spouse and child support payments. It does not affect annuity
If retirees need to make changes to their federal or state tax
withholding, the quickest and most secure way to do so is through MyPay.
Available 24 hours-a-day, seven days-a-week, myPay enables eligible
users around the world to make routine changes to their pay information,
including tax withholding, that become effective within days.
Customers who cannot access myPay can change federal withholding amounts
by completing a new IRS Form W-4 or W-4P, or change state withholding
amounts using a DD 2866.
These forms can be found on the DFAS website,
www.dfas.mil/retiredmilitary/forms.html, and should be mailed or
faxed to the following address once completed:
Defense Finance and Accounting Service, U.S. Military Retired Pay, P.O.
Box 7130, London, KY 40742-7130. Fax: 800-469-6559.
It may take up to 30 days for changes to be made when mailing them to
DFAS in a paper form.
DFAS provides responsive, professional finance and accounting services
to the men and women who defend America. DFAS pays about 6.4 million
people and in fiscal year 2010 made 8.1 million travel payments, paid
11.4 million commercial invoices, made $578 billion in disbursements to
pay recipients, and managed $487.9 billion in military retirement and
health benefits funds.