MOAA Resources: Survivor Benefit Plan (SBP)

MOAA Resources: Survivor Benefit Plan (SBP)

For years, survivors of deceased military members were required to forfeit part or all of their purchased Survivor Benefit Plan (SBP) annuity when awarded the VA’s Dependency and Indemnity Compensation (DIC). The loss of any portion of the SBP annuity is known as the "Widows Tax."

 

The Fiscal 2020 National Defense Appropriations Act changes this provision, for the benefit of more than 65,000 military survivors, with a fix that will be phased in over a three-year span. Below, find out how MOAA fought to end the widows tax, and what's new with the SBP program. 

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