Survivor Benefit Plan (SBP)
SBP payments are equal to fifty-five percent of what a member's retirement pay would have been had he or she been retired at 100 percent disability. Your SBP annuity will be reduced by the amount of payments provided under the Dependency and Indemnity Compensation (DIC) program (see below). Spouses may request *child only* SBP benefits. This option is helpful because the child-only SBP is not reduced by the amount of DIC awarded. SBP payments are subject to federal income taxes, although DIC payments are not.Your casualty assistance officer will schedule a meeting with a retirement services officer who is an experienced counselor and can provide information about survivor benefits and help you with the applications.