The Reserve Component Survivor Benefit Plan annuity payment is determined by the base amount you elect. 

The benefit amount is typically 55 percent of the base amount. However, depending on the date of death, the benefit may be reduced by certain costs. 

If the retiree died before May 1, 2010, the benefit amount is reduced by the reserve component cost (or add-on cost). If the retiree died on or after May 1, 2010, the benefit amount is not reduced. The samples below show the benefit amounts under both conditions.   

Monthly RCSBP annuities are rounded down to the nearest dollar.

The annuity amount for a surviving spouse or former spouse:

Base amount = $2,625.00
Election = Spouse Immediate
Retiree’s age at election = 48
Spouse age at election = 48
SBP premium = $170.63
Add-on = $62.48
Total cost deducted from retired pay = $233.11

Annuity amount if retiree died before May 1, 2010
$2,625.00 - $62.48 = $2,562.52 x 0.55 = $1,409.39 (rounded down to $1409.00).

Annuity amount if retiree died on or after May 1, 2010
$2,625.00 x 0.55 = $1,443.75 (rounded down to $1443.00).

The monthly annuity for a dependent child:

Base Amount = $2,625.00
Election = Child Immediate
Retiree’s age at election = 48
Child's age at election = 8
SBP premium $1.58
Add-on cost = $11.82
Total deducted from Retired Pay $13.40

Annuity amount if retiree died before May 1, 2010
$2,625.00 - $11.82 = $2,613.18 x 0.55 = $1,437.25 (rounded down to $1,437.00)

Annuity amount if retiree died on or after May 1, 2010
$2,625.00 x 0.55 = $1,443.75 (rounded down to $1,443.00)

The monthly annuity for a Natural Interest Person (NIP) or a former spouse (insurable interest category) is 55 percent of the difference between the member’s retired pay and the sum of the premium reduction and add-on premium, depending on the date of the retiree’s death.

Base Amount $2,625.00
Election = NIP Immediate
Retiree’s age = 51
NIP's age = 38
SBP Nip Premiums 20% x $2,625.00 = $525.00
Add-on cost = $61.43
Total cost deducted from retired pay if member died prior to May 1, 2010 = $586.43

Annuity amount if retiree died before May 1, 2010
$2,625.00 - $586.43 = $2,038.57 x 0.55 = $1,121.21 (rounded down to $1,121.00)

Annuity amount if retiree died on or after May 1, 2010
$2,625.00 - $525.00 = $2,100.00 x 0.55 = $1,155.00

Related Links:

RCSBP Overview
Enrollment
Stopping or changing coverage
Cost
 

Page last updated February 15, 2023