DFAS HELPFUL TIPS & TOOLS
FOR RETIREES NEW TO RETIRED PAY
Pay Schedule
Retired pay is paid monthly, on the first day
of the month, unless that day is a weekend or
holiday. In that case, it is paid on the last
business day of the prior month. For example, if
May 1 is a Sunday, payday will be Friday, April
29.
https://www.dfas.mil/rapaycal
Our goal is to pay your first retired pay on
the first business day of month following your
retirement date. However, we can only do
that if we receive a complete retirement
package, including a correct, signed DD Form
2656.
Retiree Account Statements
You are used to seeing a Leave and Earnings
Statement (LES) when it’s (almost) payday.
Once you begin receiving retired pay, you will
see a Retiree Account Statement (RAS),
which is the equivalent of an LES for those
receiving military retired pay.
Your Retiree Account Statements will be
available to view and download from myPay
when your first retired pay is issued and then
each month a few days prior to payday.
When your retired pay account is established
initially, and your first payment issued, DFAS
will mail you a welcome letter with a breakdown
of your pay and deductions. However,
depending on your first pay date, you may see
your pay deposited in your bank account before
your postal mail letter gets there. You may also
see your first RAS in myPay before you get your
postal mail letter.
After that first RAS, if you set the
preferences in your account to receive
statements via postal mail, you will only receive
will also receive a mailed RAS each January with
your tax statement. However, your pay
statements are available each month in
myPay to view and download.
Tax Statements
After you start receiving retired pay, your
instead of a W-2. Your annual 1099-R will be
usually in mid-to-late December.
If you have the preferences in your account
set to receive statements via postal mail, those
statements are mailed no later than January 31
of each year, along with your December RAS.
Military Retired Pay Taxation Tips
Military retired pay is paid for many different
reasons under many different laws. There are
differences in the types of pay a military retiree
might receive and the tax laws that apply to
them. Whether a portion or all of an individual’s
military retired pay is subject to federal income
taxes depends on his/her individual
circumstances.
A military retiree can either use myPay or
send an IRS Form W-4 to change the amount
DFAS withholds for federal income taxes from
their military retired pay.
An individual’s choice to have no withholding
for federal taxes does not impact whether the
individual’s military retired pay is actually
subject to federal income taxes. Ultimately, the
IRS will determine the amount of taxes owed on
the military retired pay.
Please note: the IRS requires any individual
claiming exemption from federal withholding to
provide a new Form W-4 at the beginning of
each tax year certifying their exemption from
withholding.
DFAS cannot provide tax advice. Please
consult a tax professional or the IRS.
Please see our webpage regarding taxation of
retired pay:
https://www.dfas.mil/retpaytax
Apr2023