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Divorced military spouse retirement pay calculator Form: What You Should Know

The following changes have not yet been implemented: -The former spouse's disability compensation will be computed as a taxable fringe benefit, and may be taxed as such. —The former spouse's payment will increase on January 1 each year based on age, not the actual age. —In the case of a retired spouse's spouse who was born on or before January 1, 1972, the former spouse's payment will be increased by 1.4 percentage points, to account for the retired pay for the year (this will be the annual retired pay increase). The former spouse is also paid a taxable interest amount computed as part of the cost of the payment. No taxable interest is paid by the survivor if the payment is made in a lump sum. —In all cases, the former spouse's taxable interest will start from the first day of the first month the award is paid, not the first day of the month the award is awarded, as if the award had been made on the last day of the month it was awarded, even if the new month is a non-payroll day under Section 755(d)(2)(B)(i). For general information about Section 755, visit the U.S. Department of Labor's Wage and Hour Division Website:. U.S.

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