Garnishment of Military Pay & Retirement

When there is a court order for spousal or child support, those payments may be garnished from military pay, military retirement, and VA disability payments. And garnishments for child support or maintenance have priority over other judgments. 42 U.S. Code § 666(b)(7).

Garnishment Limitations

The maximum that the Defense Finance & Accounting Service (DFAS) will garnish, outlined in 5 C.F.R. § 581.402, is the following:

  • 50% if the member is providing more than half the support to other dependents not covered by the order.
  • 55% if the member is providing more than half the support to other dependents not covered by the order, but has a support arrearage.
  • 60% if the member is not providing more than half the support to other dependents not covered by the order.
  • 65% if the servicemember is not providing more than half the support to other dependents not covered by the order, but has a support arrearage.

Note that to garnish child support arrears from military retirement, the order must be certified, and less than two years old at the time DFAS receives it. DOD Financial Management Regulation, Vol. 7B, Chapter 29, Section 290401.A.

Note that these limitations are for all support orders. In case of multiple garnishments, DFAS will pay the beneficiaries pro rata, based upon the amount of each garnishment. As an example, consider if there were exactly $1000 available to garnish, but $2000 in withholding orders: $1200 to a former spouse, and $800 to children from a different relationship. The total garnishments are exactly twice the amount available, so each award is cut in half, with the former spouse receiving $600 and the children receiving $400.

Garnishing Military Pay

Military pay may be garnished for child support or maintenance. 42 U.S. Code § 659. There is no specific form required to withhold support from military pay, but the withholding order must meet certain requirements. The standard Colorado Notice to Withhold Income meets such requirements.

Though Colorado requires income assignment to be served by certified mail, DFAS will accept a faxed Notice to Withhold Income at (877) 622-5930, as long as the body of the fax contains the member’s SSN. The best practice is to follow the DFAS Checklist for faxing a support order.

And, of course, it can be mailed to:

DFAS Garnishment Law Directorate
P.O. Box 998002
Cleveland OH 44199-8002

The military pay subject to garnishment has several exceptions which are listed in 5 C.F.R. § 581.104, including BAS, BAH, travel allowances. For most military members, that leaves just base pay as the starting point for garnishment. Furthermore, pursuant to 5 C.F.R. § 581.105, there are also certain exclusions from the pay subject to garnishment, such as money owed to the United States, taxes, health insurance premiums, life insurance premiums, and normal retirement contributions.

Garnishing Military Retirement

To garnish income for child support or maintenance from a retired member, send DFAS a certified copy of the support order and a DD Form 2293, Application for Former Spouse Payments from Retired Pay. This is the same form that a former spouse would use to apply for a share of the military retirement as a property division.

The share of a military retirement awarded to a former spouse cannot itself be garnished for any reason, including payment of child support or maintenance DOD Financial Management Regulation, Volume 7B, Chapter 29, Section 290903. Should you have a client in a situation where a former spouse receiving direct military retirement payments owes child support obligation back to the retiree which she is not paying, you would need to garnish other sources of income. If she has no alternative income, DFAS will honor a state court order changing the amount of retirement she can receive - so you could ask the domestic relations judge which ordered the retirement divided to reduce the former spouse’s share by the amount of support the former spouse owes back to the member.

Garnishing VA Disability Payments

If a veteran is eligible to receive military retired pay and waives a portion of it in return for VA Disability payments, under the Social Security Act those payments are subject to garnishment for child support and maintenance. 42 U.S. Code § 659(h)(1)(A)(v). Note this caveat, however - payments to a member without a VA waiver (i.e. a veteran who did not retire, or a retiree with a disability rating of 50% or higher) are not subject to garnishment.

To determine whether the VA payments are subject to garnishment, and to arrange for garnishment, contact the VA Regional Office which pays the obligor's benefits. Call (800) 527-1000 to determine the appropriate VA office.

The process is not simple, and involves contacting the VA Regional Office for an apportionment application, then completing a VA Form 21-4138, Statement in Support of Claim, and sending it in with a copy of the current support order and any other pertinent documents.

In Colorado, the VA contact information is:

155 Van Gordon Street
Lakewood, CO 80228
Phone: 800-827-1000

Combat-Related Special Compensation (CRSC)

CRSC payments are also subject to garnishment. DOD Financial Management Regulation, Volume 7B, Chapter 63, Section 630101.C.2.

More Information

Garnishment, from DFAS.

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Carl O. Graham