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<classification authority="sudocs">GA 1.13:GAO-01-622</classification>
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 <subject>Disability benefits</subject>
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 <subject>Severance pay</subject>
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<titleInfo>
 <title>DOD Disability: Overview of Compensation Program for Service Members Unfit for Duty</title>
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<abstract>This report provides information about the Deparment of Defense&apos;s
(DOD) disability severance program that provides a lump-sum	 
payment for certain service members with a disability. GAO found 
that the administration of disability severance, like medical	 
retirement pay, follows service-specific procedures using DOD	 
guidance. The services assess members&apos; fitness for duty along a  
scale ranging from 0 to 100 percent in gradations of 10. Members 
unfit for duty who have 20 or more years of military service with
any disability rating or who are assigned a disability rating of 
30 percent or higher receive medical retirement payment. In	 
contrast, the lump-sum disability severance payment is made to	 
members unfit for duty who have less than 20 years of military	 
service and who are assigned a disability rating less than 30	 
percent. In fiscal year 2000, the number of assessments resulting
in disability severance payment was more than double the number  
of assessments resulting in medical retirement. The services and 
DOD could not provide GAO with extant data on how much it costs  
to make disability decisions or issue payments or how long it	 
takes. DOD does not provide special financial counseling on the  
use of lump-sum payments for members separating with a disability
severance payment. Rather, as part of transition assistance to	 
civilian life, financial counseling is available to all members  
at family service centers or within members&apos; military units.</abstract>
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<identifier type="preferred citation">GAO-01-622</identifier>
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<subject>
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 <topic>Federal employee disability programs</topic>
 <topic>Severance pay</topic>
 <topic>Military disability retirement pay</topic>
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