A former spouse who meets the 10/10 rule (at least 10 years of creditable service overlapping 10 years of creditable military service, per 10 U.S. Code §1408(d)(2)) can apply for direct payment from DFAS of his/her portion from the division of military retirement (if Army, Navy, Air Force or Marines), at:

DFAS-Cleveland Center

DFAS-HGA-CL

PO Box 998002

Cleveland, Ohio 44199-8002

Fax:  877-622-5930 or 216-522-6960

Because military retirement is a federal entitlement, not a qualified pension plan, no Qualified Domestic Relations Order is required - simply send DFAS a DD Form 2293, Application for Former Spouse Payments from Retired Pay, together with a certified copy of the court order dividing the military retirement (certified within two years, per the DOD Financial Management Regulation, Volume 7B, Chapter 29, Section 290401).

Per the DOD Financial Management Regulation, Volume 7B, Chapter 29, the order should contain the following:

1. An indication that the servicemember's rights under the Servicemembers Civil Relief Act (formerly the SSCRA) were respected, if the dissolution was finalized while the servicemember was still on active duty (Section 290602),
2. An indication of the Colorado divorce court's jurisdiction over the servicemember (either residence, domicile, or consent to jurisdiction, including not contesting jurisdiction) (Section 290604),
3. The percentage share (or, less commonly, the dollar amount) awarded to the former spouse (Section 290601), and
4. The marriage date, and an indication that the 10/10 rule has been met (Section 290402).  This is a "best practice", and not a strict requirement. Failure to include this information in the order will mean the former spouse must submit additional documentation verifying 10/10 eligibility.

It will take about 90 days to receive the first payment. Upon receipt of the application, DFAS must first send the servicemember notice, and he/she then has 30 days to contest payment.

Creditable Service Defined

Creditable service means, for active duty, years of service for which the member was eligible for pay, except as specifically excluded.  10 U.S. Code §1405.  Excluded time, under 10 U.S. Code §972 includes time in AWOL status, time incarcerated, or time lost due to an injury caused by the member's misconduct.

Creditable service for a reservist is any year in which the member accrued at least 50 points.  10 U.S. Code §12732(2).  Simplistically, reservists get 15 points annually for being in the reserves, plus 1 point per day of actual service.

Moreover, if a spouse is married for at least 10 years overlapping military duty, it doesn't matter if those 10 years are all active, all reserve, or a combination of both, according to a 2008 ruling from the Defense Claims Board (link to opinion coming).

Maximum Payments from DFAS

The maximum portion of a retirement that DFAS will pay a former spouse as part of a property division is 50% of the servicemember's disposable retired pay. This does not prevent a Colorado divorce court from dividing the military retirement and awarding a former spouse more than half (theoretically possible, but never seen it happen).  Should a servicemember be in that unlucky situation, he/she will have to make up the difference between what DFAS pays directly and the divorce court's division of military retirement.

In cases where military pay is both awarded to a former spouse as a property division, and subject to garnishment for child support or maintenance, per the DOD Financial Management Regulation, Volume 7B, Chapter 29, Section 290901, the maximum DFAS will pay the former spouse directly is 65% of the retiree's disposable earnings calculated consistent with 42 U.S. Code §659 (not the same as disposable retired pay).

As with any judgment, should the amount DFAS pays the former spouse directly not be sufficient to cover the amount owed, the retiree is required to make up the difference between the amount DFAS paid out and the ordered amount.

Garnishing Military Retirement Arrears

DFAS will only pay the former spouse directly the present retirement payments which are due, not any arrears which may have been awarded.  DOD Financial Management Regulation, Volume 7B, Chapter 29, Section 290304.

More Information

DOD Financial Management Regulation, Volume 7B, Chapter 29, "Former Spouse Payments From Retired Pay".  This easy-to-read regulation, cited heavily in this article, sets out clearly what DFAS requires to pay the former spouse a share of the military retirement, and includes sample clauses and hypotheticals.