What is military separation pay?

Question

Justin Parker · Accepted Answer

Military separation pay is a form of severance pay that the military provides to eligible military members who are prevented from completing their full term of active duty service through no fault of their own. This type of compensation is to help military service members who are forced to reacclimate to civilian life.

Here is some helpful information concerning military separation pay:

To be eligible for this compensation package a service member must have completed at least six years of active duty service
A service member must also have received an honorable discharge or a general discharge that is deemed to be under honorable conditions
The amount of military separation pay depends on the following factors - length of active duty service, rank, pay grade, and the reason for the separation

Military separation pay is normally provided to military service members as one lump sum, rather than being broken down into smaller incremental payments. However, there are some instances where the latter method is employed. Most service members that are eligible for military separation pay are also eligible for other benefits, such as: