What Is CRSC Disability? (Combat-Related Special Compensation Explained)

Combat-Related Special Compensation (CRSC)

Combat-Related Special Compensation (CRSC) is a program that gives tax-free payments to military retirees whose disabilities were caused by combat or other dangerous military activities. These payments were created to restore retirement pay that gets reduced when a veteran also receives VA disability compensation.

CRSC is meant to recognize the sacrifices veterans made in situations involving armed conflict, hazardous service, training that simulates war, or injuries caused by a weapon, vehicle, or other instrumentality of war. When approved, the payment can make a meaningful difference for veterans and their families—especially because it is not taxed and may include retroactive compensation.

Applying, however, can be frustrating. Veterans must show not only that they have a service-connected disability, but that the disability was combat-related, which is a higher and more specific standard. Many veterans feel overwhelmed trying to gather the right records and fill out the forms correctly. You do not have to navigate this alone.

How Much Does CRSC Pay?

CRSC payments vary from veteran to veteran. The amount you receive depends on:

  • Your VA disability rating for each combat-related condition

  • How long you served

  • Your retired pay calculation

  • How well your evidence shows that the disability was tied to a qualifying combat-related event

If you apply within six years of the VA’s rating decision for the disability, you may be eligible for up to six years of retroactive CRSC payments. That can result in a significant financial benefit.

One of the biggest advantages of CRSC is that the money is not taxable, unlike Concurrent Retirement and Disability Pay (CRDP).

If you are ready to apply—or if you suspect you may be missing out on compensation—our firm can walk you through the process and help you avoid common mistakes that lead to unnecessary delays or denials.

How Do You Qualify for CRSC Disability?

To qualify for CRSC, you generally must meet all of the following:

  1. You are a military retiree, usually with at least 20 years of service, or medically retired under Chapter 61.

  2. You have a VA disability rating of at least 10%.

  3. At least one of your disabilities was caused by a combat-related event, which includes:

    • Direct armed conflict

    • Hazardous duty

    • Training that simulates war

    • An instrumentality of war (e.g., military vehicles, weapons systems, explosions)

    • A disability for which you received the Purple Heart

A key point is this:
“Combat-related” is not the same as “service-connected.”
Many veterans have a service-connected disability that does not qualify for CRSC unless there is proof that the injury was tied to a combat-related category.

If the veteran applied for CRSC while alive, a surviving beneficiary may continue receiving the payments.

Because eligibility turns heavily on documentation and how the evidence is interpreted, having guidance during this process can save time and help prevent denials.

How to Apply for CRSC

To apply, veterans must submit:

  • DD Form 2860 (the CRSC application)

  • VA Rating Decision Letters

  • Relevant service and medical records

  • Deployment records or award citations

  • Any documents that show how the injury occurred

  • Evidence explaining how the disability is tied to a combat-related event

Many denials happen simply because the veteran didn’t include detailed evidence confirming the combat-related element—or the form was completed incorrectly.

This is where professional help can make a major difference.

Can a Lawyer Help Me Get CRSC Disability?

Yes. An attorney experienced in CRSC can help you:

  • Identify which conditions are likely to qualify

  • Gather evidence that clearly shows the combat-related connection

  • Prepare and submit DD Form 2860

  • Strengthen your explanation of how the injury occurred

  • Appeal a denial if your claim is rejected

  • Maximize your payment and retroactive eligibility

At Krause Law, we’ve spent more than two decades fighting for veterans who deserve better treatment from the systems created to support them. CRSC is one of the most valuable benefits available to military retirees with combat-related injuries, but too many veterans lose out because the process is confusing or their documentation falls short.

If you believe you qualify for CRSC—or if you were denied and want to appeal—contact our office at (612) 888-9567. We would be honored to review your case and help you pursue the compensation you earned.

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