Homepage Blank DD 2656 Form
Contents

The DD 2656 form, also known as the Data for Payment of Retired Personnel, plays a crucial role in the life of military retirees and their beneficiaries. This form serves multiple purposes, ranging from setting up payment accounts to identifying beneficiaries for a wide array of benefits. When a service member retires, completing the DD 2656 is essential for ensuring that the retiree receives their retirement pay in a timely manner. It collects important information about the retiree, such as their contact details, marital status, and the identities of any dependents. Additionally, the form includes provisions for health benefits and insurance coverage, ultimately influencing the financial security of retirees and their families. Understanding how to correctly fill out this form, including the implications of each section, is vital for those transitioning from military service to civilian life. Given the nuances involved, it’s important to approach the DD 2656 form with care to facilitate a smooth and efficient retirement process.

Sample - DD 2656 Form

If Yes, Attach Page
DATA FOR PAYMENT OF RETIRED PERSONNEL
OMB No. 0704-0569
OMB approval expires:
20230731
The public reporting burden for this collection of information, 0704-0569, is estimated to average 15 minutes per response, including the time for reviewing instructions, searching existing data sources, gathering and
maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or burden reduction suggestions to the Department of Defense, Washington
Headquarters Services, at [email protected]. Respondents should be aware that notwithstanding any other provision of law, no person shall be subject to any penalty for
failing to comply with a collection of information if it does not display a currently valid OMB control number.
AUTHORITY: 10 U.S.C. 71, Computation of Retired Pay; 10 U.S.C. 73, Annuities Based On Retired Or Retainer Pay; DoD Instruction 1332.42, Survivor Annuity
Program Administration; and DoD Financial Management Regulation, 7000.14-R, Volume 7B, Chapter 42.
PRINCIPAL PURPOSE(S): To collect information needed to establish a retired/retainer pay account, including designation of beneficiaries for unpaid retired pay,
state tax withholding election, information on dependents, and to establish a Survivor Benefit Plan election.
ROUTINE USE(S): To the Department of Veterans Affairs (DVA) regarding establishments, changes and discontinuing of DVA compensation to retirees and
annuitants. To former spouses for purposes of providing information, consistent with the requirements of 10 U.S.C. 1450(f)(3), regarding Survivor Benefit Plan
coverage. To spouses for purposes of providing information, consistent with the requirements of 10 U.S.C. 1448(a), regarding Survivor Benefit Plan coverage.
Additional routine uses are available in the applicable system of records notice T7347b, Defense Military Retiree and Annuity Pay System Records, available at:
http://dpcld.defense.gov/Privacy/SORNsIndex/DOD-wide-SORN-Article-View/Article/570196/t7347b/
DISCLOSURE: Voluntary; however, failure to provide requested information will result in delays in initiating retired/retainer pay.
WARNING
Read the instructions at the end of this form in their entirety prior to completing.
PART I - RETIRED PAY INFORMATION
SECTION I - PAY IDENTIFICATION
1. NAME
(Last, First, Middle Initial) 2. SSN
3. DATE OF BIRTH
(YYYYMMDD)
4. RETIREMENT / TRANSFER
DATE (YYYYMMDD)
5. RANK / PAYGRADE 6. BRANCH OF SERVICE
a. AIR FORCE b. ARMY c. NAVY d. MARINE CORPS e. COAST GUARD
7. MEMBER OR FORMER MEMBER OF THE
a. ACTIVE COMPONENT
b. RESERVE COMPONENT
(all members of the Reserves and
National Guard including Active Guard/
Reserve and Full-Time Support)
8. PARTICIPANT IN THE FOLLOWING RETIREMENT PLAN (See instructions, check only one)
a. FINAL PAY
(only those members who first joined the service prior to September 8, 1980)
b. HIGH-3 (also known as the "High 36")
c. CSB/REDUX (only members who elected the Career Status Bonus upon completion of 15 years of service)
d. BLENDED RETIREMENT SYSTEM (BRS)
e. DISABILITY
9. CORRESPONDENCE ADDRESS (Ensure DFAS - Cleveland Center is advised whenever your correspondence address changes.)
a. STREET (Include apartment number)
b. CITY c. STATE d. ZIP CODE
e. TELEPHONE
(Incl. area code) f. EMAIL ADDRESS g. PREFERRED CONTACT METHOD
(check one)
TELEPHONE EMAIL
SECTION II - DIRECT DEPOSIT / ELECTRONIC FUND TRANSFER (DD/EFT) INFORMATION (See Instructions)
ACTIVE DUTY ONLY: Check here if you want to continue using financial information currently on file, otherwise fill out Items 10 through 13)
10. ACCOUNT TYPE
(Check one)
CHECKING SAVINGS
11. ROUTING NUMBER (See Instructions) 12. ACCOUNT NUMBER (See Instructions)
13. FINANCIAL INSTITUTION
a. NAME
b. STREET (Include apartment number)
c. CITY d. STATE e. ZIP CODE
SECTION III - SEPARATION PAYMENT INFORMATION
14. a. PAYMENT TYPE RECEIVED
(Check one)
NONE SEVERANCE PAY (SE) READJUSTMENT PAY (RP) SEPARATION PAY (SP)
VOLUNTARY SEPARATION INCENTIVE (VSI) SPECIAL SEPARATION BONUS (SSB) OTHER
b. GROSS AMOUNT
NOTE: If any payment type was selected, attach a COPY OF THE ORDERS which authorized the payment and a COPY OF THE DD FORM 214.
List Of Attachments
with Explanation
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DD FORM 2656, OCT 2018
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MEMBER NAME (Last, First, Middle Initial) SSN
SECTION IV - VETERANS AFFAIRS (VA) DISABILITY COMPENSATION INFORMATION
15. VA DISABILITY COMPENSATION
a. IN THE EVENT I AM AWARDED DISABILITY
COMPENSATION BY THE VA, I WILL NOTIFY
DFAS OF THE AMOUNT OF ANY AWARD, AS IT
MAY IMPACT MY RETIRED PAY BENEFIT.
Agree
b. HAVE YOU APPLIED FOR OR ARE
YOU RECEIVING VA COMPENSATION
FOR A DISABILITY?
Yes No
c. EFFECTIVE DATE OF
PAYMENT
(YYYYMMDD)
d. MONTHLY AMOUNT
OF PAYMENT
SECTION V - DESIGNATION OF BENEFICIARIES FOR UNPAID RETIRED PAY (See Instructions)
Check this box if you want to designate your spouse as 100% beneficiary of any unpaid retired pay upon death OR complete Item 16
16. BENEFICIARY OR BENEFICIARIES INFORMATION
Complete this section if you want to designate a beneficiary or beneficiaries to receive any unpaid retired pay you are due at death.
If you do not complete this section OR check the block above, it will cause significant delay in disbursement of remaining pay upon your death.
a. NAME (Last, First, Middle Initial) b. SSN c. ADDRESS (Street, City, State, ZIP Code) d. RELATIONSHIP e. SHARE
(1) %
(2) %
(3) %
SECTION VI - FEDERAL INCOME TAX WITHHOLDING INFORMATION (Submit information in Items 17 – 21 in lieu of IRS Form W-4 for tax purposes.)
17. MARITAL STATUS (Check one)
SINGLE MARRIED
MARRIED BUT WITHHOLD
AT HIGHER SINGLE RATE
18. TOTAL NUMBER OF
EXEMPTIONS CLAIMED
19. ADDITIONAL
WITHHOLDING (Optional)
20. I CLAIM EXEMPTION
FROM WITHHOLDING
(Enter "EXEMPT")
21. ARE YOU A
UNITED STATES
CITIZEN?
Yes
No (See Instructions)
SECTION VII - VOLUNTARY STATE TAX WITHHOLDING INFORMATION (Complete only if monthly withholding is desired.)
22. STATE DESIGNATED
TO RECEIVE TAX
23. MONTHLY AMOUNT
(Whole dollar amount not less
than $10.00)
24. RESIDENCE ADDRESS (If different from address listed in Block 9)
a. STREET (Include apartment number)
b. CITY
c. STATE d. ZIP CODE
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MEMBER NAME (Last, First, Middle Initial) SSN
DO NOT COMPLETE PART II,
If you are not covered by the BLENDED RETIREMENT SYSTEM or do not want to elect a lump sum of retired pay
PART II - LUMP SUM ELECTION
This election must be made NO LATER THAN 90 days prior to the date in Part I, Section I, Item 4, in accordance with 10 U.S.C. §1415
For example, if the date in Block 4 is June 1, 2018, the date in Block 28b must be on or before March 3, 2018
SECTION VIII - BLENDED RETIREMENT SYSTEM LUMP SUM ELECTION
Members covered by the Blended Retirement System may, upon retirement (regular retirement), or upon reaching the age of eligibility to receive retired pay
(non-regular retirement) elect to receive a portion of his or her retired pay as a lump sum. The lump sum is a discounted present value of a portion of that
member’s retired pay; not the same amount that would be received otherwise. It is highly recommended that you consult with a financial counselor before
electing a lump sum of retired pay.
25. LUMP SUM PERCENTAGE
(Check one only, if electing to receive a LUMP SUM; if no choice is indicated you will
default to receiving your full retired pay on a monthly basis)
a. I elect to receive a 25 PERCENT lump sum that is a discounted
portion of my retired pay for the period from when I am eligible to begin
receiving retired pay until I reach full social security retirement age.
b. I elect to receive a 50 PERCENT lump sum that is a discounted
portion of my retired pay for the period from when I am eligible to begin
receiving retired pay until I reach full social security retirement age.
26. LUMP SUM PAYMENTS
(Check one only. Complete Block 26 only, if electing a LUMP SUM in Block 25)
I ELECT TO RECEIVE THE LUMP SUM IN
a. ONE INSTALLMENT
b. TWO EQUAL ANNUAL INSTALLMENTS
c. THREE EQUAL ANNUAL INSTALLMENTS
d. FOUR EQUAL ANNUAL INSTALLMENTS
27. LUMP SUM CONSIDERATIONS (Read the following carefully before signing in Block 28.)
You are only eligible to elect a lump sum if you are qualified for a Regular or Non-Regular retirement under the Blended Retirement System.
If you are retiring with a disability retirement under 10 U.S.C., Chapter 61, you are not eligible to elect a lump sum.
A lump sum election must be made NO LATER THAN 90 days prior to the date of your retirement (for Regular Retirement) or 90 days
prior to the date you are eligible to begin receiving retired pay (for Non-Regular Retirement), as indicated in Part I, Section I, Block 4.
You may elect to receive either a 25 percent or 50 percent discounted portion of your future estimated retired pay as a discounted lump
sum in exchange for reduced monthly retired pay until you reach your full Social Security Retirement Age.
As a result of electing a lump sum, your monthly retired pay will be reduced to either 75 or 50 percent of its normal amount depending on
whether you elect to receive 25 or 50 percent. At Full Social Security Retirement Age, your monthly retired pay will be restored to its full
amount.
The discount rate used to calculate your lump sum is the rate published by the Department of Defense in June of the year prior to the
year of your retirement or year you first become eligible for retired pay, based on the date in Part I, Section I, Block 4.
A lump sum payment is earned income for purposes of Federal Income Tax – receipt of it may have significant tax implications.
The amount of the lump sum is based on your calculated military retired pay, the discount rate in effect for the year in which you retire or
become eligible to begin receiving retired pay, and the remaining amount of time until you reach full Social Security Retirement Age.
Once distributed, you do not have the ability to seek review of or challenge the amount of the lump sum with regard to any assumptions
or factors used to compute the amount of the lump sum.
Survivor Benefit Plan premiums (Part III) will still be deducted from your remaining monthly retired pay should you elect the lump sum.
The premiums and your beneficiary’s coverage will be based on the unreduced amount of your monthly retired pay, as if you had not
elected a lump sum, unless you indicate otherwise in Block 35 of Part III.
If you expect to receive a disability rating from the Department of Veterans Affairs, dependent upon your rating, your ability to receive
disability compensation could be affected by the lump sum.
It is important to understand that a lifetime of full monthly payments will most likely be worth more than the lump sum with reduced
monthly retired pay. It is highly recommended that you consult with a financial counselor before electing a lump sum of retired pay.
COMPARE YOUR ESTIMATED RETIREMENT BENEFITS WITH OR WITHOUT THE LUMP SUM:
http://militarypay.defense.gov/Calculators/
28. LUMP SUM ACKNOWLEDGEMENT
By signing below, I am indicating that I am aware that I am electing to receive a discounted portion of my retired pay as a lump sum, and that
this lump sum will likely be less than I would have received if I had not elected to receive it. I am aware that there are resources available to
assist me in making this decision, and that I have reviewed a comparison of my retirement benefits with and without a lump sum. I am also
aware that once accepted, I may not seek review of, or otherwise challenge the amount of the lump sum, particularly in regard to deviations
from future cost of living adjustments, actuarial assumptions, or other factors used in computing this amount.
a. MEMBER SIGNATURE (Sign only if electing a lump sum in Block 25) b. DATE SIGNED (YYYYMMDD)
DD FORM 2656, OCT 2018
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MEMBER NAME (Last, First, Middle Initial) SSN
PART III - SURVIVOR BENEFIT PLAN
SECTION IX - DEPENDENCY INFORMATION (This section must be completed regardless of SBP Election.)
29. SPOUSE
a. NAME (Last, First, Middle Initial) b. SSN
c. DATE OF BIRTH
(YYYYMMDD)
30. DATE OF MARRIAGE (YYYYMMDD)
31. PLACE OF MARRIAGE (See Instructions)
32. DEPENDENT CHILDREN
Indicate which child or children resulted from marriage to a former spouse by entering (FS) after relationship in column d.
Add rows or continue on separate paper if necessary.
a. NAME (Last, First, Middle Initial) b. SSN
c. DATE OF BIRTH
(YYYYMMDD)
d. RELATIONSHIP
(Son, daughter, stepson, etc.)
e. DISABLED?
(1) Yes No
(2) Yes No
(3) Yes No
SECTION X - SURVIVOR BENEFIT PLAN (SBP) ELECTION (You should consult a Survivor Benefit Plan counselor before making an election.)
If you make no election, maximum coverage will be established for your spouse and/or eligible dependent children
33. RESERVE COMPONENT ONLY
(This section refers to the decision you previously made on the DD Form 2656-5 when you were notified of eligibility to retire,
in most cases you do not have the right to make a new election on this form)
Reserve/National Guard members who achieve 20 qualifying years of service make the election to participate in the Reserve Component (RC) SBP on DD
Form 2656-5 within 90 days of being notified of eligibility for a non-regular retirement not when applying for retired pay, unless that member previously
elected to defer coverage. You must indicate your previous election in Block 33a through 33c before proceeding to Block 34. If you previously elected
Option B or Option C, DO NOT enter an election in Block 34. (Check only one in Block 33a. through 33c.)
OPTION A - Previously declined to make an election until eligible to receive retired pay (Proceed to Block 34 to make election)
OPTION B - Previously elected coverage to begin at age 60 (Do not make an election in Block 34, you have already elected coverage.)
OPTION C - Previously elected or defaulted to immediate RC-SBP Coverage (Do not make an election in Block 34, you have already elected coverage.)
NOTE: If you were married at the time you were notified of eligibility for non-regular retirement and did not complete DD Form 2656-5,
you defaulted to full coverage under OPTION C – do not make an election in Block 34
Marital status has changed since your initial election to participate in RC-SBP.
Yes No
If Yes, Attach Page with Explanation
34. SBP BENEFICIARY CATEGORIES (Check one only. See Instructions and Section X.)
a. I ELECT COVERAGE FOR SPOUSE ONLY
I have Dependent Child(ren)
Yes
No
b. I ELECT COVERAGE FOR SPOUSE AND CHILD(REN)
c. I ELECT COVERAGE FOR CHILD(REN) ONLY
I have a Spouse
Yes
No
d. I ELECT COVERAGE FOR THE PERSON NAMED IN BLOCK 37 WHO HAS AN INSURABLE INTEREST IN ME (See Instructions)
e. I ELECT COVERAGE FOR MY FORMER SPOUSE INDICATED IN BLOCK 38 (See Instructions)
Complete DD 2656-1, "Survivor Benefit Plan (SBP) Election Statement for Former Spouse Coverage"
f. I ELECT COVERAGE FOR MY FORMER SPOUSE AND DEPENDENT CHILD(REN) OF THAT MARRIAGE
g. I ELECT NOT TO PARTICIPATE IN SBP
I have eligible dependents under the plan.
If ‘Yes’, spouse concurrence is required in Part V.
Yes
No
35. SBP LEVEL OF COVERAGE (Check one only. Complete UNLESS Option B or Option C was selected in 33 OR Check Box 34 d or 34 g was selected. See Instructions.)
a. I ELECT COVERAGE BASED ON FULL GROSS PAY
(If I elected the Career Status Bonus under REDUX or a lump sum of retired pay under the Blended Retirement System (Part II), full gross pay is the amount of retired pay
I would have received had I NOT elected the Career Status Bonus or Lump Sum.)
b. I ELECT COVERAGE WITH A REDUCED BASE AMOUNT OF
(Spouse concurrence is required in Part V)
$
c. CSB /REDUX MEMBERS ONLY
I elect coverage based on my actual Reduced Retired Pay Under REDUX.
I understand that this represents a Reduced Base Amount and requires Spouse Concurrence. (See Instructions)
d. I ELECT COVERAGE BASED ON THE THRESHOLD AMOUNT IN EFFECT ON THE DATE OF RETIREMENT.
(Spouse concurrence is required in Part V)
DD FORM 2656, OCT 2018
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MEMBER NAME (Last, First, Middle Initial) SSN
36. SPECIAL NEEDS TRUST
(Check only if you intend to designate a special needs trust (SNT) as beneficiary for a child/children designated in Item 32e. as disabled.
You must elect either 34b., 34c., or 34f. to be eligible to designate an SNT. See DoDI 1332.42 for procedures for designating an SNT.)
I INTEND TO DESIGNATE AN SNT AS BENEFICIARY FOR THE CHILD OR CHILDREN DESIGNATED AS DISABLED IN BLOCK 32.
(It is your responsibility to separately submit a written statement of the decision to have the annuity paid to the SNT, an attorney’s certification of that SNT,
and the name and tax identification number for the SNT)
37. INSURABLE INTEREST BENEFICIARY (See instructions prior to completing this section - DO NOT complete if you have an ELIGIBLE SPOUSE or FORMER SPOUSE)
a. NAME (Last, First, Middle Initial) b. SSN
c. DATE OF BIRTH
(YYYYMMDD)
d. RELATIONSHIP
e. STREET (Include apartment number)
f. CITY g. STATE h. ZIP CODE
i. TELEPHONE
(Incl. area code) j. EMAIL ADDRESS
38. FORMER SPOUSE INFORMATION
(Complete only if you have a former spouse)
a. NAME (Last, First, Middle Initial) b. SSN
c. DATE OF BIRTH
(YYYYMMDD)
d. DATE OF DIVORCE
(YYYYMMDD)
e. TELEPHONE (Incl. area code) f. EMAIL ADDRESS
PART IV – CERTIFICATION
SECTION XI - CERTIFICATION
39. MEMBER
Under penalties of perjury, I certify that the number of withholding exemptions claimed does not exceed the number to which I am entitled, and that all
statements on this form are made with full knowledge of the penalties for making false statements (18 U.S.C. §287 and §1001) provide for a penalty of
not more than $10,000 fine, or 5 years in prison, or both). Also, I understand that if I elected less than full SBP coverage for my spouse, I will need my
spouse’s notarized concurrence signed no earlier than the date of my signature and prior to the date of my retirement; otherwise, by law, I will
automatically be covered at the maximum spouse coverage.
a. NAME
(Last, First, Middle Initial)
b. SIGNATURE
c. DATE SIGNED
(YYYYMMDD)
40. WITNESS
a. NAME (Last, First, Middle Initial)
b. SIGNATURE
c. DATE SIGNED
(YYYYMMDD)
d. UNIT OR ORGANIZATION ADDRESS (Include room number) e. CITY/BASE OR POST f. STATE g. ZIP CODE
PART V – SPOUSE SBP CONCURRENCE
Required ONLY when the member is married and elects either: (a) child only SBP coverage, (b) does not elect full spouse SBP coverage; or (c) declines
SBP coverage. The date of the spouse's signature in Block 41c MUST NOT be before the date of the member's signature in Block 39c, or on or after the
date of retirement listed in Part I, Section I, Block 4. The spouse's signature MUST be notarized.
SECTION XII - SBP SPOUSE CONCURRENCE
41. SPOUSE
I hereby concur with the Survivor Benefit Plan election made by my spouse. I have received information that explains the options available and the
effects of those options. I know that retired pay stops on the day the retiree dies. I have signed this statement of my free will.
a. NAME
(Last, First, Middle Initial)
b. SIGNATURE
c. DATE SIGNED
(YYYYMMDD)
42. NOTARY WITNESS
NOTARY SEAL
On this day of , 20 , before me, the undersigned notary public, personally
appeared (Name of Spouse in Block 41a.)
provided to me through satisfactory evidence of identification, which were ,
to be the person whose name is signed in block 41.a. of this document in my presence.
Signature of Notary My Commission Expires
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INSTRUCTIONS
GENERAL
1. Read these instructions and Privacy Act Statement carefully before completing the data form.
2. The Defense Finance and Accounting Service (DFAS)-Cleveland will establish your retired/retainer pay account based on the data provided on this form and
your retirement/transfer orders. Your personnel office, disbursing/finance office, and SBP Counselor will assist you in the proper completion and submission of
this form. You should maintain these instructions along with a copy of the form as a permanent record. Please complete the form electronically or by typing or
printing in ink.
3. Ensure that you promptly advise DFAS-Cleveland of changes to your marital/family status and any changes to your correspondence address or direct deposit
information. Gray Area retirees should contact their Reserve Component directly to report changes. Retired members of the Coast Guard should contact the
Coast Guard Pay and Personnel Center.
4. If completed electronically, this form automatically disables certain fields based on information you entered. If one of the items listed below does not appear on
the form, it is due to information you previously entered that indicates this item is not applicable to you.
PART I - RETIRED PAY INFORMATION
SECTION III - SEPARATION PAYMENT INFORMATION.
SECTION I - PAY IDENTIFICATION.
ITEM 14. Indicate in 14.a if you previously received separation or severance
ITEMS 1 through 3. Self-explanatory.
pay. If you mark one of the boxes in 14.a, complete 14.b by entering the gross
amount for Severance, Separation and Special Separation Bonus payments
ITEM 4. If you are retiring from active duty, enter the date you will transfer to
the Fleet Reserve or date of retirement. If you are a Reserve/National Guard
member qualified to retire under 10 U.S. Code, Chapter 1223, enter either the
and the annual installment gross amount for Voluntary Separation Incentive
payments. Attach a copy of the orders that authorized the payment and a copy
of previous DD Form 214.
date of your 60th birthday or, a later date on which you desire to begin
receiving retired pay. If you are eligible for reduced age retirement earlier than
SECTION IV - VA DISABILITY COMPENSATION.
your 60th birthday, you will need to enter that date.
ITEM 15. All retirees must read and acknowledge Item 15.a. Note that if you
ITEMS 5 and 6. Self-explanatory.
later apply for and are awarded VA disability compensation, you must notify
DFAS of the amount of the award. Indicate in Item 15.b if you are currently, or
ITEM 7. Indicate whether you are (or were) a member of the Active
Component (Regular Component) or a member of the Reserve Component.
have previously, received VA disability compensation. If you mark YES in
15.b, complete 15.c, and 15.d.
The Reserve Component includes all reserve and National Guard members,
including full-time reservists on active duty, such as Active Guard/Reserves
(AGR) and Full-Time Support (FTS).
SECTION V - DESIGNATION OF BENEFICIARIES FOR UNPAID RETIRED
PAY.
ITEM 8. Indicate which retirement plan covers you:
If your Date of Initial Entry into Military Service (DIEMS) is prior to
September 8, 1980, you should enter “Final Pay” UNLESS you elected to
opt into the Blended Retirement System.
If your DIEMS is on or after September 8, 1980, but before January 1, 2018,
you should enter “High-3” UNLESS you elected to participate in the CSB/
REDUX retirement plan or the Blended Retirement System (BRS).
If your DIEMS is on or after August 1, 1986, AND you elected to receive the
Career Status Bonus (CSB) upon completion of 15 years of service, you
should enter “CSB/REDUX.”
If you elected to opt into the Blended Retirement System, OR your DIEMS is
on or after January 1, 2018, you should enter “Blended Retirement System.”
If you are retiring with a disability retirement, regardless of your DIEMS enter
“Disability.”
ITEM 16. Upon your death, 10 U.S.C. §2771 provides that any pay due and
unpaid will be paid to the surviving person highest on the following list: (1)
beneficiary(ies) designated in writing; (2) your spouse; (3) your children and
their descendants, by representation; (4) your parents in equal parts, or if either
is dead, the survivor; (5) the legal representative of your estate, and (6)
person(s) entitled under the law of your domicile. You may choose to designate
your spouse as the primary beneficiary for 100% of your unpaid retired pay by
checking the box directly below “Section V” and leaving blocks 16.a through
16.e blank. If you choose to designate a different beneficiary or beneficiaries,
you must complete Items 16.a through 16.e. If you designate multiple
beneficiaries, you can either provide a SHARE percentage to be paid to each
person or leave the SHARE percentage blank. If you leave the SHARE
percentage blank, any retired pay you are owed when you die will be divided
equally among your designated beneficiaries. If you list more than one person
with a 100% SHARE, the beneficiaries will be paid in the order as you list them
ITEM 9. Self-explanatory.
on the form. If, for example, you designate two beneficiaries, then the SHARE
percentage must either be 100% for each beneficiary, or the SHARE
SECTION II - DIRECT DEPOSIT/ELECTRONIC FUND TRANSFER
INFORMATION.
percentages when added together must equal 100%. If you designate more
than one person, and the total percentage designated is greater than 100%,
the person listed first is considered the primary beneficiary. If you check the
ITEMS 10 through 13. Enter the routing and account information for your
bank or financial institution. Indicate whether your account is (S) for Savings or
box designating your spouse as 100% beneficiary, that election will take
precedence over any designation made in Item 16a through 16e.
(C) for Checking account in Item 10. Also, provide the nine digit Routing
Transit Number (RTN) of your financial institution in Item 11, your account
number in Item 12, and your financial institution name and address in Item 13.
This section must be completed. Your net retired/retainer pay must be sent to
your financial institution by direct deposit/electronic fund transfer (DD/EFT).
If you do not designate a beneficiary or beneficiaries in Item 16, or all
designated beneficiaries have died before the date of your death, any unpaid
retired pay will be paid to the living person or persons in the highest category of
beneficiary listed above, as required by law.
ACTIVE COMPONENT RETIREES ONLY: If you are directing your retired pay
to the same account number and financial institution to which you directed your
active duty pay, check the box immediately below “Section II”. If you have a
copy of the Direct Deposit Authorization form used to establish your DD/EFT
for your active duty pay, attach a copy to this form.
SECTION VI - FEDERAL INCOME TAX WITHHOLDING INFORMATION.
Complete this section after determining your allowed exemptions with the aid of
your disbursing/finance office, or from the instructions available on IRS Form
W-4, or other available IRS publications. Leave Items 17 through 19 blank if
completing Item 20.
ITEM 17. Mark the status you desire to claim.
DD FORM 2656 INSTRUCTIONS, OCT 2018
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AEM LiveCycle Designer
ITEM 18. Enter the number of exemptions claimed.
ITEM 19. Enter the dollar amount of additional Federal income tax you desire
withheld from each month's pay. Leave blank if you do not desire additional
withholding.
ITEM 20. Enter the word "EXEMPT" in this item only if you meet all the
following criteria: (1) you had no Federal income tax liability in the prior year;
(2) you anticipate no Federal income tax liability this year; and (3) you therefore
desire no Federal income tax to be withheld from your retired/retainer pay.
NOTE: You must file a new exemption claim form with DFAS - Cleveland by
February 15th of each year for which you claim exemption from withholding.
ITEM 21. If you are not a U.S. citizen, provide, on an additional sheet, a list of
all periods of ACTIVE DUTY served in the continental U.S., Alaska, and
Hawaii. Indicate periods of service by year and month only. List only service at
shore activities; do not report service aboard a ship.
For example:
FROM (Year/Month) DUTY STATION TO (Year/Month)
1994/02 NAVSTA, Norfolk, VA 1995/01
NOTE: This information may affect the portion of retired/retainer pay which is
taxable in accordance with the Internal Revenue Code if you maintain a
permanent residence outside the U.S., Alaska, or Hawaii.
SECTION VII - VOLUNTARY STATE TAX WITHHOLDING.
Complete this section only if you want monthly state tax withholding. If you
choose not to have a monthly deduction, you remain liable for state taxes, if
applicable.
ITEM 22. Enter the name of the state for which you desire state tax withheld.
ITEM 23. Enter the dollar amount you want deducted from your monthly retired/
retainer pay. This amount must not be less than $10.00 and in whole dollars
(Example: $50.00, not $50.25).
ITEM 24. Enter only if different from the address in Item 9.
PART II - LUMP SUM ELECTION.
OPTIONAL. Only complete Part II if you are:
Covered under the Blended Retirement System; AND,
Want to elect a partial lump sum of retired pay
If you are not covered under the Blended Retirement System or do NOT want
to elect a partial lump sum, proceed to PART III of the form.
SECTION VIII - BLENDED RETIREMENT SYSTEM LUMP SUM ELECTION.
ITEM 25. Indicate in Item 25.a OR 25.b whether you intend to receive a 25
percent or 50 percent lump sum of retired pay.
ITEM 26. If indicating in Item 25.a or 25.b that you desire to receive a lump
sum of retired pay, indicate in 26.a through 26.d whether you would like that in
one payment or a series of equal, annual installments over 2, 3, or 4 years.
ITEM 27. Before signing in Item 28, you must read the considerations listed in
Item 27. You are highly encouraged to review your options with a financial
professional and compare your estimated retirement benefits with or without a
lump sum using the online calculator located at
http://militarypay.defense.gov/calculators/BRS.
ITEM 28. If you mark Items 25 and Items 26, you must sign in the block at
28.a, and indicate the date you are signing in 28.b. The date in 28.b must be
at least 90 days prior to the date of your retirement or the date you transfer to
the Fleet Reserve (shown in Item 4, this is also the same date indicated on
your DD 108 request for retirement). If you are a Reserve/National Guard
member qualified to receive retired pay with a non-regular retirement, the date
in 28.b must be 90 days prior to the date upon which you will be eligible to
begin receiving retired pay (shown in Item 4, this is also the same date
indicated on your DD 108 request for retirement).
If you are NOT electing a lump sum of retired pay, DO NOT SIGN Item 28.
PART III - SURVIVOR BENEFIT PLAN.
It is very important that you are counseled and are fully aware of your options
under the Survivor Benefit Plan (SBP). SBP pays your eligible beneficiary or
beneficiaries an inflation-protected annuity, based on your retired pay, in the
event of your death. The cost of SBP is subsidized by the government, but you
will be required to pay a portion of the cost of SBP through deductions from
your retired pay. All retiring active duty members and all members of the
Reserves / National Guard who complete 20 qualifying years of service are
automatically fully covered under the SBP or the Reserve Component SBP
(RC-SBP) unless electing to reduce or decline this coverage. There are
special requirements for reducing or declining coverage that are covered in
Part III.
SECTION IX - DEPENDENCY INFORMATION.
ITEM 29. Provide your spouse's name, SSN, and date of birth. If no current
spouse, enter "N/A" and proceed to Item 32.
ITEMS 30 and 31. Enter the date and location of your marriage to your current
spouse. In Item 30, if marriage occurred outside the United States, include city,
province, and name of country.
ITEM 32. If you do not have dependent children, enter "N/A" in this item. If you
do have dependent children, provide the requested information. Designate
which children resulted from marriage to a former spouse, if any, by indicating
(FS) after the relationship in Item 32.d.
ITEM 32.e. Enter YES or NO as appropriate. A disabled child is an unmarried
child who meets one of the following conditions: a child who has become
incapable of self-support before the age of 18, or, a child who has become
incapable of self-support after the age of 18 but before age 22 while a full-time
student. If answering yes, attach documentation.
SECTION X - SURVIVOR BENEFIT PLAN (SBP) ELECTION.
In this section, you will be able to indicate your desired SBP election and
designate the beneficiary for SBP in the event of your death. If you make no
election, you will automatically receive maximum coverage for all eligible family
members (spouse and/or children). If you elect to reduce or decline your
coverage, your spouse will have to concur with that decision. You may
discontinue your SBP participation within one year after the second
anniversary of the commencement of retired/retainer pay. Termination of SBP
is effective the first of the month after DFAS-Cleveland receives the SBP
disenrollment request. There will be no refund of SBP costs paid for the period
before the SBP disenrollment. You are advised to consult with a SBP
Counselor or Retirement Services Officer prior to completing this section.
ITEM 33. RESERVE COMPONENT ONLY. Information to complete this
section can be found on the DD Form 2656-5 you submitted when you were
first notified that you had completed 20 years of creditable service, known as
your “Notification of Eligibility.” Reserve or National Guard members who
previously completed 20 qualifying years of service are automatically covered
under the RC-SBP unless electing, within 90 days of receiving their Notification
of Eligibility, to decline this coverage. Indicate in Item 33.a., 33.b., or 33.c. your
previous election. If you elected immediate coverage (Item 33.c, or “Option
C”), elected coverage to begin at age 60 (Item 33.b, or “Option B”) or made no
election previously, this remains your coverage and cannot be changed.
However, Reserve/National Guard members who declined to make an election
until reaching the age of eligibility to receive retired pay (Item 33.a, or “Option
A”), or who were unmarried and had no eligible children at initial RC-SBP
election and made no subsequent RC-SBP election must complete Items 34
and 35 (and Items 36 through 38 if applicable). If you elected either Immediate
(Option C) or Deferred (Option B) RC-SBP coverage and the elected
beneficiary is no longer eligible, provide supporting documentation with this
form.
ITEM 34. Enter your desired coverage in Items 34.a through 34.g. You may
only select one item. If you elect 34.a, 34.c, or 34.g, you MUST also indicate
whether you are declining coverage for other eligible dependents.
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ITEM 34.d. Mark if you are not married and desire coverage for a person with
an insurable interest in you, and provide the requested information about that
person in Item 37. An election of this type must be based on your full gross
retired/retainer pay. If the person is a non-relative or as distantly related as a
cousin, attach evidence that the person has a financial interest in the
continuance of your life. Under provisions of Public Law 103-337, you are
permitted to withdraw from insurable interest coverage at any time. Such a
withdrawal will be effective on the first day of the month following the month the
request is received by DFAS - Cleveland. Therefore, no refund of SBP costs
collected before the effective date of withdrawal will be paid.
ITEMS 34.e and 34.f. Mark Item 34.e if you elect coverage for a former
spouse. Mark Item 34.f if you desire coverage for a former spouse and
dependent child(ren) of that marriage, and provide the requested information
about these children in Item 32 as appropriate. Provide a certified photocopy of
final decree that includes separation agreement or property settlement which
discusses SBP for former spouse coverage. The DD Form 2656-1, "Survivor
Benefit Plan (SBP) Election Statement for Former Spouse Coverage," must
also be completed and accompany the completed DD Form 2656 to DFAS -
Cleveland.
ITEM 34.g. Mark if you decline coverage under SBP. If married and declining
coverage, Items 41 and 42 of Part V, Section XI MUST be completed.
ITEM 35. This item allows you to designate the amount of your retired pay that
will be the “base amount” for determining your SBP premiums and the resulting
SBP annuity. If you make no entry, you will default to the full base amount.
ITEM 35.a. Mark if you desire the coverage to be based on your full gross
retired/retainer pay. For members who previously elected the Career Status
Bonus (CSB) or members covered by the Blended Retirement System who
elect a lump sum of retired pay, the full gross retired/retainer pay is what your
retired pay would have been had you not elected (CSB) or the lump sum.
ITEM 35.b. Mark if you desire the coverage to be based on a reduced portion
of your retired/retainer pay. This reduced amount may not be less than
$300.00. If your gross retired/retainer pay is less than $300.00, the full gross
pay is automatically used as the base amount. Enter the desired amount in the
space provided to the right of this item.
ITEM 35.c. Used by a REDUX member who wants coverage based on actual
retired pay received under REDUX. If this option is selected, proceed to
Section XII, if married.
ITEM 35.d. Mark if you desire the higher threshold amount in effect on the
date of your retirement to be used as your base amount.
ITEM 36. You may elect payment of the SBP benefit, for beneficiary
categories designated in Items 34.b, 34.c, or 34.f, to a special needs trust
(SNT) who meets the criteria of a disabled child for SBP, and is indicated as
such in Item 32.e of these instructions. You must provide to DFAS-Cleveland a
copy of the SNT established for the child, documents to support the child is
incapable of self-support, age when incapacitated, and if temporary or
permanent, and separate statement from an actively licensed attorney
certifying that the Trust is a SNT created for the benefit of the child and is in
compliance with all applicable federal and state laws. Additional procedures
for establishing an SNT as SBP beneficiary is in DoDI 1332.42.
ITEM 37. Enter the information for insurable interest beneficiary. See
instruction for Item 34.e
ITEM 38. Enter the information for your former spouse, if applicable.
PART IV - CERTIFICATION.
SECTION XI - CERTIFICATION
ITEM 39. Read the statement carefully, then sign your name and indicate the
date of signature. For your SBP election to be valid, you must sign and date
the form prior to the effective date of your retirement/transfer, or the date you
are eligible to begin receiving retired pay. (Note: if you elected a lump sum of
retired pay in Part II, this form must be signed and dated no later than 90 days
prior to your retirement/transfer date, or the date you are eligible to begin
receiving retired pay).
ITEM 40. A witness to your signature must also sign and provide their
information in Items 40.a through 40.g. A witness cannot be named as
beneficiary in Sections V, IX or X.
PART V - SPOUSE SBP CONCURRENCE
SECTION XII - SBP SPOUSE CONCURRENCE.
Completion of this section is required only in certain circumstances if you
declined to elect SBP coverage, elected less than the maximum coverage, or
elected child-only coverage while having an eligible spouse. If you are
completing this form electronically and this section does not appear, you do not
have to obtain spousal concurrence.
ITEM 41. 10 U.S.C. §1448 requires that an otherwise eligible spouse concur if
the member declines to elect SBP coverage, elects less than maximum
coverage, or elects child-only coverage. Therefore, a member with an eligible
spouse upon retirement, who elects any combination other than items 34.a or
34.b AND 35.a must obtain the spouse's concurrence in Section XI. By signing
Item 41, you are concurring with the Survivor Benefit Plan election made by
your spouse.
ITEM 42. A Notary Public must witness the signature of the spouse in Item 41.
This witness cannot be a named beneficiary in Section V, IX, or X. The
spouse's concurrence must be obtained and dated on or after the date of the
member's election, but before the retirement / transfer date. If concurrence is
not obtained when required, maximum coverage will be established for your
spouse and child(ren) if appropriate.
DD FORM 2656 INSTRUCTIONS, OCT 2018
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Form Information

Fact Name Description
Purpose The DD 2656 form is used to designate beneficiaries for retired pay and certain other benefits within the military retirement system.
Eligibility This form is applicable to members of the Uniformed Services and their eligible beneficiaries, ensuring they receive the correct benefits upon the member's retirement.
Submission Timeline It is advisable to submit the DD 2656 form prior to retirement to avoid delays in benefit distribution.
Governing Law The form operates under federal regulations set forth by the Department of Defense, particularly Title 10 of the United States Code.
Updates Regular updates may occur to the form reflecting changes in policy or procedure; it is essential to use the most current version for accuracy.

Detailed Guide for Filling Out DD 2656

Filling out the DD 2656 form is a vital step in managing benefits and ensuring you receive the entitlements you deserve. Follow these steps carefully to complete the form accurately, and feel free to reach out if you have any questions along the way.

  1. Obtain the Form: Start by downloading the DD 2656 form from a trusted military or government website.
  2. Read Instructions: Before filling it out, take a moment to read any instructions provided with the form to understand what information you need to provide.
  3. Provide Personal Information: Fill in your full name, Social Security number, and contact information in the designated sections.
  4. Indicate your Status: Clearly mark your military status, ensuring it reflects your current situation accurately.
  5. Complete the Beneficiary Information: List the names and relationship of beneficiaries you wish to designate. Double-check the spelling and accuracy of the names.
  6. Fill Out Payment Options: Choose how you prefer to receive payments and fill in any necessary account information.
  7. Review Your Answers: Carefully review all information you provided to ensure it is accurate. Mistakes can delay processing.
  8. Sign and Date the Form: Once satisfied with your entries, sign and date the form in the provided area.
  9. Submit the Form: Send the completed form to the appropriate address listed in the instructions, either by mail or electronically if available.

Following the steps outlined will help ensure the form is completed thoroughly. Once submitted, keep a copy of the completed form for your records. This can assist in tracking your application or in case any questions arise in the future.

Obtain Answers on DD 2656

  1. What is the DD Form 2656?

    The DD Form 2656 is a document used by military service members, retirees, and their eligible dependents to apply for retirement benefits. This form collects essential information regarding a service member's retirement, including personal details, beneficiary designations, and financial information related to the retirement pay.

  2. Who needs to fill out the DD Form 2656?

    Anyone who is retiring from military service and wishes to receive retirement pay must complete this form. Additionally, dependents and survivors who qualify for benefits may also need to submit this form to ensure they receive their entitled benefits.

  3. Where can I obtain the DD Form 2656?

    The DD Form 2656 can be downloaded from the official Department of Defense (DoD) website. Alternatively, it can also be obtained from military installations, personnel offices, or by contacting a retirement services officer who can assist in providing the form.

  4. What information is required on the DD Form 2656?

    When filling out the DD Form 2656, you will need to provide various kinds of information. This includes your personal details, such as name, Social Security number, and military service history. Moreover, you will have to designate beneficiaries for any benefits and include relevant banking information for direct deposit arrangements.

  5. How is the DD Form 2656 submitted?

    The completed DD Form 2656 can typically be submitted directly to your branch of service's personnel office or to the retirement services office. In some cases, electronic submission may be an option, so it is advisable to check with your specific military branch for additional guidance on submission methods.

Common mistakes

When individuals fill out the DD 2656 form, which is used for the designations of beneficiaries for retired pay, several mistakes can occur. One common mistake is failing to provide complete information. This includes not filling out all required sections or leaving blank spaces. Incomplete forms can lead to delays in processing and complications with beneficiary designations.

Another frequent error is overlooking the specific requirements for eligible beneficiaries. Many individuals may not realize that certain relationships need to be clearly defined, such as distinguishing between a spouse, children, or other dependents. Misunderstanding these requirements can lead to invalid designations that do not align with the individual's wishes.

Inaccurate information presents another notable issue. People sometimes provide incorrect personal details, such as Social Security numbers, dates of birth, or addresses. Mistakes in this critical information can result in administrative confusion and may require resubmission of the form, further complicating the beneficiary designation process.

Additionally, individuals often neglect to sign or date the form appropriately. Signatures are essential for validation, and an unsigned form will not be processed. It is also important that the date reflects when the form was completed, as this can affect the legitimacy of the designation.

Lastly, misunderstanding the impact of turning this form can lead to serious consequences. Individuals may not be aware that designating a beneficiary on the DD 2656 form eliminates any prior designations automatically. This aspect needs to be carefully considered to ensure that the final wishes are clearly communicated and upheld, preventing unintended outcomes.

Documents used along the form

The DD 2656 form, also known as the Data for Payment of Retired Personnel, is essential for calculating retirement pay for military personnel. Several other forms and documents complement the DD 2656 to ensure a smooth transition into retirement. Below are six commonly used forms and documents that often accompany the DD 2656.

  • DD Form 214: This document serves as the official record of a service member's military service, providing details such as enlistment and discharge dates, military occupational specialties, and the character of service. It is crucial for eligibility verification for benefits.
  • DD Form 2900: The Post-Deployment Health Assessment is used to identify any health concerns that may arise after returning from deployment. This form ensures that service members receive proper care and follow-up for any issues related to their deployment.
  • SF 180: The Request Pertaining to Military Records form helps service members obtain copies of their military records. Access to records can be important for verifying service details during the retirement process.
  • DD Form 147-3: Application for Retired Pay Benefits allows service members to apply for retired pay based on their years of service and other factors. This form is often used in conjunction with the DD 2656 during the retirement application process.
  • VA Form 21-526EZ: This is the Application for Disability Compensation and Related Compensation Benefits. Service members looking to receive compensation for disabilities incurred during service must complete this form to initiate the process with the Department of Veterans Affairs.
  • TSP-1: The Thrift Savings Plan Election Form allows retiring service members to make decisions about their retirement savings. Completing this form is crucial to managing financial assets during and after the transition from active duty.

These documents and forms play a vital role in the retirement process for military personnel. Utilizing them effectively ensures that all necessary benefits are secured and that transitions into civilian life proceed smoothly.

Similar forms

The DD 2656 form is an important document related to retirement and benefits for military service members. Here are ten other documents that share similar purposes or functions:

  • Form SF-86: This is used for background investigations. Like DD 2656, it collects sensitive information but focuses on security clearances instead of retirement benefits.
  • Form DD 214: This document provides a record of service. It is essential for demonstrating eligibility for various benefits, similar to how DD 2656 establishes benefit entitlements.
  • Form DD 149: This is filed for correction of military records. Both forms address eligibility and benefits, but DD 149 specifically targets record adjustments.
  • Form SF-1179: This is used for direct deposit of federal benefits. Like DD 2656, it helps ensure that benefit payments are correctly processed and delivered.
  • Form 720: This form is for the Defense Enrollment Eligibility Reporting System (DEERS). It gathers information similar to DD 2656 in terms of verifying eligibility for benefits.
  • Form CMS-1500: This form is used for healthcare billing for military personnel. It shares a connection with DD 2656 as it pertains to the benefits received for medical services.
  • Form DD 295: This is a request for a review of military educational experiences. It deals with educational benefits, akin to the retirement benefits outlined in DD 2656.
  • Form VA 21-526EZ: This application is used for veterans to apply for disability compensation. Both forms ensure that veterans can access their entitled benefits.
  • Form IRS W-4P: This is for withholding from pension payments. Like DD 2656, it requires personal financial information but focuses on tax withholding for retirees.
  • Form GSA 348: This is a travel authorization form for federal employees. It addresses reimbursement of expenses, much like how DD 2656 structures retirement benefit claims.

Dos and Don'ts

Filling out the DD 2656 form correctly is crucial for ensuring that your information is processed efficiently. Follow these guidelines to avoid common pitfalls and delays.

  • Do read the instructions carefully before starting to fill out the form.
  • Do use black ink or a clearly legible font if filling it out electronically.
  • Do double-check all personal information for accuracy.
  • Do provide any required documentation along with your form submission.
  • Do sign and date the form where indicated.
  • Don't leave any mandatory fields blank; fill them in with "N/A" if the question does not apply to you.
  • Don't use abbreviations or shorthand unless specified in the instructions.
  • Don't forget to keep a copy of the completed form for your records.
  • Don't submit the form without reviewing it thoroughly.
  • Don't hesitate to seek assistance if you encounter any confusion while completing the form.

Misconceptions

The DD 2656 form is essential for service members, yet several misconceptions surround its use. Here are six common misunderstandings:

  • 1. It’s only for retiring service members.

    Many believe the DD 2656 form is exclusive to those retiring from military service. In reality, it's used for various purposes, including establishing benefits for disabled veterans and their dependents, not just those retiring.

  • 2. The form must be submitted all at once.

    Some think the DD 2656 must be completed and submitted in one sitting. However, it can be filled out section by section. Service members can gather the necessary documents and information over time before submitting the form fully.

  • 3. It’s a complicated form.

    While many forms can seem intimidating, the DD 2656 is designed to be straightforward. Detailed instructions accompany the form, making it simpler to understand and fill out when you take your time.

  • 4. You need a lawyer to fill it out.

    Some individuals believe that legal expertise is mandatory to complete the DD 2656 form. However, service members can fill out the form independently, provided they have the necessary information about their service and benefits.

  • 5. It can be submitted electronically only.

    While electronic submissions are an option, many still can submit the DD 2656 in paper form. This flexibility ensures that everyone can navigate their preferred method of submission.

  • 6. Changes cannot be made after submission.

    Lastly, there is a widespread belief that once the DD 2656 is submitted, no changes can occur. On the contrary, if new information arises or corrections are necessary, service members can update their form through the appropriate channels.

Understanding the truth behind these misconceptions can help service members and their families navigate the benefits process with greater confidence.

Key takeaways

Filling out the DD 2656 form is an important process for determining the benefits available to military personnel and their families. Here are some key takeaways to keep in mind:

  • Ensure accurate personal information is provided, as errors can lead to delays in processing.
  • Be aware of the different sections of the form, including beneficiary designations, which can influence payouts and benefits.
  • Review the instructions carefully before submitting to avoid common mistakes.
  • Keep a copy of the completed form for your records; having documentation can be crucial later on.