Authorize, pay, correct, and notify with due-process controls.

The added pension-election paragraph can require a new application with current income and asset information. This is a targeted compensation/pension interaction, not a new opening step for every compensation claim.

• VI.ii.1.A.2.a: When entitlement exists to compensation and pension, ordinarily assume the greater benefit unless the claimant indicates otherwise. Retain the exception that treats the $90 Medicaid nursing-home pension rate as the greater benefit and tells the claimant of the right to elect compensation.
• VI.ii.1.A.2.a, new-form conditions: A new VA Form 21P-527EZ with current income and asset information is required when all three conditions apply: the initial grant of pension entitlement is more than one year past the original filing; the claimant currently receives compensation; and there is an indication pension may now be greater, such as a compensation reduction.
• VI.ii.1.A.2.a, receipt within one year: If that form arrives within one year of solicitation and pension can be granted, apply the source’s date-entitlement-arose or date-pension-became-greater rule. This is not an automatic award from the form’s receipt date; establish entitlement and compare the actual benefit timeline.
• VI.ii.1.A.2.b and 2.d: Do not extend the assumed-greater-benefit rule to the other benefit combinations listed in 2.b. The $90-rate election exception in 2.d now locates LAST PAID DATE in the VBMS AWARDS INFORMATION dropdown. The underlying exception is unchanged.

Review covers the changes and their effect on existing guidance. It does not establish a complete decision path for this article.

This is the largest procedural update of the nine: verification sources, Coast Guard handling, AskDFAS response periods, an older-service exception, PEB retrieval, and awards with hardship-adjusted withholding. Read the branch that matches the case before adjusting payment.

• VI.ii.2.1.b–d and 2.2.b, Steps 1–8: The application, DD Form 214, and listed Share/VBMS payment fields do not themselves verify the amount. The table’s “not verified” cell spans all six rows. Use VIS or an appropriate service/DFAS confirmation under 2.2.b. Distinguish projected VIS pay type P from verified data, resolve implausible amounts, total split rows when needed, and upload the VIS report. Check previous recoupment, including historical BDN award prints; request a Finance audit if completion cannot be determined.
• VI.ii.2.2.b, Steps 9–12: Coast Guard: Open a Customer Care ticket and document the identifying information, separation benefit, tax information, and ticket number on VA Form 27-0820 in the eFolder. Follow up after 30 days; if there is still no response within 30 days of the follow-up, use Step 19. Do not postpone promulgation while waiting. Step 9 directs use of the available unverified amount, or $99,999 with EP 290 if no amount is recorded.
• VI.ii.2.2.b, Step 12: Coast Guard response: When the branch responds with an amount, use it. If the branch responds without an amount, use the DD Form 214 amount first, then the application if the DD Form 214 has none. If neither supplies an amount, do not withhold; remove a $99,999 withholding previously established under Step 9. A missing response is the escalation branch, not this no-amount response branch.
• VI.ii.2.2.b, Steps 13–19: AskDFAS: Check for an existing request before submitting another. Upload the request to the eFolder. The response period is now 60 days, followed by a status request and 30 days for its response. If unresolved, request Compensation Service assistance under Step 19 and retain correspondence. The former additional 15-day email follow-up instruction was removed. Step 17 retains promulgation using the available unverified amount, or $99,999 with EP 290 when no amount is recorded; that placeholder is not a verified balance.
• VI.ii.2.2.c: unavailable DFAS records: For discharge from the Air Force Reserve in October 1999, conflicting recorded amounts now resolve to the DD Form 214 amount, not the application amount. If neither document gives an amount, do not withhold. This exception does not apply to every older-service case. The other listed old-service cases still use SF 180 to NPRC, with follow-up every 90 days until confirmation or a negative response.
• VI.ii.2.3.a: missing PEB report: If the PEB report is absent from STRs, check personnel records and use the service/date table. STR Assist replaces PIES O50 for the table’s earlier separations (Coast Guard before October 1, 2006; Army before October 1, 1994; Navy before January 1, 1995; Air Force before October 1, 2004; Marine Corps before January 1, 1999). The later dates and Space Force use DPRIS AG5. This is a PEB retrieval rule, not a replacement for all STR request procedures.
• VI.ii.2.7.b: increases with hardship adjustment in effect: For an increase other than COLA or additional compensation for dependents, increase withholding by the compensation increase while preserving the existing net payment; retain Preserve Net Rate and send the required notice. Do not release retroactive benefits except the amount exceeding the remaining recoupment balance. If the increase is due to COLA and/or dependents, leave withholding unchanged and pay the increase to the Veteran.
• VI.ii.2.7.b: reductions with hardship adjustment in effect: If the reduced combined rating is at least 30 percent AND compensation remains greater than the current withholding, leave withholding unchanged. If the rating is below 30 percent OR compensation is equal to or less than withholding, withhold all monthly compensation until recoupment is complete. Reflect the correct proposed rates in any required adverse-action notice.
• VI.ii.2.5.b and 2.7.c: The recoupment decision-notice block is now 2.5.b; the hardship advisory-opinion template is now 2.7.c. Benefit-type exceptions, service-period distinctions, tax treatment, disability-severance limitations, VSP schedules, and due process still apply. This review does not turn this chapter into an automatic withholding calculator.

Review covers the changes and their effect on existing guidance. It does not establish a complete decision path for this article.