How to File for SBP Survivor Benefits: Free, Step by Step

Last Updated: July 15, 2026 Reading Time: 8 min

Filing for the military Survivor Benefit Plan costs nothing. That sentence needs to be first because, this week, a surviving spouse on a veterans' forum reported being told to pay $6,000 upfront to "process" her SBP paperwork. That is a scam, full stop. Here is the real process, every form and phone number included.

Step 1: Report the Death to DFAS

Call 1-800-321-1080 (Monday through Friday, 8

a.m. to 4
p.m. ET). This is DFAS's single customer care line for survivor matters; there is no separate casualty number to hunt for.

DFAS will stop the retiree's pay, open a survivor case, and mail you a condolence packet within about a week. That packet includes the SF 1174 for the arrears claim covered in Step 3.

Have ready: the retiree's Social Security number, date of death, and your contact information.

Step 2: File DD Form 2656-7 for the Annuity

The claim form for the SBP annuity itself is DD Form 2656-7, "Verification for Survivor Annuity." Three ways to submit:

  • Online: the askDFAS portal (fastest)
  • Mail: DFAS, Indianapolis, IN 46249-1300
  • Fax: 1-800-982-8459

Documents to include:

Document Who needs it
Certified death certificate showing cause of death Everyone (mandatory)
DD Form 2656-7, completed Everyone
Marriage certificate Spouse claimants
Banking info for direct deposit Everyone
Divorce decree + court orders Former-spouse claimants
School certification Student children 18 to 22

Processing runs 30 to 90 days once DFAS has everything, with most first payments landing in the 45-to-60-day window. Payments are retroactive to the day after death, paid as a lump-sum catch-up, so a slow claim does not cost you money, only time.

Step 3: Don't Skip the Arrears of Pay Claim

Military retired pay stops the day a retiree dies, but the final month almost always includes days already earned. That prorated amount, the "arrears of pay," goes to the designated beneficiary through SF 1174, the form in the DFAS condolence packet.

This is a separate claim from the annuity. It is small compared to the SBP stream, usually a few thousand dollars at most, and it is the single most commonly missed piece of the process.

What the Annuity Actually Pays

The SBP annuity is 55% of the elected base amount. Note the word elected: the base can be anything from $300 up to the retiree's full retired pay, chosen at retirement. If the election was full retired pay of $4,000 a month, the survivor annuity is $2,200. If the retiree elected a reduced base, the annuity is 55% of that smaller number.

The SBP Calculator runs these numbers for any base amount and shows the premium side of the equation too.

Three features worth knowing:

  • COLA-adjusted for life. The annuity rose 2.8% with the December 2025 adjustment.
  • Taxable as ordinary income federally (you will get a 1099-R), though roughly 48 states exempt it from state income tax. DIC, by contrast, is fully tax-free.
  • Remarriage rules: remarrying before age 55 suspends the annuity (restorable if that marriage ends); remarrying at 55 or later changes nothing.

And the big one: the SBP-DIC offset is gone. Until 2023, VA Dependency and Indemnity Compensation reduced SBP dollar for dollar, the infamous widow's tax. Congress eliminated it fully as of January 1, 2023. A survivor eligible for both now receives the complete SBP annuity plus the complete DIC payment, which has a 2026 base rate of $1,699.36 per month. If your spouse's death was service-connected, or they were rated 100% disabled for 10 or more years before death, file for DIC with the VA alongside the SBP claim.

The $6,000 Scam, and How to Spot Every Version of It

The fraud pattern is consistent: someone contacts a surviving spouse, often within weeks of the death, claiming the SBP or VA paperwork requires a processing fee, a legal retainer, or a percentage of back pay. This week's reported version asked for $6,000 upfront.

The law is unambiguous:

  • Initial claims are free, period. No one, including VA-accredited attorneys, may charge for preparing or filing an initial SBP or DIC claim. Accredited representatives can only charge fees for appeals after the VA has issued a decision (38 CFR 14.636).
  • Free accredited help exists. Veterans Service Organizations like the VFW, DAV, American Legion, and TAPS assist survivors with these claims at no charge.
  • DFAS never asks for payment to process a survivor annuity.

If someone demands money: report them to the FTC at ReportFraud.ftc.gov, the VA Office of Inspector General at 1-800-488-8244, and your state attorney general. Then file your claim yourself with the steps above, or hand it to a VSO for free.

Special Situations

  • Former spouses file the same DD Form 2656-7 with the divorce decree attached. Court-ordered former-spouse coverage is binding and cannot be quietly redirected.
  • Children qualify while unmarried and under 18, under 22 if full-time students, or at any age if disabled before the age cutoff.
  • No SBP election on file? There is no annuity to claim, but DIC may still apply if the death was service-connected. A VSO can assess this for free.
  • The 2023-2024 open season is closed. Retirees who skipped SBP cannot currently enroll; no new open season has been announced.

If you are a retiree reading this before the fact, the decision math between SBP and commercial life insurance is its own topic: see SBP vs. Life Insurance for Military Retirees, and if you later took a federal civilian job, your military buyback decision interacts with the same survivor-planning picture.

Frequently Asked Questions

Does it cost anything to file for SBP survivor benefits?

No. Filing is free through DFAS, and nobody may legally charge for an initial SBP or DIC claim. Accredited representatives can only charge for appeals after a VA decision. Anyone demanding upfront money for survivor paperwork is committing fraud.

How long does the first SBP payment take?

Most first payments arrive 45 to 60 days after DFAS has complete documentation. The annuity is retroactive to the day after death, so delays are made up in a lump sum.

Does DIC still reduce my SBP payment?

No. The offset ended January 1, 2023. Survivors now receive full SBP plus full DIC, $1,699.36 per month base rate in 2026, tax-free.

What if I remarry?

Before 55, the annuity suspends and can be restored if the marriage ends. At 55 or older, remarriage has no effect.

What documents do I need?

Certified death certificate with cause of death, completed DD Form 2656-7, your SSN, banking details, and a marriage certificate for spouse claims. Former spouses add the divorce decree and court orders.

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