Retiree Toolkit
A couple out for a walk along a park path

Survivor Benefit Plan (SBP) calculator

Enter your monthly military retired pay and the amount you want to cover. The calculator shows your monthly SBP premium for spouse coverage (6.5% of the covered amount), the annuity your spouse would receive (55%), and when premiums stop.

Full coverage is your whole retired pay. A lower base costs less and pays less; it needs your spouse's notarized signature.

Monthly SBP premium

$195.00

Monthly annuity to your spouse
$1,650.00
Retired pay after the premium
$2,805.00
Premiums stop (paid-up) at about age
72
Total premiums until paid-up
$70,200
Annuity months to equal those premiums
43 (3 years, 7 months)

Before cost-of-living increases, which raise both the premium and the annuity each year. Spouse coverage only; child and other elections cost differently.

How it is calculated

The Defense Finance and Accounting Service (DFAS) says the SBP premium is no more than 6.5% of gross retired pay, and its example is $1,000 of retired pay with full coverage costing $65 a month. Eligible beneficiaries receive 55% of the elected amount of coverage. Premiums stop at "paid-up" status, once you have made 360 monthly payments and reached age 70; the calculator counts whichever comes later.

The last line compares the two sides: how many months your spouse would have to receive the annuity to equal what you paid in premiums. DFAS's own rule of thumb is that, for an even return, a beneficiary typically must receive payments for seven months for every five years of premiums.

What the calculator leaves out

  • Cost-of-living increases, which raise both your retired pay and the annuity each December.
  • Child coverage, which adds a cost based on the ages of the retiree, the spouse and the youngest child, and the more expensive insurable-interest election.
  • The minimum base amount, which DFAS says is unique to each retiree.
  • Taxes: for nearly all retirees the premium comes out before federal income tax, which lowers taxable income.

Confirm your figures with DFAS or an SBP counselor before you make your election.

Check our work

Every figure on this page was read from these official documents. Follow the links and compare.