How much does SBP cost?

Spouse SBP costs 6.5% of your elected base amount per month, deducted from your gross retired pay before taxes. If you elect full coverage, the premium is 6.5% of your full gross retired pay. For example, $4,000/month of retired pay at full coverage costs $260/month ($3,120/year).

How much does SBP pay my survivor?

SBP pays your surviving spouse 55% of the base amount you elected, for life (subject to remarriage rules). On a $4,000 base amount, the survivor receives $2,200/month, adjusted for cost-of-living each year.

When do SBP premiums stop (paid-up)?

SBP becomes 'paid-up' once you have paid premiums for 30 years (360 months) AND are at least age 70. Both conditions must be met; after that, coverage continues with no further premiums.

Updated 2026

SBP Calculator — Survivor Benefit Plan

The Survivor Benefit Plan (SBP) turns part of your military retired pay into a lifetime annuity for your spouse if you pass away first. You pay 6.5% of your elected base amount each month while retired; your survivor receives 55% of that base amount for life. Use this calculator to see your exact monthly cost, the payout your spouse would receive, and whether the math works for your family.

Your gross monthly retired pay Your monthly retirement pay before deductions.

Coverage level (base amount)

Full coverage (base = full retired pay) Reduced base amount

Elected base amount (monthly) Anywhere from $300 up to your full retired pay.

Your Results

Monthly SBP Premium

6.5% of base, pre-tax

Survivor Annuity

55% of base, monthly

Annual Premium

Per year while retired

Calculation breakdown

Note: Premiums are deducted from gross retired pay before federal tax, so the true out-of-pocket cost is lower than the gross premium. SBP becomes paid-up after 30 years of premiums and age 70. At very low base amounts a slightly cheaper alternate formula (2.5% of a threshold + 10% of the rest) may apply — for nearly all retirees the 6.5% figure governs. Official SBP details.

How the Survivor Benefit Plan works

Premium, annuity, and the base amount

SBP is a Department of Defense annuity. At retirement you elect a base amount — anywhere from $300 a month up to your full gross retired pay. From then on:

You pay 6.5% of the base amount each month, withheld from your retired pay before taxes (so it lowers your taxable income).
Your survivor receives 55% of the base amount for life, increased by cost-of-living adjustments (COLA) each year.

Electing a base amount below your full retired pay lowers both your premium and the eventual payout, proportionally. (militarypay.defense.gov)

The "widow's tax" is gone — SBP and VA DIC together

The SBP-DIC offset was fully eliminated in 2023

For years, a surviving spouse who received VA Dependency and Indemnity Compensation (DIC) had their SBP annuity reduced dollar-for-dollar — the so-called “widow’s tax.” That offset was phased out and fully eliminated effective January 1, 2023. A surviving spouse now receives the full SBP annuity from DFAS and full DIC from the VA at the same time, which makes SBP meaningfully more valuable than it was for service-connected deaths. (DFAS)

Child coverage and Reserve/Guard SBP (RC-SBP)

How those differ from spouse coverage

Child or spouse-and-child coverage is priced actuarially (based on the ages of you, your spouse, and your youngest child), not at a flat 6.5%; child-only coverage is usually much cheaper because it ends when children age out (18, or 22 if a full-time student; lifetime if disabled). This calculator covers spouse coverage — use DFAS’s worksheet for child options.

Reserve Component SBP (RC-SBP) is elected within 90 days of receiving your 20-year letter (Notice of Eligibility). It uses the standard SBP cost plus an actuarial “RC add-on” for the coverage between retirement-eligibility and age 60. If you don’t elect within 90 days, you’re automatically enrolled in immediate-annuity coverage (Option C). (DFAS RC-SBP)

Sources & verification: The Survivor Benefit Plan is governed by 10 U.S.C. Chapter 73. Premium (6.5% of the elected base amount) and annuity (55% of base) figures and the elimination of the SBP–DIC offset (effective Jan 1, 2023) are confirmed against DFAS and militarypay.defense.gov. Reviewed June 2026. This is an estimate, not financial or legal advice — SBP elections are largely irrevocable, so confirm with DFAS before deciding.