bonus repayment

[IoweMoney]

hoping someone on here has or had to pay back their bonus. does anyone know if there is any way to come up with a  plan or whatever? I dont have a job at the moment, and they are asking for 1000$ a month. i cant pay that

any thoughts?  do i just pay what I can when I can and they leave me alone, or will they hunt me down?

[my name is.....]

As BZ would say, we put the $ in front of the amount in the U.S.

[JustinHEMI05]

Just tell them what you can pay, and I bet they will accept it.

[nuclear2010]

What are the circumstances?  Did you get an early out from the Navy then???
My husband is getting out 3 months prior to EAOS date and we are praying we don't have to pay back any bonus!!!

[aschaefer]

As BZ would say, we put the $ in front of the amount in the U.S.

I don't think that's even close to the top of the list of things that are wrong with that post... 

[93-383]

They will typically work with you around setting a payment plan. I have known several people who had to pay back their re-enlistment bonus after being separated for "other than honorable" reasons. However I have known others who did not but they where separated for "medical" reasons. The VA may be able to get the debt reduced, I doubt it, but is doesn't hurt to ask. If the amount is truly insurmountable then an attorney who works in debt matters (bankruptcy, taxes, ect.) is probably your best bet. However lawyers usually don't work for free so find out how much the consultation will cost upfront and then find out what the "expected" costs would be. There is always the possibility you will spend $$$$ on a lawyer and never get any of the debt eliminated or reduced.

As for "will they come after me" I've been told (take that for what it's worth) that the debt can be turned over to the IRS for collection through their various means.

[shockwave538]

I recently had to look into the same issue (luckily due to poor processing of my initial contract, I am debt-free after all! ).

I assume DFAS contacted you and told you what they WANT you to pay. According to the DFAS website, they give you a certain period to pay it off in full (might be 120 days). If so, you're done. If not, you need to make payments. If you don't make any minimum initial payment (don't know how much that might be), then they tack a 6% interest rate onto your debt. If you do make some sort of minimum payments, which you may be able to change, then it's only 1%. Either way, you are entered into the IRS system. They will take your tax refunds until it is paid. If you get a gov't job, they will garnish that also. They don't come after regular wages unless it's an exorbitant debt, or it's something serious like tax problems or fraud.

Key thing is, contact DFAS and tell them what you can do. If you do or say nothing, they'll get their money eventually, but at a much higher interest rate. One other way to budget it is to have extra taken out on you taxes. That will go to them at the end of the year when you file your tax return.

[barrylanham]

Take a look at these instructions:
OPNAVINST 1160.8A (SRB Instruction) which references you to paragraph 905(Which doesn't exist) of DoD FMR CHP 9 which will then send you to DoD FMR CHP 2 which has a nice table to see if you even need to pay back your bonus.

DoD FMR Chp 50 has all the repayment of indebtedness guidelines if you are still in the military, I don't remember the one for ex-navy but you can access it on dfas.mil.

Also, take a look at DD Form 2789 which is for a waiver/remission of debt, they generally don't approve waivers b/c they are primarily for erroneous payments (which a bonus is not) so you would need to apply for a remission to have the debt cancelled. Although, you better have a good reason and the support of your command (or last command if separated) b/c it has to be endorsed by the CO and then get sent to a disbursing office for final approval.

If you have any more questions or need some advice PM me.

[01changeup]

I have experience in this area with two different examples. First, I am currently paying back my bonus. I am still active duty (for now). I was able to negotiate to pay back the minimum amount per month that is authorized in the references cited in the above post. That amount is 1/3 of my "disposable" monthly income, as calculated by the Navy. It varies based on pay grade and many other factors. As you said you are currently unemployed, I don't think this applies to you, but perhaps somebody else who reads this thread in the future can find some good info there.
Moving on to the second example I have. Somebody with whom I am very familiar is currently paying back their bonus. They are no longer a Nuke due to their inability to pass the run portion of PRTs and the subsequent DD214. This person got the letter from DFAS informing them of the debt. They called DFAS and talked to them to set up a payment plan. It is still a large amount per month (read: 4 figures), but I don't know the exact conversation they had with DFAS. I don't know if that is the minimum they could achieve, or if that was just what they decided they could afford. Yes, there is interest on the debt. NO, THEY DO NOT WITHHOLD THIER TAX REFUNDS. I have found that many people think this happens, when I can say with 100% certainty that in at least this case, it isn't happening. This person has received 3 or 4 tax refunds from the feds since the notification and subsequent payment of the debt. Now, if you ignore the issue and don't do anything, you can bet your rear end that They will be coming to get their money.
I hope some of this information was helpful. I apologize for not listing references, but since most of my information is personal, there isn't much to list, and what there is to list has already been posted in the previous reply. If you have any questions, please let me know or PM me.
V/R
01changeup

[metalman40]

I got out in 1988 on the food for freedom program 30 days after reenlisting. I was informed during my separation that they would come after me for the bonus. I bit the bullet and went to an attorney with a copy of my reup contract and he wrote the DFAS a nice note after which they agreed I had not been stripped of my NEC and did not owe them anything.

The moral is make sure you owe them the money, if you do pay it back but if not, let a lawyer talk for you.