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To provide a lump-sum payment to eligible active and reserve Service members who have completed at least six, but fewer than twenty, years of active service immediately before being involuntarily discharged or denied continuation of service for which they volunteered, short of retirement eligibility.
Calculation of ISP:
Full ISP is 10 percent of the product of the number of years of active service and 12 times the monthly basic pay to which the Service member was entitled at the time of discharge or release from AD/AS. Half ISP is 50% of the calculated amount of full separation pay.
Full ISP Eligibility:
Full payment of non-disability ISP is authorized to Service members of the Active and Reserve Components who meet each of following five conditions:
Half ISP Eligibility:
Half payment of non-disability ISP is authorized to Service members of the Active and Reserve Components who meet each of following five conditions:
Limitations on ISP Eligibility:
Service members who separated under the following circumstances are not eligible for ISP:
More information on the specific limitations on ISP eligibility can be found in DoDI 1332.29.