My 91 year old wartime vet father receives a monthly annuity, which is a combination of his Navy retirement and civil service retirement (he receives no disability compensation). Under Part V (Military Retired/Severance Pay) on the 21-526 application form, it says "If you are awarded military retired pay prior to compensation, we will reduce your retired pay by the amount of any compensation that you are awarded." This doesn't make sense to me. If receiving the VA A & A benefit results in a reduction in his existing Navy retirement pay, why bother apply at all? It would seem that one would just cancel out the other, or am I hopefully just misunderstanding this part? Can someone please clear this up for me? How should we fill out this section of the application?