Ginger
From our briefings on Dyess, if you VSP (& are approved), you will then have a DOS and can then Palace Front. If you are not approved, than can still apply for Palace Chase.
Front what the in-serve reserve recruiter said, that folks in those overage career field are getting palace chase approval at a very high rate. That makes sense, since the AF would still be letting folks out but wouldn't have to pay any separation/VSP.
Also, regarding repayment of the VSP if you go guard/reserve and earn a retirement: Finance airman said that they'll tax the VSP at 25% (I thought it would be based on your overall annual income). However, 100% of the VSP $ will be collected quickly if you go AGR, or at retirement if you stay TR. To me its still a good deal.