Retired Pay Restoration Act of 2007 - Allows the receipt of both military retired pay and veterans' disability compensation with respect to any service-connected disability (currently, only a disability rated at 50 percent or more). States that, in the case of a qualified retiree receiving veterans' disability compensation for a disability rated as total by reason of unemployability, payment of military retired pay is subject to a phase-in of concurrent receipt of both only during the period beginning on January 1, 2004, and ending on December 31, 2007 (currently September 30, 2009).
Makes eligible for the full concurrent receipt of both veterans' disability compensation and either military retired pay or combat-related special pay those individuals who were retired or separated from military service due to a service-connected disability.
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