The NVA was disbanded in 1990. Its facilities and equipment were handed over to the Bundeswehr. Most facilities were closed, and equipment was either sold or given to other countries. Most of the NVA's 36,000 officers and NCOs were let go, including all officers above the rank of lieutenant colonel. Only 3,200 were retained by the Bundeswehr after demotion by one rank. In addition, all female soldiers and all soldiers over the age of 55 were also discharged.

Until March 1, 2005, time served in the NVA was listed as time “served in a foreign military”. Service in the NVA did not count for points towards federal pensions in the unified Germany. Retired NVA soldiers and officers received only minimal pensions after unification: a thirty-year veteran would receive a pension smaller than a graduate student stipend. After the reform, service in the NVA is known as “served outside of the Bundeswehr”.

Many former NVA officers feel bitter about their treatment after unification. While receiving only minimal pensions, few have been able to find jobs except as laborers or security guards. Former NVA officers are not permitted to append their NVA rank to their name as a professional title; no such prohibition applies to rank attained in the Wehrmacht or Waffen-SS during the Nazi era.