It’s a new year and new things are happening everywhere! There’s some good news in the new year for veterans with disabilities. As of January 1, Disabled Veterans are receiving a 3.2% Cost of Living Adjustment (COLA), increase in their monthly VA disability compensation.
What’s the increase?
Veterans with a current disability rating of 10% or higher will receive this 3.2% raise in their disability pay rate for the entire calendar year of 2024. The COLA increase is in line with the Social Security Administration’s announcement back in October 2023 of a 3.2% COLA for 2024.
Let’s break it down – – a Veteran rated 100% with no dependents, receiving $3,621.95 in 2023, will see a monthly increase of $115.90, bringing the 2024 total to $3,737.85. A veteran rated 60% with a spouse (no parents or children) will receive $1,486.88 (an increase of $46.23) and a veteran rated at 30% with 1 child and spouse (no parents) will receive $632.31 (an increase of $20.26)
Over 5.4 million Veterans and nearly half a million surviving spouses and dependents will financially benefit from the 3.2% Cost of Living Adjustment in VA disability compensation in the new year.
It is important to note that disability compensation, pension, and DIC benefits remain exempt from federal taxable income.
How do I check my payment increase?
Veterans should have received notification from the Department of Veterans Affairs of your increase. However, if you for some reason have not received this information, veterans are encouraged to refer to the updated information on the VA website. There are descriptive charts for you to assess your eligibility and anticipate new monthly payments based on the COLA adjustment. The Department of Veterans Affairs has updated information on its website here.
A little bit of historical data.
According to The Department of Veteran’s Affairs, the 3.2% COLA increase, confirmed on December 1, follows the Social Security Administration’s announcement on October 12. The COLA is intrinsically tied to the Consumer Price Index for Urban Wage Earnings and Clerical Workers (CPI-W). The 2023 COLA increase was significantly higher than usual. The last adjustment was at 8.7%, following a second year of high inflation. The 2023 increase marks the most substantial increase since 1981.
For 2024, 3.2% is based on the CPI-W’s percentage increase, a calculation of the Bureau of Labor Statistics that must be approved by the Senate. The VA then adjusts Veterans’ benefits, leading to an annual increase.
Of note, Veterans with a combined disability rating of 30% or higher and qualifying dependents are eligible for additional compensation. Qualifying dependents include a spouse, children under 18, or between the ages of 18 and 23 who are still in school.
Additional Helpful Information
If you need an increase in your benefits, it is important to make note of the several factors that may affect your monthly compensation payments. Veterans can visit the Department of Veteran Affairs website for more information or submit a new VA disability claim to pursue a claim for an increased rating. Tennesseeans can directly contact the Tennessee Department of Veterans Services for assistance.
Additional resources and support services for veterans and their loved ones are available on Pathfinder’s website, TNPathfinder.org, or a phone call away through our helpline at 1-800-640-4636.
Resources: Department of Veterans Affairs Compensation Rates