In 2025, veterans receiving disability benefits and military retirees will see a 2.5% increase in their monthly payments. This Cost of Living Adjustment (COLA) is a response to rising inflation, aimed at ensuring that veterans and retirees maintain their purchasing power amid higher living costs. Veterans with service-connected disabilities and survivors receiving benefits under the Survivor Benefit Plan are included in this increase, while those under the Career Status Bonus (Redux) plan will see a slightly smaller raise.
This adjustment benefits a wide range of individuals, from retired service members to those receiving VA disability compensation. For example, veterans rated at 100% disability will receive a larger boost to offset the financial challenges associated with their health conditions. Retired service members, particularly those who depend on these payments as their main income, can expect a noticeable difference that helps cover daily expenses such as groceries, housing, and healthcare.
The COLA increase for 2025 aligns with a similar adjustment for Social Security recipients and other federal benefits, as the adjustment rate is calculated based on changes in the Consumer Price Index. This rise reflects an effort to address the current inflationary pressures impacting many Americans, especially those on fixed incomes like veterans and retirees, who rely on these payments to support themselves and their families.
The new 2025 disability rates are below:
| 10% – 20% (No Dependents) | |
|---|---|
| Percentage | Rate |
| 10% | $175.51 |
| 20% | $346.95 |
| 30% – 60% Without Children | ||||
|---|---|---|---|---|
| Dependent Status | 30% | 40% | 50% | 60% |
| Veteran Alone | $537.42 | $774.16 | $1,102.04 | $1,395.93 |
| Veteran with Spouse Only | $600.97 | $859.24 | $1,208.64 | $1,524.05 |
| Veteran with Spouse & One Parent | $652.22 | $926.89 | $1,293.71 | $1,626.55 |
| Veteran with Spouse and Two Parents | $703.47 | $994.54 | $1,378.79 | $1,729.05 |
| Veteran with One Parent | $588.67 | $841.81 | $1,187.11 | $1,498.43 |
| Veteran with Two Parents | $639.92 | $909.46 | $1,272.19 | $1,600.93 |
| Additional for A/A spouse | $58.43 | $77.90 | $97.38 | $116.85 |
| 70% – 100% Without Children | ||||
|---|---|---|---|---|
| Dependent Status | 70% | 80% | 90% | 100% |
| Veteran Alone | $1,759.19 | $2,044.89 | $2,297.96 | $3,831.30 |
| Veteran with Spouse Only | $1,907.81 | $2,215.04 | $2,489.63 | $4,044.91 |
| Veteran with Spouse and One Parent | $2,027.74 | $2,351.36 | $2,643.38 | $4,216.35 |
| Veteran with Spouse and Two Parents | $2,147.66 | $2,487.69 | $2,797.13 | $4,387.79 |
| Veteran with One Parent | $1,879.11 | $2,181.21 | $2,451.71 | $4,002.74 |
| Veteran with Two Parents | $1,999.04 | $2,317.54 | $2,605.46 | $4,174.18 |
| Additional for A/A spouse | $137.35 | $156.83 | $176.30 | $195.92 |
| 30% – 60% With Children | ||||
|---|---|---|---|---|
| Dependent Status | 30% | 40% | 50% | 60% |
| Veteran with Child OnlyVeteran with Spouse and Child | $579.44 | $830.54 | $1,172.76 | $1,481.00 |
| Veteran with Spouse and Child | $648.12 | $921.76 | $1,286.54 | $1,617.33 |
| Veteran with Spouse, One Parent and Child | $699.37 | $989.41 | $1,371.61 | $1,719.83 |
| Veteran with Spouse, Two Parents and Child | $750.62 | $1,057.06 | $1,456.69 | $1,822.33 |
| Veteran with One Parent and Child | $630.69 | $898.19 | $1,257.84 | $1,583.50 |
| Veteran with Two Parents and Child | $681.94 | $965.84 | $1,342.91 | $1,686.00 |
| Add for Each Additional Child Under Age 18 | $31.78 | $42.03 | $52.28 | $63.55 |
| Each Additional Schoolchild Over Age 18 | $102.50 | $136.33 | $171.18 | $205.00 |
| Additional for A/A spouse | $58.43 | $77.90 | $97.38 | $116.85 |
| 70% – 100% With Children | ||||
|---|---|---|---|---|
| Dependent Status | 70% | 80% | 90% | 100% |
| Veteran with one Child (no spouse and no parents) | $1,858.61 | $2,158.66 | $2,426.08 | $3,974.15 |
| Veteran with Spouse and Child (no parents) | $2,017.49 | $2,340.09 | $2,630.06 | $4,201.34 |
| Veteran with Spouse, One Parent and One Child | $2,137.41 | $2,476.41 | $2,783.81 | $4,372.78 |
| Veteran with Spouse, Two Parents and Child | $2,257.34 | $2,612.74 | $2,937.56 | $4,544.22 |
| Veteran with One Parent and Child | $1,978.54 | $2,294.99 | $2,579.83 | $4,145.59 |
| Veteran with Two Parents and Child | $2,098.46 | $2,431.31 | $2,733.58 | $4,317.03 |
| Add for Each Additional Child Under Age 18 | $73.80 | $84.05 | $95.33 | $106.14 |
| Each Additional Schoolchild Over Age 18 | $239.85 | $273.68 | $308.53 | $342.85 |
| Additional for A/A spouse | $137.35 | $156.83 | $176.30 | $195.92 |
