Summary
In 2026, U.S. veterans receiving disability compensation from the Department of Veterans Affairs (VA) will see an increase in their payments due to a cost-of-living adjustment (COLA). This adjustment ensures that payments keep up with inflation to help protect veterans' purchasing power. Eligibility for VA disability compensation is based on service-related conditions and active duty service, with new payment rates effective from December 31, 2025.
Key Facts
- Around 6.5 million U.S. veterans get monthly, tax-free disability compensation from the VA.
- Starting in 2026, a cost-of-living adjustment will increase veterans' payments to match inflation.
- Disability compensation depends on the severity of a service-related condition and if the veteran has dependents.
- Payment examples for 2026: $180.42 for a 10% rating, $356.66 for a 20% rating, and $4,671.47 for a 100% rating with dependents.
- Veterans need a service-related health condition and active duty service to be eligible for compensation.
- The VA considers both physical and mental health conditions for compensation eligibility.
- The VA processed a record number of disability claims in 2025, improving accuracy and clearing a significant backlog.
- Payment dates for 2026 start on January 30, continuing monthly through December 1.
