Understanding VA Disability Pay in 2025: Legislative Changes and Updates

Veterans receiving disability compensation might see adjustments in 2025 due to cost-of-living increases and proposed bills in Congress. Learn about what is changing, how it may affect benefits, and which updates are most relevant for veterans and their families

Understanding VA Disability Pay in 2025: Legislative Changes and Updates

VA disability pay provides essential financial support to millions of veterans across the U.S. Each year, the Department of Veterans Affairs applies a Cost-of-Living Adjustment (COLA) to align payments with inflation. According to the VA, more than 5.6 million veterans receive monthly disability compensation. In 2025, veterans benefit from a 2.5% COLA increase, alongside ongoing discussions in Congress around additional legislation such as the Major Richard Star Act.

This 2025 Bill Could Affect Your VA Disability Pay – In a Good Way

The 2025 COLA increase means veterans’ monthly disability compensation rose by 2.5% starting December 1, 2024. At the same time, pending bills such as the Major Richard Star Act aim to expand eligibility for concurrent receipt of both military retirement and VA disability pay. If approved, this would be a major policy change affecting many veterans. 

Receiving VA Disability Pay? This 2025 Update Could Impact You

For veterans already receiving VA disability pay:

  • COLA is automatic — no action is required by the recipient.
  • Pending bills, such as H.R.333 (Disabled Veterans Tax Termination Act), propose expanding concurrent pay eligibility.
  • Survivors and dependents tied to VA compensation also see adjustments based on the COLA increase.

Comparison: VA Disability Pay Rates Before and After 2025 COLA

Disability Rating2024 Monthly Rate (Single Veteran)2025 Monthly Rate (Single Veteran, +2.5% COLA)
10%$171.23$175.51
30%$524.31$537.42
50%$1,041.82$1,067.87
70%$1,663.06$1,704.64
100%$3,737.85$3,831.30

Note: These are sample base rates for single veterans without dependents. Actual amounts may vary depending on dependents, spouse, or special allowances.

Other Key Factors to Watch in 2025

  • Evaluation changes: Conditions like tinnitus and sleep apnea are under review for rating adjustments.
  • Legislation progress: Bills like the Major Richard Star Act could reshape eligibility for concurrent receipt.
  • Future COLA adjustments: 2026 rates will depend on inflation data collected throughout 2025.

Conclusion

VA disability pay in 2025 reflects both steady adjustments through COLA and potential legislative reforms that may broaden eligibility for certain benefits. While the 2.5% COLA increase is already in effect, pending bills such as the Major Richard Star Act and Disabled Veterans Tax Termination Act remain under consideration. Veterans and their families benefit from staying informed about these developments to understand how their benefits may evolve.

References

  1. Veterans Affairs – https://www.va.gov/disability/compensation-rates/veteran-rates/
  2. U.S. Congress – H.R.333 Disabled Veterans Tax Termination Act – https://www.congress.gov/bill/119th-congress/house-bill/333
  3. Stars and Stripes – https://www.stripes.com/veterans/2025-09-09/veterans-cost-of-living-allowance-increases-19031357.html
  4. Veteran Life – https://veteranlife.com/veteran-benefits/project-2025-va-disability-benefits