skip to Main Content

2023 VA Disability Compensation Rates for Veterans

According to the Department of Veterans Affairs, the maximum possible VA disability compensation rate is $4,295.92 per month for a veteran with a 100% disability rating. For veterans with multiple disabilities, the total amount of compensation they receive may be greater than the sum of their individual ratings. These newest disability compensation rates include the highest percentage increase since the program began, and better takes into account the dependents that may be reliant on the Veteran.

There are also a number of special benefits that can be added to a veteran’s monthly disability compensation, such as allowances for dependents or housing costs. In some cases, veterans may also be eligible for state benefits on top of their VA benefits.

If you are a veteran with a service-related disability, it’s important to understand what benefits you may be eligible for and how much you can expect to receive. Use the information below as a guide to help you get started.

What Is VA Disability Compensation?

VA disability compensation is a monthly benefit paid to veterans with disabilities that are due to their military service. The amount of compensation a veteran receives is based on the severity of their disabilities, with higher payments going to those with more serious conditions.

In order to receive VA disability compensation, a veteran must first have their service-connected disabilities rated by the Department of Veterans Affairs (VA). The VA uses a scale of 0% to 100% to rate both the severity of a disability and the degree to which it limits a veteran’s ability to work.

Once a veteran has their disabilities rated, they will be placed into one of three categories:

Tier I: Veterans with a single disability rated at 20% or less

           Veterans with a single disability rated at 20% or less

Tier II: Veterans with multiple disabilities, or a single disability rated between 30% and 60%

           Veterans with multiple disabilities, or a single disability rated between 30% and 60%

Tier III: Veterans with multiple disabilities, or a single disability rated at 70% or more

The tier system is used to determine how much VA disability compensation a veteran will receive each month. The higher the tier, the higher the compensation rate.

How Much VA Disability Compensation Will I Receive?

The amount of VA disability compensation you receive each month is based on your tier level and the number of dependents you have. The table below shows the 2023 monthly rates for each tier, as well as the additional amounts depending on dependent factors:

Tier I: $165.92 – $327.99 per month

Tier II: $508.05 – $1,513.65 per month, depending on whether the Veteran is single, married, has children, and/or taking care of parents

Tier III: $1,757.06 – $4,295.92 per month, depending on whether the Veteran is single, married, has children, and/or taking care of parents

In some cases, a veteran may be eligible for a higher rate of compensation if their disability is particularly severe or if they have a dependent spouse or child. These higher rates are known as “special monthly compensation” and can range from $267.66 to $4,295.92 per month.

In previous years determining VA disability compensation was easier, but major changes effective December 1, 2022 has made it much more complicated. For a complete breakdown as well as a benefits calculator, visit the VA’s rate table.

In addition to their regular monthly compensation, veterans may also receive allowances to help cover the cost of housing or other needs. The amount of these allowances varies depending on the veteran’s individual situation.

Finally, it’s important to note that VA disability compensation is considered taxable income by the IRS. However, many veterans are able to deduct their disability-related expenses when filing their taxes, which can offset some or all of the taxes owed on their benefits.

What Other Benefits Am I Eligible For?

In addition to VA disability compensation, veterans may also be eligible for a number of other benefits, including:

Health care: Veterans with service-connected disabilities are eligible for free health care through the VA. In some cases, veterans with non-service connected disabilities may also be able to receive VA health care, but they may have to pay copayments for their care.

Veterans with service-connected disabilities are eligible for free health care through the VA. In some cases, veterans with non-service connected disabilities may also be able to receive VA health care, but they may have to pay copayments for their care. Education benefits: Veterans who served on active duty for at least 90 days may be eligible for the GI Bill, which provides up to 36 months of tuition assistance for college, vocational school, or other training programs.

Veterans who served on active duty for at least 90 days may be eligible for the GI Bill, which provides up to 36 months of tuition assistance for college, vocational school, or other training programs. Housing benefits: Veterans with service-connected disabilities may be eligible for a specially adapted housing grant to help them purchase or modify a home to meet their needs. Additionally, all veterans may be able to get help with their mortgage through the VA Home Loan program.

Veterans with service-connected disabilities may be eligible for a specially adapted housing grant to help them purchase or modify a home to meet their needs. Additionally, all veterans may be able to get help with their mortgage through the VA Home Loan program. Employment benefits: Veterans who are disabled as a result of their military service may be eligible for vocational rehabilitation and employment services through the VA. These services can help veterans find and keep a job that is suited to their skills and abilities.

For more information on these and other benefits available to Michigan veterans, contact your nearest VA Regional Office.

How Do I Apply For VA Disability Compensation?

If you think you might be eligible for VA disability compensation, the first step is to gather any relevant medical records and documentation from your time in service. This can include your DD-214 discharge form, medical records, and service treatment records.

Next, you’ll need to complete an application for disability compensation. This can be done online, by mail, or in person at your nearest VA Regional Office. Once your application has been received, it will be reviewed by a disability compensation rating specialist.

If you are found to be eligible for benefits, the amount of your monthly compensation will be based on the severity of your disability as well as any dependent children or spouses you have. You should receive your first benefit payment within a few months after your application is approved.

What If I’m Denied Benefits?

If your application for VA disability compensation is denied, you have the right to appeal the decision. The appeals process can be complex, so it’s important to have an experienced attorney on your side.

An attorney can help you gather evidence and witnesses to support your claim, as well as file the necessary paperwork to get your appeal started. With an attorney’s help, you can give yourself the best chance of getting the benefits you deserve.

What are the VA Disability Compensation rates for Veterans?

VA Disability compensation rates are based on a percentage of impairment, with 100% being the most severe. The exact amount of benefits you will receive each month depends on your individual circumstances, but the following ranges give an idea of what to expect:

-0% to 20% = $327.99/month (no dependents)

21% to 30% = $508.05month (no dependents)

31% to 40% = $731.86/month (no dependents)

41% to 50% = $1,041.82/month (no dependents)

51% to 60% = $1,319.65/month (no dependents)

61% to 70% = $1,663.06/month (no dependents)

71% to 80% = $1,933.15/month (no dependents)

81% to 90% = $2,172.39/month (no dependents)

91% to 100% = $3,621.95month (no dependents)

VA Home Loans from Six Pillar Lending

Do you have questions about home loans for veterans? Six Pillar Lending is here to help. Our VA-savvy team of experts can help you get your dream home with the best financing possible. Get in touch with us today to get started.

Back To Top