2.5 percent increased signed into law Nov. 24 and is based on Social Security Administration’s COLA increase for next year.
With President Biden’s signing of H.R. 7777, the Veterans’ Compensation Cost-of-Living Adjustment Act of 2024, into law on Nov. 25, military retirees and disabled veterans receiving Department of Veterans benefits will see a 2.5 percent cost-of-living adjustment (COLA) in 2025.
The COLA increase is tied to the increase of the same amount announced by the Social Security Administration last October. Most government disability and retirement payments are required by law to increase annually by the same amount to account for the rate of inflation.
The COLA amount is determined by the Department of Labor and is based on the Consumer Price Index, which measures a broad sampling of the cost of consumer goods and expenses and how they relate to the previous year’s cost.
The increase will impact veterans receiving VA disability compensation and clothing allowance, and for survivors receiving dependency indemnity compensation payments.
According to Military.com, the increase means veterans rated at 100 percent without any dependents will receive approximately $93.45 per month, while those rated at 10 percent will see an increase of around $4.28 per month.
- Veterans Benefits