How VA Disability Compensation is Computed

Eligibility for Veteran Disability benefits requires a service member to obtain a disability rating from the (Veterans Affair) VA office. Individuals can do this by filing a claim with the VA using Form 21-526, or the Veterans Application for Compensation or Pension. If the form is filed within one year of release from duty, the claimant is entitled to receive compensation retroactively.

Authorities from the VA can now determine a claimant’s disability rating on a scale of 0% to 100%. Different ratings constitute different compensation amounts; the greater an individual’s disability, the more he/she will receive.

Benefits computation starts at 10%. A 0%-9% rating duly acknowledges a disability, but deems such condition as inadequate for eligibility. On the other hand, a 100% rating means a condition is so disabling that the veteran wouldn’t be able to maintain a steady employment for life.

The current payment rates for an individual with no dependents begins at $127 per month (tax-free) for those with a 10% rating, and can go up to $2,769 for a 100% rating. Individuals with ratings at 30% and higher are entitled to receive additional allowance for any dependents. Total monthly payment can rise to as much as $3285 a month for a 100% disabled veteran with dependents. However, note that there’s still a higher ceiling for the compensation amounts when dealing with vets suffering from multiple conditions.


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