Later this year veterans benefits could see a major cost-of-living boost, thanks to new legislation that was just finalized by Congress.
The U.S. House of Representatives just unanimously passed the Veterans’ Compensation Cost-of-Living Adjustment Act. The bill was passed by the Senate several months back, so it now heads to Biden’s desk to be signed into law.
If Biden approves the new legislation, it will tie the cost-of-living boost for veterans benefits to the increase in Social Security benefits.
The exact amount of the increase is not finalized, but recent data suggests it could be as much as 6.2 percent. That is a huge boost from the last 6 years, which averaged an increase of only 1.3 percent per year.
If the expected numbers hold true, it would be the biggest increase for VA benefit recipients since 1983.
Lawmakers praised Monday’s bill passage as needed support for American veterans.
“The cost-of-living adjustment to veterans’ benefits is so much more than a rate adjustment tied to inflation,” said Rep. Mark Takano, D-Calif., in a statement. “It is a quality-of-life guarantee in the retirement years for veterans suffering with service-connected disabilities and ailments.”
Committee ranking member Mike Bost, R-Ill., said the increase is critical for veterans and families who rely on disability benefits as a primary source of income.
“Many veterans rely on disability compensation payments to make ends meet; this was especially true during the pandemic,” he said in a statement. “For millions of veterans and their families, this adjustment is more important now than ever before.”via Military Times
According to the bill’s summary, it would increase the “amounts payable for veterans’ disability compensation, additional compensation for dependents, the clothing allowance for certain disabled veterans and dependency and indemnity compensation for surviving spouses and children.”