What Is VA Disability Compensation?

VA disability compensation is a tax-free monthly benefit paid to veterans who have a service-connected disability — meaning a physical or mental health condition that was caused or worsened by active military service. The amount you receive depends on your disability rating, which is expressed as a percentage from 0% to 100%.

Who Is Eligible?

To qualify for VA disability compensation, you generally must meet these criteria:

  • You served on active duty, active duty for training, or inactive duty training
  • You have a current physical or mental health condition
  • There is a connection between your condition and your military service
  • You were not discharged under dishonorable conditions

Pre-existing conditions may still qualify if your service aggravated them beyond their natural progression.

How Disability Ratings Work

The VA assigns a disability rating based on the severity of your condition. Ratings are issued in 10% increments (10%, 20%, 30%… up to 100%). If you have multiple service-connected conditions, the VA uses a "combined ratings" formula — not simple addition — which can be confusing. For example, a veteran with two 50% ratings does not automatically receive a 100% rating.

Rating levels and approximate monthly compensation (for a single veteran with no dependents, as of recent VA schedules):

  • 10–20%: Lower monthly payments; no additional dependent supplements
  • 30–60%: Moderate compensation; dependent supplements begin at 30%
  • 70–90%: Significant monthly benefit; may qualify for additional programs
  • 100%: Maximum compensation; may qualify for Total Disability based on Individual Unemployability (TDIU)

Always check the official VA website at va.gov for the most current payment rates, as they are adjusted annually.

Step-by-Step: How to File a Claim

  1. Gather your evidence. Collect service records, medical records, buddy statements, and any nexus letters from physicians linking your condition to your service.
  2. File online, by mail, or in person. The fastest method is filing online through VA.gov using the VA Form 21-526EZ.
  3. Attend your C&P exam. The VA will likely schedule a Compensation & Pension (C&P) exam with a VA or contract physician. Attend this — it is critical to your rating.
  4. Receive your decision. The VA will mail a Rating Decision letter outlining their findings and your assigned rating.
  5. Appeal if necessary. If you disagree with the decision, you have the right to appeal through the Supplemental Claim lane, Higher-Level Review, or Board of Veterans' Appeals.

Tips for a Stronger Claim

  • Be thorough and honest about how your condition affects your daily life and work
  • Obtain a private nexus letter from a qualified physician if possible
  • Work with an accredited Veterans Service Organization (VSO) such as the DAV, VFW, or American Legion — their claims assistance is free
  • Keep copies of everything you submit
  • Track your claim status regularly at VA.gov

Additional Resources

The VA's official benefits portal at va.gov/disability provides detailed information on all aspects of disability compensation. VSOs are often the most valuable resource a veteran can use — they know the system and advocate on your behalf at no cost.