Veterans’ Compensation Cost-of-Living Adjustment Act of 2025
Summary
The Veterans’ Compensation Cost-of-Living Adjustment Act of 2025 aims to increase the rates of compensation for veterans with service-connected disabilities and the rates of dependency and indemnity compensation for the survivors of certain disabled veterans. The increases would be effective as of December 1, 2025. The bill directs the Secretary of Veterans Affairs to adjust compensation rates based on the same percentage as Social Security benefits are increased.
Expected Effects
If enacted, this bill will increase the financial benefits received by veterans with service-connected disabilities and their survivors. The specific amount of the increase will depend on the cost-of-living adjustment (COLA) determined for Social Security benefits. The adjusted rates will be published in the Federal Register.
Potential Benefits
- Increased financial support for veterans with disabilities.
- Enhanced benefits for surviving spouses and children of disabled veterans.
- Automatic adjustments tied to Social Security COLA, ensuring benefits keep pace with inflation.
- Administrative adjustments for disability compensation rates for certain individuals not covered under chapter 11 of title 38.
- Public transparency through publication of adjusted rates in the Federal Register.
Potential Disadvantages
- The increase is dependent on the Social Security COLA, which may not fully reflect the specific cost-of-living increases faced by veterans.
- Potential administrative burden on the Department of Veterans Affairs to implement the adjustments.
- The bill does not address potential long-term funding challenges for veterans' compensation programs.
- No specific disadvantages identified beyond potential administrative costs and reliance on Social Security COLA.
- The bill's impact is limited to compensation rates and does not address other aspects of veteran support.
Constitutional Alignment
The bill aligns with the Constitution's mandate to "provide for the common defence" and promote the "general Welfare" by supporting veterans who have served the nation. Congress has the power to legislate for the military under Article I, Section 8, which includes providing for veterans' benefits. The bill does not appear to infringe on any specific constitutional rights or limitations.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).