VA Disability and other VA benefits are set to increase in 2025, thanks to the Cost of Living Adjustment (COLA).

This yearly adjustment is designed to help veterans keep pace with inflation and rising costs.

The VA COLA increase for 2025 is expected to be around 2.5%, meaning veterans can look forward to slightly higher monthly payments starting in January 2025.

What is the VA COLA Increase?

The Cost of Living Adjustment (COLA) is an annual boost that helps adjust benefits like VA Disability based on inflation. For 2025, experts estimate a 2.5% increase.

This percentage is applied to current benefits, ensuring that veterans don’t lose purchasing power as costs rise.

For example, if you’re currently receiving $3,600 in VA Disability benefits, a 2.5% COLA increase would add about $90 to your monthly payment, raising it to $3,690.

How the COLA Boost Affects Veterans?

While the COLA increase may not sound huge, it can add up over time. A 100% disabled veteran, for instance, currently receives $3,836 per month.

With the expected 2.5% adjustment, that amount could go up to about $3,932 per month—an additional $96 monthly, totaling over $1,100 more per year.

When Will Veterans See the Increase?

The VA follows a predictable payment schedule, sending out payments on the 1st of each month.

Since January 1, 2025, falls on a holiday, veterans can expect their first increased payment in late December 2024.

However, benefits will remain the same for the rest of 2024 until this adjustment kicks in.

Why Does the COLA Increase Matter?

The purpose of the COLA is to keep up with rising costs for essentials like food, housing, and utilities.

While it won’t make anyone rich, it ensures that veterans can continue to meet their basic needs without falling behind due to inflation.