Veterans’ Compensation Cost-of-Living Adjustment Act of 2025

Veterans' Compensation Cost-of-Living Adjustment Act of 2025

This bill requires the Department of Veterans Affairs (VA) to increase the amounts payable for wartime disability compensation, additional compensation for dependents, the clothing allowance for certain disabled veterans, and dependency and indemnity compensation for surviving spouses and children. Specifically, the VA must increase the amounts by the same percentage as the cost-of-living increase in benefits for Social Security recipients that is effective on December 1, 2025. The bill requires the VA to publish the amounts payable, as increased, in the Federal Register.

The VA is authorized to make a similar adjustment to the rates of disability compensation payable to persons who have not received compensation for service-connected disability or death.

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2138 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 2138

      To increase, effective as of December 1, 2025, 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, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 14, 2025

 Mr. Luttrell (for himself, Mr. McGarvey, Mr. Weber of Texas, and Mr. 
   Pfluger) introduced the following bill; which was referred to the 
                     Committee on Veterans' Affairs

_______________________________________________________________________

                                 A BILL


 
      To increase, effective as of December 1, 2025, 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, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Veterans' Compensation Cost-of-
Living Adjustment Act of 2025''.

SEC. 2. INCREASE IN RATES OF DISABILITY COMPENSATION AND DEPENDENCY AND 
              INDEMNITY COMPENSATION.

    (a) Rate Adjustment.--Effective on December 1, 2025, the Secretary 
of Veterans Affairs shall increase, in accordance with subsection (c), 
the dollar amounts in effect on November 30, 2025, for the payment of 
disability compensation and dependency and indemnity compensation under 
the provisions specified in subsection (b).
    (b) Amounts To Be Increased.--The dollar amounts to be increased 
pursuant to subsection (a) are the following:
            (1) Wartime disability compensation.--Each of the dollar 
        amounts under section 1114 of title 38, United States Code.
            (2) Additional compensation for dependents.--Each of the 
        dollar amounts under section 1115(1) of such title.
            (3) Clothing allowance.--The dollar amount under section 
        1162 of such title.
            (4) Dependency and indemnity compensation to surviving 
        spouse.--Each of the dollar amounts under subsections (a) 
        through (d) of section 1311 of such title.
            (5) Dependency and indemnity compensation to children.--
        Each of the dollar amounts under sections 1313(a) and 1314 of 
        such title.
    (c) Determination of Increase.--Each dollar amount described in 
subsection (b) shall be increased by the same percentage as the 
percentage by which benefit amounts payable under title II of the 
Social Security Act (42 U.S.C. 401 et seq.) are increased effective 
December 1, 2025, as a result of a determination under section 215(i) 
of such Act (42 U.S.C. 415(i)).
    (d) Special Rule.--The Secretary of Veterans Affairs may adjust 
administratively, consistent with the increases made under subsection 
(a), the rates of disability compensation payable to persons under 
section 10 of Public Law 85-857 (72 Stat. 1263) who have not received 
compensation under chapter 11 of title 38, United States Code.

SEC. 3. PUBLICATION OF ADJUSTED RATES.

    The Secretary of Veterans Affairs shall publish in the Federal 
Register the amounts specified in section 2(b), as increased under that 
section, not later than the date on which the matters specified in 
section 215(i)(2)(D) of the Social Security Act (42 U.S.C. 
415(i)(2)(D)) are required to be published by reason of a determination 
made under section 215(i) of such Act during fiscal year 2026.
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