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What the Recruiter Won’t Tell You · Survivor & Family Benefits

VA Survivor Benefits Guide: Every Program Your Family May Be Owed

The death of a service member or veteran triggers five separate benefit systems run by three different agencies. They do not coordinate with each other. Nobody calls your family. This guide covers every program, what to file first, and the deadlines you cannot miss.

If you are reading this in the immediate aftermath of a loss:File for DIC and SGLI now, even before you feel ready. The paperwork does not have to be perfect — get it submitted. You can correct and supplement later. Waiting costs money your family has already earned.
iEducational information only — not legal or financial advice. Benefit rates and rules change. Verify current figures at VA.gov, DFAS.mil, and SSA.gov. Contact a VSO (DAV, VFW, American Legion) for free claims assistance.
$100K
Death Gratuity
One-time, tax-free, within days
$500K
SGLI Maximum
Life insurance lump sum
$1,699
DIC Base Rate
2026 monthly, tax-free
55%
SBP Annuity
Of covered retired pay, monthly

The Five Survivor Benefit Systems — And Why They Don’t Talk to Each Other

When a service member or veteran dies, benefits flow from five separate systems administered by three agencies. The Department of Defense handles Death Gratuity and SBP. The VA handles SGLI, DIC, CHAMPVA, DEA, and burial benefits. The Social Security Administration handles SSA survivor benefits. They share no data. They do not notify each other. Your family must file separately with each.

Survivor Benefit Systems — Quick Reference
ProgramAgencyTypeMax AmountTaxable
SGLIServicemembers Group Life InsuranceVA / PrudentialLump sumUp to $500,000No
DICDependency and Indemnity CompensationVAMonthly$1,699.36/mo (2026 base)No
SBPSurvivor Benefit PlanDoD / DFASMonthly annuity55% of covered retired payYes
DGDeath GratuityDoDLump sum$100,000No
SSASocial Security Survivor BenefitsSSAMonthlyVaries by earnings recordNo

The critical insight: These programs do not duplicate each other — they stack. SGLI and DIC are separate. DIC and SBP can now both be received in full (the old offset was eliminated in 2023). Death Gratuity is in addition to everything else. Most surviving families receive far less than they are owed because they did not know to file.

Where to get free help:VSOs (Veterans Service Organizations) provide free claims assistance — they file paperwork on your behalf at no cost and have accredited claims agents who know these systems. DAV, VFW, and American Legion all have this service. Ask to speak with an accredited claims agent, not just a general member.

Death Gratuity

$100,000 · One-Time · Tax-Free · Paid Within Days

The Death Gratuity is a $100,000 one-time, tax-free payment made to the survivors of service members who die while on active duty. It is also payable for reservists and National Guard members who die while on active duty orders or inactive duty training. This is not a benefit you apply for — the unit initiates it automatically and DFAS processes the payment within days, not months.

Who Receives It

The Death Gratuity follows the order of priority established by DD Form 93 — Record of Emergency Data. This form is completed at enlistment and should be updated whenever your family situation changes. The priority order if no designation is made:

  1. 1Surviving spouse
  2. 2Children (in equal shares)
  3. 3Parents (if no spouse or children)
  4. 4Siblings (if no spouse, children, or parents)
  5. 5Other person designated on DD Form 93
DD Form 93 — Why This Form Is Load-Bearing

The DD 93 is completed once and forgotten. That is the problem. If it was filled out before a marriage, divorce, or the birth of a child, it may not reflect your current wishes. Unlike a will, the DD 93 controls who receives the Death Gratuity — and it overrides informal instructions.

What to do now: Pull up your current DD 93 through your branch’s personnel portal. Review it any time your family situation changes — marriage, divorce, new child, death of a listed beneficiary. It takes ten minutes.

Coverage for Reservists and Guard Members

Death Gratuity eligibility applies to Ready Reserve and National Guard members who die while on: (1) active duty orders of any duration, (2) inactive duty training (drill weekends), or (3) performing authorized travel to or from such duty. A Guard member who dies in a training accident during an annual training period is covered. A Guard member who dies at home between drills is generally not covered by Death Gratuity — though SGLI may still apply depending on their enrollment status.

SGLI — Servicemembers Group Life Insurance

Up to $500,000 · Lump Sum · Tax-Free · 30–60 Day Payout

SGLI is group term life insurance administered by the VA through a contract with Prudential Life Insurance. Active duty members are automatically enrolled at the maximum — $500,000 — unless they voluntarily reduce coverage. The monthly premium for maximum coverage is $25 (verify current rate at va.gov/life-insurance/options-eligibility/sgli). There is no medical underwriting while on active duty; coverage is automatic regardless of health status.

Who Gets Paid — And the Most Common Mistake

SGLI pays whoever is listed on Form SGLV 8286 — the beneficiary designation form. This is absolute. It overrides your will. It overrides verbal instructions. It overrides what you told your spouse. The form controls.

The Most Common Tragedy in SGLI Claims

A service member enlists at 19, names their mother as beneficiary. Five years later they marry. They never update Form SGLV 8286. They die on deployment. Prudential pays $500,000 to the mother. The spouse and children receive nothing from SGLI — because the form said so. This has happened to real families.

What to do now: Log into your branch’s personnel portal and pull your SGLV 8286. Check the name. Update it after every major life event: marriage, divorce, birth, death of a listed beneficiary.

How to File an SGLI Claim

1
Obtain death certificate
You will need multiple certified copies — request at least 10 from the funeral home. Different agencies require originals.
2
File VA Form SGLV 8283
The Claim for Death Benefits. Download from VA.gov or Prudential. Submit to Office of Servicemembers Group Life Insurance (OSGLI).
3
Include proof of relationship
Marriage certificate if you're a spouse; birth certificate if you're a child or parent.
4
Submit by mail or fax
OSGLI: PO Box 41618, Philadelphia, PA 19176-9913. Fax: 1-800-236-6142. Keep copies of everything.
5
Expect 30–60 days for payment
Lump sum payment. Beneficiary may choose lump sum or installments. Lump sum is almost always better for flexibility.

TSGLI — Traumatic Injury Protection (Often Overlooked)

TSGLI (Traumatic Servicemembers Group Life Insurance) is a separate layer of SGLI coverage that pays a lump sum for severe non-fatal traumatic injuries sustained on active duty — including covered losses from accidents, not just combat. Maximum payout is $100,000. Covered losses include limb amputation, vision loss, hearing loss, severe burns, paralysis, and traumatic brain injury meeting specific thresholds.

TSGLI is dramatically underutilized because the injury must be documented by a medical professional using VA Form SGLV 8600, and many service members do not know the claim exists. If you or someone you know suffered a qualifying traumatic injury while on active duty — including during the 2001–present period — it is worth filing a TSGLI claim even if significant time has passed. The retroactive filing window covers injuries back to October 7, 2001.

What to do: File VA Form SGLV 8600 through your branch’s casualty assistance office or directly with OSGLI. A VSO can help document the claim and navigate the appeal process if an initial claim is denied.

DIC — Dependency and Indemnity Compensation

Monthly · Tax-Free · $1,699.36/mo Base Rate (2026) · Potentially for Life

DIC is a monthly VA payment to the surviving spouse, children, and in some cases parents, of service members or veterans who meet specific criteria. It is one of the most financially significant survivor benefits and one of the most frequently missed — because many surviving families do not know they qualify.

Who Qualifies for DIC

DIC is payable in three scenarios:

Death on Active Duty
The service member died while on active duty, active duty for training, or inactive duty training. The cause of death does not have to be combat-related. An accident, illness, or even a non-service cause that occurs while on active orders may qualify. The VA evaluates these on a case-by-case basis.
Service-Connected Death
The veteran died from a condition that was determined to be service-connected. This includes conditions rated as service-connected before death, as well as conditions that were not yet rated but can be established as service-connected posthumously. You can file a service-connection claim after the veteran's death — this is called a "survivor's claim" and it is commonly missed.
The 8-Year Rule (100% P&T)
A veteran who was rated 100% permanently and totally disabled (P&T) for a continuous period of at least 8 years immediately preceding death qualifies surviving spouses for DIC — regardless of the cause of death. This means a 100% P&T veteran who dies in a car accident after 8+ years at that rating creates DIC eligibility. Check the rating history. If the veteran was ever rated below 100% P&T during that 8-year window, the rule does not apply.

DIC Payment Amounts (2026)

Base rate (surviving spouse)$1,699.36/mo
Transitional benefit (first 2 years if children)+$332/mo
Each dependent child under 18+$349.60/mo
Aid & Attendance (if needed)+$432.27/mo
Housebound rate+$168.84/mo
Surviving parent (income-based)Separate calculation

Rates adjusted annually for cost-of-living. Verify current rates at VA.gov/survivors.

Critical — The SBP/DIC Offset: Eliminated as of January 2023

The “Widow’s Tax” Is Gone — But You May Need to Act

For decades, surviving spouses who received both SBP (the DoD retirement annuity) and DIC (the VA compensation payment) had their SBP reduced dollar-for-dollar by their DIC amount. Because DIC is tax-free and SBP is taxable, this was even more punishing than it appeared. A surviving spouse might receive $1,400/month in SBP and $1,600/month in DIC, only to have the SBP reduced to zero — losing the benefit the veteran paid premiums on for years.

The National Defense Authorization Act (NDAA) for Fiscal Year 2018 mandated a phase-out of this offset. The phase-out occurred in three steps ending January 1, 2023. As of that date, surviving spouses are entitled to receive both SBP and DIC in full — no reduction, no offset.

If you were affected by the offset before 2023 and have not contacted DFAS to confirm your current payment reflects the full amounts of both SBP and DIC, do so now. Call DFAS at 1-800-321-1080.

How to File for DIC

File VA Form 21P-534EZ ("Application for DIC, Death Pension, and/or Accrued Benefits"). Do not wait. The DIC claim timeline is 3–6+ months and starting the clock early matters. Even if you are uncertain whether you qualify, file anyway — the VA will evaluate eligibility and may find qualifying conditions you were not aware of.

If the veteran’s death was not already service-connected, include a statement explaining the relationship between military service and the cause of death. A nexus letter from a treating physician can substantially strengthen this claim. See the Nexus Letter Guide for how to obtain one.

DIC for Children and Parents

Dependent children under 18 (or up to 23 if in school) are eligible for DIC payments in addition to or instead of surviving spouse payments. Children over 18 with permanent disabilities that began before age 18 may also qualify. Surviving parents may qualify for income-based DIC separately from spouse/child DIC. File VA Form 21P-535 for surviving parent claims. A VSO can help navigate the separate eligibility criteria for each category of survivor.

SBP — Survivor Benefit Plan

55% of Covered Retired Pay · Monthly · Taxable · Retirees Only

SBP is a monthly annuity for surviving spouses and dependents of military retirees — those who completed 20 or more years of qualifying service and are receiving retired pay. SBP is not a VA benefit; it is administered by DFAS under DoD authority. It is the retiree equivalent of life insurance, but structured as an annuity rather than a lump sum.

How SBP Works

Annuity amount55% of the covered base amount
Cost (premium)6.5% of covered base amount, deducted from retired pay
When it startsFirst day of the month following the retiree's death
TaxabilityTaxable as ordinary income
Inflation protectionAdjusted annually with military retiree COLA
DurationFor surviving spouse's lifetime (see remarriage rule below)

The Irrevocable Election — What You Need to Know Before Retirement

SBP must be elected at retirement. This decision is irrevocable once made — you cannot add coverage later (with rare exceptions for open season windows) and you cannot increase coverage after the fact. At retirement counseling, service members choose: full SBP, partial SBP (a reduced base amount), or no SBP.

Declining SBP requires spousal concurrence — the spouse must sign acknowledging the election. This is a legal protection, but it does not always prevent a surviving spouse from being unaware of the full implications. If SBP was declined or reduced without a clear understanding of the financial impact, that decision cannot generally be reversed outside of an open season window.

The Remarriage Rule

If a surviving spouse remarries before age 55, SBP payments stop. If that subsequent marriage ends (by death or divorce), SBP payments can resume — but the surviving spouse must apply to DFAS for reinstatement. This rule catches many families by surprise. If you are a surviving spouse who has remarried and that marriage has ended, contact DFAS to determine whether you are entitled to reinstatement of SBP payments.

SBP vs. Life Insurance — The Financial Comparison

A common question at retirement is whether to elect SBP or instead decline it and purchase term life insurance to cover the same income stream. The trade-offs are real:

SBP Advantages
  • +Guaranteed for life — cannot outlive it
  • +Inflation protection via annual COLA
  • +No medical underwriting ever
  • +Premiums paid pre-tax from retired pay
  • +No risk of lapse or nonpayment
SBP Considerations
  • Taxable income to surviving spouse
  • Ceases if surviving spouse remarries before 55
  • 6.5% premium for potentially decades if outliving spouse
  • Term life may provide more flexibility if lump sum invested
  • No cash value — premiums not returned if spouse predeceases

Most financial planners advising military retirees recommend SBP as the baseline protection, with life insurance as supplemental — not as a replacement. The longevity guarantee alone is worth significant value. Use the SBP Decoded guide and the SBP Calculator for scenario-specific analysis.

VA Life Insurance Programs Overview

Beyond SGLI, the VA administers several life insurance programs for veterans after separation. These are separate from survivor benefits but are relevant because they create future death benefit obligations for your family. A brief overview:

VGLIVeterans Group Life Insurance

VGLI is the post-separation continuation of SGLI. You have 1 year and 120 days after separation to convert to VGLI without a medical exam. Coverage can match your SGLI amount. Premiums increase with age on a 5-year band schedule. This is the most critical window most separating service members miss — after 120 days, you lose the no-exam conversion right. See the SGLI Guide for the full breakdown.

Read the SGLI/VGLI Guide
S-DVIService-Disabled Veterans Life Insurance

S-DVI provided up to $10,000 of life insurance coverage for veterans rated 0–29% service-connected. Note: VA Life (VALife) replaced S-DVI for new applicants as of January 1, 2023. Veterans who held existing S-DVI policies may continue them, but new applications are no longer accepted for S-DVI. Veterans seeking this type of coverage should apply for VALife instead (see below). Existing S-DVI policyholders: veterans with a higher disability rating may qualify for premium waiver; contact the VA insurance center to confirm your policy status.

VALifeVeterans Affairs Life Insurance (VALife)

VALife replaced some legacy VA insurance programs. It offers whole life insurance for veterans with service-connected disabilities rated at 0% or higher. Maximum coverage is $40,000. No medical underwriting for eligible veterans. Premiums are fixed for life based on age at enrollment. Apply through VA.gov/life-insurance within 2 years of a disability rating decision.

Burial Benefits

The VA provides burial benefits for eligible veterans. These are often the first practical items a surviving family needs to arrange, yet families regularly pay for services they were entitled to receive free. The key benefits are:

VA Burial Benefits — Eligible Veterans
National Cemetery BurialFreeEligible veterans and eligible dependents; includes opening/closing of grave
Headstone or MarkerFreeFor any eligible veteran; also available for private cemeteries
Burial FlagFreeOne per eligible veteran; presented at funeral
Presidential Memorial CertificateFreeSigned by President; request via VA Form 40-0247
Burial Allowance (service-connected)$796Reimbursement; file within 2 years
Burial Allowance (non-service-connected)$300For veterans receiving VA pension or hospital care at time of death
Plot or Interment AllowanceUp to $796For burial in a private cemetery when national cemetery is not used

National Cemetery Burial — What It Covers

Burial in a national cemetery is free for eligible veterans and may be free for eligible spouses and dependent children. What "free" covers: the gravesite, opening and closing the grave, a burial liner, a headstone or marker, and perpetual care. The family is responsible for transportation of remains to the cemetery and funeral home services, which are not covered.

Eligibility for national cemetery burial covers: veterans discharged under conditions other than dishonorable, military retirees, members of the Selected Reserve who die while a member, and others meeting VA criteria. It does not require a minimum period of service for veterans who served after September 7, 1980, with certain exceptions.

To schedule burial at a national cemetery, contact the National Cemetery Scheduling Office at 1-800-535-1117. Have the veteran’s DD 214 or other discharge documents available. The scheduling office can confirm eligibility and locate the nearest available national cemetery.

Burial Allowance — Filing for Reimbursement

If the veteran was buried in a private cemetery, a partial burial allowance is available. File VA Form 21P-530 (Application for Burial Benefits) within 2 years of the date of burial. You will need itemized funeral receipts. The claim goes to the VA regional office serving the veteran’s last address.

Keep all receipts. Funeral expenses paid before the claim is filed are still reimbursable as long as you file within the 2-year window. Do not wait to see if you qualify — submit and let the VA determine eligibility.

DEA — Survivors’ and Dependents’ Educational Assistance (Chapter 35)

45 Months · Spouses & Children · College, Vocational, Apprenticeships

DEA is an education benefit for surviving spouses and children of veterans who are permanently and totally disabled due to service or who died from a service-connected condition. It provides up to 45 months of full-time education benefits and is completely separate from Chapter 33 (Post-9/11 GI Bill) — different eligibility, different amounts, different application process.

Who Qualifies

Surviving SpouseSpouse of a veteran who died from a service-connected condition, or who was rated permanently and totally disabled at time of death. Eligibility window for spouses depends on when the veteran's disability was established.
Dependent ChildChildren between ages 18 and 26 (or up to 31 if they were prevented from using the benefit due to active duty service). Children do not need to have served. Eligibility extends from age 18 to age 26, or up to 31 with extension requests.

What DEA Covers

DEA benefits can be used at colleges, universities, vocational schools, correspondence schools, apprenticeships, on-the-job training programs, and tutorial assistance. The benefit includes a monthly housing allowance (MHA) paid directly to the student, and a books and supplies stipend.

DEA monthly payments are generally lower than Post-9/11 GI Bill rates. If a surviving spouse or dependent child is also eligible for the Post-9/11 GI Bill (through a transfer of entitlement from another veteran, or their own service), they should compare benefit amounts before electing DEA. Switching between benefit types after using months of one can be complicated — consult a VA school certifying official before enrolling.

How to Apply for DEA

File VA Form 22-5490 (Application for Survivors’ and Dependents’ Educational Assistance). Submit to VA.gov or mail to your VA regional processing office. Include documentation establishing the veteran’s service-connected condition or death. Once approved, work with your school’s VA certifying official each semester — benefits are not automatic after the initial approval; each enrollment period must be certified.

CHAMPVA — Civilian Health and Medical Program of the Department of Veterans Affairs

Free Health Coverage · 75% After Deductible · Not Tricare

CHAMPVA is a comprehensive health care program for the dependents and surviving spouses of veterans rated 100% permanently and totally disabled or who died from a service-connected condition. Despite its importance, it is one of the most frequently confused benefits — many eligible families believe they are not covered because they confuse CHAMPVA with Tricare, which has different eligibility rules.

CHAMPVA Eligibility

You are eligible for CHAMPVA if you are the spouse or unmarried dependent child of:

  • A veteran who died from a VA-rated service-connected condition
  • A veteran who was rated 100% permanently and totally disabled at the time of death
  • A veteran who died while rated 100% P&T (even if cause of death was unrelated)
  • A service member who died in the line of duty but was not eligible for Tricare
CHAMPVA vs. Tricare — The Key DifferenceTricare covers active duty members, military retirees (20+ years), and their dependents. CHAMPVA covers dependents of 100% P&T or service-connected death veterans who are NOT Tricare-eligible. You cannot be enrolled in both simultaneously. If a surviving spouse has Tricare eligibility (e.g., from their own military retirement or from a prior marriage to a retiree), CHAMPVA does not apply. When Tricare eligibility ends, CHAMPVA eligibility may begin.

What CHAMPVA Covers

CHAMPVA covers most medical services and supplies, including:

Inpatient hospital care
Outpatient medical care
Mental health services
Prescription medications
Preventive care and screenings
Maternity care
Skilled nursing facility care
Durable medical equipment
Laboratory and diagnostic services
Ambulance services

Cost Structure

Monthly premiumNone
Annual deductible per beneficiary$50
Annual deductible cap per family$100
Cost share after deductible25% (CHAMPVA pays 75%)
Out-of-pocket cap per year$3,000 per beneficiary

How to Apply for CHAMPVA

File VA Form 10-10d (Application for CHAMPVA Benefits). Submit to the VA Health Administration Center in Denver, CO (address at VA.gov/health-care/family-caregiver-benefits/champva). Include: completed form, proof of veteran’s death or disability rating (VA letter), your marriage certificate if applying as a spouse, and birth certificates for dependent children.

Wait until after DIC is approved before filing CHAMPVA if the eligibility basis is the veteran’s service-connected death — the DIC award letter is the clearest proof of eligibility. In the interim, explore COBRA continuation from the veteran’s employer if applicable, or short-term marketplace coverage to bridge the gap.

CHAMPVA does not use the same provider network as Tricare — most providers who accept Medicare also accept CHAMPVA. Call the CHAMPVA call center at 1-800-733-8387 to verify provider participation before scheduling appointments.

The Claim Timeline — What to File and When

These timelines are realistic averages, not guarantees. Your experience may differ depending on claim complexity, VA regional office workload, and how quickly you can gather documentation. The most important thing is to start early and file even when documentation is incomplete — you can supplement later.

Claim Timeline & Action Items
File Now
Death GratuityDays
Automatic — paid by unit to designated recipient on DD Form 93
File Now
SGLI30–60 days
File VA Form SGLV 8283 with Prudential; gather death certificate and beneficiary ID
File Now
DIC3–6+ months
File VA Form 21P-534EZ immediately — do not wait for SGLI to settle
SBP2–4 months
Contact DFAS with death certificate and marriage certificate
Social Security1–3 months
Call SSA at 1-800-772-1213 or visit local office; bring birth certificates for children
CHAMPVA6–8 weeks
File VA Form 10-10d after DIC is approved; cover gap with COBRA if needed
DEA (Ch. 35)4–8 weeks after school certifies
File VA Form 22-5490; work with school certifying official
Burial BenefitsWithin 2 years
File VA Form 21P-530; keep all funeral receipts
Practical First Steps — The First Two Weeks
  1. 1Request 10+ certified copies of the death certificate from the funeral home. Every benefit requires one. Running out causes delays.
  2. 2Contact a VSO — DAV, VFW, or American Legion — within the first week. They can help you file correctly and catch benefits you might miss. This is free.
  3. 3File for DIC (VA Form 21P-534EZ) as soon as possible. The processing time is 3–6+ months. Start the clock now.
  4. 4File the SGLI claim (SGLV 8283) with Prudential/OSGLI — you should receive payment within 30–60 days.
  5. 5Contact DFAS if the veteran was a retiree with SBP — 1-800-321-1080. They will guide you through the documentation needed.
  6. 6Apply for Social Security survivor benefits at your nearest SSA office or online at SSA.gov. Bring birth certificates for children.
  7. 7Do not make irreversible financial decisions in the first 90 days. Major decisions — real estate, large purchases, investments — should wait until the financial picture is clear.

Frequently Asked Questions

The questions families actually ask — answered directly.

Do I get both SGLI and DIC? Are they separate?
Yes — SGLI and DIC are completely separate programs run by different agencies. SGLI is administered by the VA through a contract with Prudential; it is a life insurance payout, typically a lump sum of up to $500,000. DIC is a monthly VA compensation payment to surviving spouses and children. Receiving one does not affect the other. You should apply for both simultaneously. SGLI is paid within 30–60 days; DIC takes 3–6+ months. Do not wait for SGLI to settle before filing DIC.
What is the SBP/DIC offset and has it been fixed?
The SBP/DIC offset — sometimes called the 'widow's tax' — was a rule that reduced a surviving spouse's SBP annuity dollar-for-dollar by any DIC payment they received. Because DIC is tax-free and SBP is taxable, this was especially punishing. The National Defense Authorization Act (NDAA) for FY 2018 mandated a phase-out of this offset. As of January 1, 2023, the offset has been fully eliminated. Surviving spouses are now entitled to receive both SBP and DIC in full with no reduction. If you were previously affected by the offset and had not updated your payment elections, contact DFAS to ensure you are receiving the correct combined amount.
Can I get SBP if my spouse didn't elect it at retirement?
Generally, no. SBP must be elected at retirement and is irrevocable. If a retired service member declined SBP or reduced the covered base amount, surviving spouses cannot retroactively add or increase it. The exception is open season elections — Congress has occasionally authorized limited open enrollment windows where retirees could elect or increase SBP, often with a retroactive premium cost. These are rare. If you believe you missed an open season or if you believe an election was made in error, contact DFAS and consult a VSO. Additionally, if a divorce decree awarded SBP coverage and the retiree failed to carry out the order, there may be a legal remedy through the courts.
How does CHAMPVA differ from Tricare? Can I have both?
CHAMPVA and Tricare are entirely separate health programs with different eligibility rules. Tricare covers active duty service members, retirees with 20+ years, and their dependents. CHAMPVA covers dependents of veterans who died from a service-connected condition, or who were rated 100% permanently and totally disabled at the time of death. You generally cannot be enrolled in both simultaneously — if you are Tricare-eligible, you are not eligible for CHAMPVA. However, if Tricare eligibility ends (for example, after a surviving spouse remarries), CHAMPVA eligibility may apply. CHAMPVA has no monthly premium, a $50/year deductible per beneficiary (capped at $100 per family), and covers 75% of allowable charges after the deductible.
Does DIC count as income for other benefits or tax purposes?
DIC payments are not subject to federal income tax and do not count as income for most federal programs, including Medicaid and SNAP. However, states vary on how they treat DIC for state income tax purposes and for state-administered benefit programs. DIC does not affect Social Security survivor benefit eligibility or amounts. It does not count against means-tested VA programs. If you are applying for housing assistance, Medicaid, or other income-based programs, consult the program directly or a VSO to confirm how DIC is treated in your specific state and program context.
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DisclaimerThis guide is for educational purposes only and does not constitute legal, financial, or benefits advice. Benefit rates, eligibility rules, and program details change. Always verify current information at VA.gov, DFAS.mil, and SSA.gov, and consult an accredited VA claims agent or attorney before making decisions about benefits. VSO services (DAV, VFW, American Legion) are free and can provide personalized guidance on your specific situation.
Published by the Honest MOS Editorial DeskVerified against DoD/.gov sourcesUpdated May 2026Editorial standards