VA Compensation & Pension Benefits
The Department of Veterans Affairs (VA) offers compensation and pension benefits to disabled veterans. Which one you are eligible to receive depends upon the nature of your disability and how much you receive depends upon the rating that the VA assigns to your disability. In addition, if you receive a compensation or pension from the VA, you are eligible to receive medical benefits as well. The type of medical benefits that you receive depends upon both your disability rating as well as whether your disability is deemed service-connected or nonservice-connected.
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VA Compensation Benefits
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VA compensation benefits are awarded to veterans whose disabilities were caused by their military service or were made worse by their military service. Compensation is not affected by any other income that the veteran may have, so the veteran can still work or derive income from other sources if he wishes. In addition, a veteran with dependents will receive more in compensation than those without.
VA Pension Benefits
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VA pension benefits are awarded to veterans who are disabled, but their disabilities are not necessary related to their military service. The veteran must have a low income and her income directly affects how much she can receive in pension benefits. Veterans on a pension can only receive pension benefits up to the yearly amount denoted by Congress (which changes each year). All household income, including the veteran's spouse's income, counts toward the veteran's income and affects her pension benefits.
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Medical Benefits
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The VA has its own VA hospitals where veterans can receive treatment as well as prescriptions. If a veteran is rated as 100 percent service-connected disabled, he can receive all medical treatment and prescriptions completely for free, whether he receives a compensation or pension. Other disability ratings require copayments based upon the veteran's monthly income. All service-connected disabled veterans receive mandatory treatment, whereas nonservice-connected disabled veterans receive treatment on an availability basis.
Claims Process
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A veteran must file a claim with the VA before she can receive VA compensation or pension benefits. To do so, the veteran must complete VA Form 21-526, the Veterans' Application for Compensation and/or Pension. She must provide documentation of her disabilities like medical records as well as proof of her military service (her DD214 separation papers) and proof of any income and dependents. A veteran can apply for both compensation and pension, and if approved for both, the VA will award her the one that is the greater amount.
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