The Department of Veterans Affairs offers several financial assistance programs for eligible veterans and their surviving spouses who need help covering the cost of long-term care. Two of the most important and least understood of these programs are the VA pension and the Aid and Attendance benefit. Together they can provide significant monthly income to help pay for nursing home care, assisted living, or in-home care.
What is the VA pension
The VA pension — sometimes called the veterans pension or improved pension — is a tax-free monthly benefit paid to eligible wartime veterans who have limited income and assets and who are permanently and totally disabled due to a non-service-connected condition. Unlike VA disability compensation the VA pension is not related to a service-connected injury or illness.
To be eligible for the basic VA pension a veteran must meet all of the following requirements:
- Served at least 90 days of active duty with at least one day during a qualifying wartime period
- Was discharged under conditions other than dishonorable
- Is age 65 or older, or is permanently and totally disabled
- Meets income and asset limits set by the VA
Qualifying wartime periods include World War II, the Korean War, the Vietnam War, and the Gulf War among others. The specific dates that define each wartime period are set by law.
What is the Aid and Attendance benefit
Aid and Attendance is an enhanced level of the VA pension available to veterans and surviving spouses who need help with daily activities due to physical or mental limitations. It provides a higher monthly payment than the basic pension and is one of the most valuable — and underutilized — benefits available to eligible veterans.
To qualify for Aid and Attendance a veteran or surviving spouse must already be eligible for the basic VA pension and must meet at least one of the following criteria:
- Requires the assistance of another person to perform daily activities such as bathing, dressing, eating, or using the bathroom
- Is bedridden
- Is a patient in a nursing home due to mental or physical incapacity
- Has limited eyesight even with corrective lenses
What is the Housebound benefit
The Housebound benefit is another enhanced level of the VA pension available to veterans who are substantially confined to their home due to permanent disability. It provides a higher monthly payment than the basic pension but generally less than Aid and Attendance. A veteran cannot receive both Aid and Attendance and Housebound benefits at the same time.
How much does the VA pension pay
The VA pension pays the difference between the veteran’s countable income and the maximum annual pension rate set by Congress. The maximum annual pension rates are adjusted periodically and vary depending on the benefit level and whether the veteran has dependents.
As a general guideline the maximum annual pension rates for 2024 were approximately:
- Basic pension — veteran alone: approximately $16,000 per year
- Housebound — veteran alone: approximately $19,500 per year
- Aid and Attendance — veteran alone: approximately $27,500 per year
- Aid and Attendance — veteran with one dependent: approximately $32,700 per year
- Aid and Attendance — surviving spouse: approximately $17,700 per year
These figures are approximate and subject to change. Visit va.gov for current rates.
Income and asset limits
The VA pension is a needs-based benefit meaning that eligibility depends on income and assets. The VA deducts unreimbursed medical expenses — including the cost of in-home care, assisted living, and nursing home care — from countable income when determining eligibility. This means that veterans paying significant out of pocket care costs may qualify even if their gross income appears too high.
The VA also applies a net worth limit which includes both assets and annual income. The net worth limit is adjusted annually. For 2024 the net worth limit was approximately $155,000. The primary residence and personal vehicle are generally excluded from the net worth calculation.
The look-back period
Like Medicaid the VA pension program has a look-back period for asset transfers. Asset transfers made within 36 months of applying for the benefit may result in a penalty period of ineligibility. This rule was introduced to prevent veterans from transferring assets solely to qualify for the benefit.
Who can receive the benefit
The VA pension and Aid and Attendance benefit are available to:
- Eligible wartime veterans who meet the service, disability, income, and asset requirements
- Surviving spouses of eligible wartime veterans who have not remarried
A surviving spouse does not need to have served in the military to be eligible. They qualify based on their deceased spouse’s military service.
How the benefit can be used
Unlike some government benefits the VA pension and Aid and Attendance benefit can be used to pay for a wide range of care services including:
- In-home care provided by a paid caregiver
- Assisted living facility costs
- Memory care facility costs
- Nursing home care
- Adult day care services
The benefit is paid directly to the veteran or surviving spouse and can be used to pay any care-related expense. There is no requirement to use VA facilities or VA-approved providers.
How to apply
Applications for the VA pension and Aid and Attendance benefit are submitted to the Department of Veterans Affairs. The process involves:
- Gathering required documentation including discharge papers — called a DD-214 — proof of income and assets, medical evidence of disability or care needs, and documentation of unreimbursed medical expenses
- Completing VA Form 21-2680 — Examination for Housebound Status or Permanent Need for Regular Aid and Attendance — completed by a physician
- Submitting the application to the VA pension management center serving your state
Applications can be submitted online at va.gov, by mail, or in person at a VA regional office. Veterans service organizations such as the American Legion, VFW, and DAV provide free assistance with VA benefit applications.
How long does approval take
Processing times for VA pension claims vary but can take several months. Claims that are well documented and complete tend to be processed more quickly. Working with a veterans service organization or accredited VA claims agent can help ensure your application is complete and accurate.
Key terms to know
- VA pension — a tax-free monthly benefit for eligible low income wartime veterans with non-service-connected disabilities
- Aid and Attendance — an enhanced VA pension benefit for veterans who need help with daily activities
- Housebound benefit — an enhanced VA pension benefit for veterans substantially confined to their home
- Wartime veteran — a veteran who served at least one day of active duty during a qualifying wartime period
- Countable income — income used to determine VA pension eligibility after deducting unreimbursed medical expenses
- Net worth limit — the maximum combined value of assets and income allowed to qualify for the VA pension
- DD-214 — the official military discharge document required to apply for most VA benefits
- Veterans service organization — a nonprofit organization that provides free assistance with VA benefit claims
Sources
- U.S. Department of Veterans Affairs — va.gov
- USA.gov — Veterans Benefits
- National Council on Aging
This article is for general informational purposes only and does not constitute legal or financial advice. VA benefit rules and payment amounts are subject to change. Visit va.gov or contact a veterans service organization for the most current information specific to your situation.