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Increase VA Compensation Rates Automatically

On May 5, 2011, a bill was introduced in the U.S. Senate to provide a cost-of-living adjustment in the benefits paid to those receiving disability compensation, compensation for dependents, clothing allowances, dependency and indemnity compensation benefits, and dependency and indemnity compensation benefits for children.

U.S. Senator Patty Murray of Washington, the chairperson of the Senate Committee on Veterans’ Affairs, and every member of the Committee co-sponsored the legislation.

If enacted, this legislation would not establish a set amount paid. Rather, the amount paid would be increased based on increases in the Consumer Price Index, which is the leading indicator of cost of living in America. That is, if the cost of living in America increases by 3% then VA compensation benefits will be increased by 3% automatically. The payment rates would be calculated yearly, rounded down to the nearest whole dollar. Any increases in compensation would be based on the rates in effect on November 30, 2011.

The bill would remove from the political process adjustments in compensation paid to veterans and their dependents and guarantee an adjustment in compensation that keeps pace with the cost of living.

The text of the legislation may be found at .