As we move into the latter half of the year, millions of U.S. veterans who receive disability benefits from the Department of Veterans Affairs (VA) are eagerly awaiting updates about the 2026 cost-of-living adjustment (COLA).
According to experts, the anticipated news will be announced in October 2025, with a relatively modest increase, in line with the ongoing trend of cooling inflation.
Understanding the VA’s Annual Adjustment Process
Each year, the VA adjusts its disability compensation rates to reflect changes in the cost of living. This adjustment is tied to the Social Security COLA, which is determined using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) data from the third quarter. The 2026 COLA will be revealed in mid-October 2025, following the same timeline as previous years.
Once the new COLA figures are released, they will go into effect on December 1, 2025, and veterans can expect to receive their updated payments by January 1, 2026. This process is outlined by VA Disability Group and VA Claims Insider.
Projected Increase in VA Disability Benefits for 2026
Although the exact increase has not yet been confirmed, analysts suggest that the 2026 COLA could be around 2.5%. This is a smaller increase compared to the more substantial COLAs of previous years, reflecting the current trend of lower inflation.
Here’s an overview of the potential impact on benefits:
- 10% Disability Rating: From approximately $175 to around $180
- 50% Disability Rating: From approximately $1,102 to around $1,130
- 100% Disability Rating: From approximately $3,738 to around $3,831
Note: These figures are based on base compensation and do not include additional payments for dependents or special monthly compensation.
Why the COLA Adjustment Matters for Veterans
The COLA adjustment is vital for ensuring that veterans’ benefits keep pace with rising living costs. For those on fixed incomes, this adjustment is crucial as it helps them manage fluctuations in the economy.
In recent years, veterans have received significant COLA increases: 8.7% in 2023 and 3.2% in 2024. A 2.5% increase in 2026 marks a return to more typical adjustments following a period of heightened inflation.
What’s Next for Veterans
Although the 2026 COLA may not be as high as the increases seen in recent years, even a modest increase can provide significant relief for veterans and their families.
Veterans should monitor updates from the VA.gov and Social Security Administration (SSA) websites, or consult with accredited veterans’ advocates to stay informed about any changes to their benefits.
Veterans can expect official news regarding the 2026 COLA in October 2025, which will set the benefit rates for the upcoming year.
The 2026 VA Disability Compensation COLA is projected to be a modest increase, following a period of larger raises. While it may not match the substantial hikes of previous years, it still represents an essential adjustment for veterans facing rising costs.
Veterans should stay updated on this change by following official channels and talking to trusted sources to ensure they are prepared for the upcoming adjustments.
FAQs
When will the 2026 COLA be announced for veterans?
The 2026 COLA for veterans is expected to be announced in October 2025.
How much will VA Disability benefits increase in 2026?
The anticipated increase for 2026 is around 2.5%, based on current inflation trends.
When will veterans see the new COLA payments?
Veterans will begin receiving the 2026 COLA payments by January 1, 2026.