Legislation recently signed into law will give veterans a cost of living adjustment for several forms of their compensation.
The Veterans’ Compensation COLA Act of 2017 (H.R. 1329) was introduced in March by Congressman Mike Bost (R-IL). It was signed into law by President Trump on November 2.
The new law gives veterans a COLA for the following forms of compensation:
- Wartime disability compensation
- Compensation for dependents
- Clothing allowance
- Dependency and indemnity compensation to surviving spouses
- Dependency and indemnity compensation to children paid to wounded warriors and their families for injuries they suffered while serving
The COLA will be based on the same computation methodology as what is used for Social Security. That computation is done using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).
The new COLA will take effect December 1, 2017 for the benefits categories listed above that are in effect on November 30, 2017.
