In addition to the retirement pension that is available to veterans that served for at least 20 years, there is another pension that is often overlooked. The benefit we are referring to is the Veterans Pension for wartime veterans that have a particular level of financial need.
Since we are in a new year, the benefits have been indexed for inflation, and the net worth limit has been increased to reflect the cost of living.
Net Worth Limit
Traditionally, there was no set-in-stone asset limit when eligibility was being determined. Decisions were made on a case-by-case basis depending on the circumstances, but the parameters were changed on October 18, 2018.
At that time, a hard net worth limit was instituted, and it includes your assets along with your annual income. In 2022, the limit is $138,489, but your home and a motor vehicle are not counted. Household items like appliances that would not be moved if you relocate are not counted either.
This is a benefit for wartime veterans. If you started serving before September 8, 1980, you need at least 90 days of service with one wartime service day. The length of service requirement goes up to 24 months or the completion of the agreed-upon term for those that began their service at a later date.
You can potentially qualify if you meet the above requirements, and you are 65 years of age or older. Former service members of any age that are totally and permanently disabled can gain eligibility as well.
2022 Veterans Pension Benefits
A single veteran that qualifies for the Veterans Pension can receive a maximum benefit of $14,753 a year. If you are an eligible veteran with one dependent, the annual benefit goes up to $19,320. Your benefit will be increased by $2523 for each additional dependent.
According to the United States Department of Health and Human Services, 52 percent of American seniors will require paid long-term care. Over one third will spend time to nursing homes, and these facilities are very expensive.
Medicare does not cover long-term custodial care, so this is not the solution. Clearly, the Veterans Pension comes in very handy for seniors that need living assistance.
There is an Aid and Attendance designation for seniors that need help with their activities of daily living, and eligible veterans receive a higher benefit. A single veteran that is Aid and Attendance eligible can receive an annual benefit of $24,610.
With one dependent, the figure goes up to $29,175. The increase for additional dependents is the same at $2523.
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