On this page
Key points
- VA's 2023 disability compensation and DIC increase was 8.7%; VA's rate tables are effective December 1, 2022, and VA said recipients should see the increased amount beginning with their January 2023 payment.[1][2]
- The 2023 base monthly DIC rate for an eligible surviving spouse, when the Veteran died on or after January 1, 1993, was $1,562.74; added amounts depend on survivor circumstances.[3]
- Military retired pay and federal civilian annuities do not all receive the same percentage: retirement coverage, plan, eligibility, and timing matter.[4][5]
- The 2023 Social Security COLA announcement came from SSA on October 13, 2022; it was not a pending congressional proposal.[6]
Yes—but the question needs a date and a program. In 2023, VA disability compensation and Dependency and Indemnity Compensation (DIC) increased by 8.7%. VA's 2023 tables were effective December 1, 2022, and VA said recipients should see the increased amount beginning with their January 2023 payment. These are historical figures; use VA's current rate tables for present amounts.[1][2]
What was the 2023 VA disability increase?
SSA announced an 8.7% cost-of-living adjustment (COLA) for Social Security and SSI on October 13, 2022. VA then applied the same adjustment to VA disability compensation and other listed benefits. VA's historical 2023 compensation tables state that the rates were effective December 1, 2022. The exact monthly amount depended on your disability rating and dependent family members.[6][2]
VA disability compensation is a monthly benefit for Veterans whose illness or injury was caused or aggravated by service. A percentage increase does not mean every recipient received the same dollar increase: the starting rate and dependent status determine the underlying payment. Check the official table rather than applying 8.7% to an old amount without checking its category.[2]
When did the increase take effect?
The VA rate tables use an effective date of December 1, 2022. VA's December 2022 announcement said recipients should see the increased compensation amount beginning with their January 2023 payment. Do not treat January 20 as a universal payment date: individual programs and payment schedules can differ. If a historical payment did not match your notice, VA advised contacting the agency.[1][2]
Did DIC benefits increase in 2023?
Yes. For 2023, the base monthly DIC rate for an eligible surviving spouse when the Veteran died on or after January 1, 1993, was $1,562.74, effective December 1, 2022. DIC is a survivor benefit, and additional amounts or different rates can apply based on the survivor's category, children, qualifying disabilities, and other circumstances. Use VA's complete historical table rather than treating the base rate as everyone's payment.[3]
How did military retired pay change in 2023?
Military retired pay is administered separately from VA disability compensation. The amount and timing depend on the retiree's applicable retirement plan, eligible service, and the official Defense Department or DFAS schedule. Do not assume that every military retiree received the same 8.7% increase or the same payment date as a VA compensation recipient.[4]
Some retirees covered by the CSB/REDUX retirement formula receive a COLA that is 1 percentage point below the standard adjustment. Eligibility and computation depend on the member's retirement coverage and election; the career-start date alone is not enough to determine the result. The DoD calculator identifies REDUX as the plan for members who opted for the Career Status Bonus; verify an individual estimate with DFAS or DoD.[4]
What about federal civilian retirees?
For 2023, OPM listed a maximum 8.7% CSRS COLA and a maximum 7.7% FERS COLA. The increase was effective December 1, 2022 and payable in January 2023 annuity payments. First-year annuitants may receive a prorated increase, and FERS has age and exception rules. Check OPM's annual notice for your retirement system and annuity commencing date.[5]
OPM prorates a first COLA based on the annuity commencing date; CSRS and FERS percentages differ. Use OPM's 2023 proration table and your annuity record rather than estimating from the calendar month you retired. This is why a simple example such as 11/12ths of 8.7% can be misleading.[5]
What should veterans do with this information?
- Identify the payment Separate VA disability compensation, DIC, military retired pay, Social Security, and a federal civilian annuity. They have different administrators and rules.
- Use the right dated table For historical 2023 questions, use VA's 2023 compensation or DIC table and OPM's 2023 notice. For current amounts, start with the current official table.
- Check your individual notice Your rating, dependents, survivor category, retirement system, plan election, and annuity commencing date can all affect the amount.
- Ask the administrator For a payment question, contact VA, DFAS, SSA, or OPM directly. A general percentage cannot replace an agency calculation.
If your broader question is how military or VA benefits fit with Medicare, you can read our VA health care and Medicare guide or Veterans Medicare FAQ. You can also book a call with Veterans Advantage Financial®. We are an independent insurance agency, not affiliated with or endorsed by VA, SSA, Medicare, CMS, OPM, DFAS, or any other government agency.
Common questions
Was the 2023 VA pay increase still a proposal in April 2023?
No. The 8.7% adjustment had already been announced and implemented for VA compensation, with the historical rate tables effective December 1, 2022.[1][2]
Did every veteran receive an 8.7% larger payment?
No. The 8.7% was the adjustment rate, while the dollar amount depended on the benefit program, rating, dependent status, or survivor circumstances.[2][3]
Was the 2023 base DIC rate $1,562.73?
No. VA's 2023 table lists $1,562.74 as the base monthly rate for an eligible surviving spouse in the specified category. Additional amounts and other survivor categories differ.[3]
Did military retired pay and VA compensation use the same payment date?
Not necessarily. They are separate programs with separate administrators and schedules. Confirm a military retired-pay date with DFAS or DoD and a VA payment question with VA.[4][1]
Was the 2023 federal retiree COLA 8.7% for everyone?
No. OPM listed a maximum 8.7% CSRS COLA and a maximum 7.7% FERS COLA, with proration and eligibility rules that can affect first-year annuitants.[5]
Sources
- U.S. Department of Veterans Affairs. “Record pay increase for Veterans receiving VA compensation benefits.” VA News, December 2022. news.va.gov/113397/record-pay-increase-va-compensation
- U.S. Department of Veterans Affairs. “Past rates: 2023 Veterans disability compensation rates.” VA.gov. va.gov/disability/compensation-rates/veteran-rates/past-rates-2023
- U.S. Department of Veterans Affairs. “Past rates: 2023 D.I.C. rates for spouses and dependents.” VA.gov. va.gov/family-and-caregiver-benefits/survivor-compensation/dependency-indemnity-compensati
- U.S. Department of Defense. “Calculators.” Military Compensation and Financial Readiness. militarypay.defense.gov/calculators
- U.S. Office of Personnel Management. “Benefits Administration Letter 23-101: Annual Changes.” November 28, 2022. opm.gov/retirement-center/publications-forms/benefits-administration-letters/2023/23-101.p
- Social Security Administration. “Social Security Announces 8.7 Percent Benefit Increase for 2023.” Press release, October 13, 2022. ssa.gov/news/en/press/releases/2022-10-13.html
Sources checked October 11, 2026. Dollar amounts are for 2026 unless noted.
This is general education, not personal advice, and it isn’t a recommendation of any specific plan. Veterans Advantage Financial® is a licensed insurance agency, not affiliated with or endorsed by Medicare, Social Security, VA, TRICARE or any government agency. Plan availability, costs and benefits vary by plan, county and year. Check your own situation with the agency or plan before making changes.
Christopher Duncan
Christopher founded Veterans Advantage Financial® and has helped people with Medicare since 2006. He is a licensed insurance agent in all 50 states and DC (NPN 8613503). His dad, Wallace, is a Vietnam-era veteran.