VA disability pay: What a 3% 2027 COLA could add to monthly checks in biggest increase in years – AL.com

VA disability pay: What a 3% 2027 COLA could add to monthly checks in biggest increase in years  AL.com

VA disability benefits are on track for about a 3% COLA increase in 2027. Veterans on disability benefits could see a roughly 3% or higher increase in payments from December. The law requires that the percentage of cost-of-living adjustment (COLA) made to Social Security benefits also apply to disability benefits to ensure they keep pace with inflation. The 2027 adjustment will be effect in December, with the first check payment coming on December 31. The size of the COLA is based on an average inflation measure known as the Consumer Price Index for Urban Wage Earners and Clerical Workers, or CPI-W. It compares the average CPI-W readings for July, August and September with the average for the same three months a year earlier.

Compared to the 2025 average, the July index rose 3.1% more and the August index 3.5%. It won’t be until Oct. 14 when the September index would be published for the final 2027 COLA to be available. But based on the July and August percentage index increase, COLA is tracking to be at least 3% for 2027, and the highest in three years, compared to 2.5% in 2025 and 2.8% in 2026. A veteran with a spouse and child on a 70% disability rating currently receives $2,074 a month now. A 3% COLA would add $62 per