Dependency and Indemnity Compensation (DIC) provides tax-free monthly payments to surviving spouses and children of veterans. Here's who qualifies and how to apply.
When a veteran dies from a service-connected condition — or after living for years with a total service-connected disability — their surviving family may be entitled to a monthly, tax-free payment from the VA called Dependency and Indemnity Compensation, or DIC. It is one of the most important survivor benefits, and also one of the least understood. This guide explains who qualifies, what DIC pays in 2026, and how it fits with other survivor benefits.
DIC is a monthly, tax-free benefit the VA pays to eligible survivors — most often a surviving spouse, but also dependent children and, in some cases, dependent parents. Unlike the VA Survivors Pension, which is needs-based, DIC is tied to the veteran's service-connected death or disability, not to the survivor's income or net worth.
A surviving spouse or child may qualify for DIC if any of these is true about the veteran: the veteran died from a service-connected illness or injury; the veteran died from another cause but had been rated totally disabling (including total disability based on individual unemployability) for a required period before death; or the veteran died in the line of duty on active duty, active duty for training, or inactive duty training.
For a surviving spouse, you generally must have been married to the veteran under the VA's marriage requirements and not have remarried — though there are exceptions, such as remarriage after age 55. A surviving child is typically eligible if unmarried and under 18, under 23 and enrolled in an approved school program, or permanently incapable of self-support due to a disability that began before age 18.
For deaths on or after January 1, 1993, DIC for a surviving spouse starts at a flat base rate, with extra amounts added for certain situations. These amounts are effective December 1, 2025 and are tax-free.
| Benefit | 2026 monthly amount |
|---|---|
| Surviving spouse base rate | $1,699.36 |
| Each dependent child under 18 | + $421.00 |
| 8-year provision | + $360.85 |
| Aid and Attendance | + $421.00 |
| Transitional benefit (first 2 years) | + $359.00 |
The 8-year provision adds $360.85 — bringing the base to about $2,060.21 — if the veteran was rated totally disabling for the 8 full years immediately before death and you were married to them for those same 8 years. Aid and Attendance is added if the surviving spouse needs regular help with daily activities. The transitional benefit is an extra amount paid only for the first two years after the veteran's death to a surviving spouse who has a child under 18.
DIC builds up from the base rate. For example, a surviving spouse with two children under 18 who also qualifies for the 8-year provision and Aid and Attendance would receive the $1,699.36 base, plus $421 for each child, plus $360.85, plus $421, plus the $359 transitional benefit — roughly $3,682 a month for the first two years, then about $3,323 a month after the transitional benefit ends.
DIC interacts with a few other programs. If you qualify for both DIC and the needs-based Survivors Pension, the VA pays whichever is higher — you cannot receive both. The Survivor Benefit Plan (SBP) is a separate Defense Department annuity a service member can buy at retirement; the old "SBP-DIC offset" that used to reduce SBP by the DIC amount was fully eliminated on January 1, 2023, so eligible survivors can now receive full SBP and full DIC at the same time. DIC-eligible survivors may also qualify for CHAMPVA health coverage and survivor education benefits such as the Fry Scholarship or Chapter 35 (DEA).
To apply, file VA Form 21P-534EZ, the Application for DIC, Survivors Pension, and/or Accrued Benefits. You can apply online at VA.gov, by mail, or with free help from an accredited Veterans Service Officer (VSO). Useful supporting documents include the veteran's death certificate, your marriage certificate (for a surviving spouse), and the children's birth certificates.
DIC is a monthly, tax-free payment that recognizes a service-connected loss. If your spouse or parent died from a service-connected condition — or lived for years rated totally disabled by one — it is worth checking your eligibility. A free VSO can help you file at no cost, DIC can be received alongside SBP, and it can open the door to CHAMPVA health coverage and survivor education benefits.
The 2026 base rate for a surviving spouse is $1,699.36 per month, tax-free, effective December 1, 2025. Added amounts apply for dependent children ($421 each), Aid and Attendance ($421), the 8-year provision ($360.85), and a two-year transitional benefit ($359) for a spouse with a child under 18.
No. DIC payments are completely tax-free at the federal level.
Yes. The "SBP-DIC offset" was fully eliminated on January 1, 2023, so eligible survivors can now receive a full SBP annuity and full DIC at the same time.
DIC is based on the veteran’s service-connected death or disability and is not income-based. Survivors Pension is a needs-based benefit for the survivors of wartime veterans with limited income and net worth. If you qualify for both, the VA pays whichever is higher.
It can, but there are exceptions. Generally, remarrying after age 55 does not end a surviving spouse’s DIC. The rules can be nuanced, so check your specific situation.