Parents DIC is a separate benefit from spousal DIC and is available to the parents of veterans who died from a service-connected cause. Unlike spousal DIC which pays a flat rate, Parents DIC is income-based and the payment amount decreases as the parent income increases. Both biological and adoptive parents may qualify. To be eligible, the parent must have income below the threshold established by VA. The income limit and payment rates depend on whether the parent is living alone, living with a spouse, or whether both parents of the veteran are alive and living together. Parents DIC considers countable annual income from most sources. Medical expenses that are not reimbursed by insurance can be deducted from countable income, which may help parents with high medical costs qualify for a higher benefit. The benefit amount is recalculated annually based on reported income. Parents must report income changes and notify VA if their living situation changes. Parents DIC continues as long as the parent income remains below the applicable threshold. If income exceeds the limit in one year but drops below it in a subsequent year, the parent can reapply. This benefit is often overlooked because many people are not aware it exists. If your child died from service-connected causes and you have limited income, you may be eligible.
Note: This article references sections of the VA's M21-1 Adjudication Procedures Manual. The VA periodically reorganizes the M21-1 and section numbers may have changed since this article was written. For the most current section references, visit the VA's public M21-1 Web Automated Reference Material System (WARMS).