Summary

Increases monthly Dependency and Indemnity Compensation (DIC) for surviving spouses by changing the formula to equal 55% of the monthly compensation rate under 38 U.S.C. §1114(j), with the change taking effect for months beginning six months after enactment. For survivors whose DIC is based on a veteran’s death before January 1, 1993, the VA must pay whichever is greater: the prior statutory amount or the new 55% amount. Also changes how DIC is calculated when a veteran was rated totally disabled immediately before death: payments under one provision become pro rata if the continuous total-disability rating period before death is under 10 years (scaled by the fraction of that period over 10 years), and the qualifying continuous-rating period for an automatic payment is shortened from 10 years to five years.

• Surviving-spouse DIC is set to 55% of the monthly compensation rate under 38 U.S.C. §1114(j).
• The new DIC formula takes effect for months beginning six months after enactment.
• For deaths before Jan 1, 1993, survivors get the greater of the prior statutory amount or the new 55% amount.
• If the continuous total-disability rating period immediately before death is under 10 years, certain DIC payments are scaled pro rata by (period/10 years).
• The continuous-rating threshold for an automatic DIC payment is lowered from 10 years to 5 years.
• VA must update calculations and pay higher benefits for many survivors, increasing long-term mandatory spending obligations.
• No explicit appropriation is included; the bill amends benefit formulas (authorization-level change).
• Beneficiaries will not receive retroactive increases for months before the six-month effective date under the bill's text.