The bill restores full concurrent retired pay and VA disability compensation for combat-disabled veterans—boosting their income and financial stability—while increasing federal costs and requiring administrative updates that could cause short-term implementation challenges.
Veterans with combat-related disabilities will receive both full military retired pay and full VA disability compensation concurrently beginning in the effective month, increasing their overall income and financial security.
Veterans and pay administrators will see payments begin promptly (payments effective the month after enactment) due to updated effective-date and cross-reference provisions that enable faster implementation.
Taxpayers will incur additional federal costs because ending the offset increases retirement and disability outlays.
DoD and VA pay systems and staff will need to implement updates, creating administrative work that could cause implementation delays or payment errors affecting veterans and federal employees.
Based on analysis of 2 sections of legislative text.
Removes statutory offsets so retirees with VA combat-related disability compensation can receive full retired pay and VA compensation concurrently.
Official title: To amend title 10, United States Code, to provide for concurrent receipt of veterans' disability compensation and retired pay for disability retirees with combat-related disabilities, and for other purposes.
Introduced March 14, 2025 by Gus Bilirakis · Last progress March 14, 2025
Permits military retirees who are entitled to both retired pay and VA disability compensation for combat-related disabilities to receive both payments in full by excluding the reductions under 38 U.S.C. §§5304 and 5305 from retired-pay calculations. Makes conforming technical edits to related retirement statute language and sets the effective date as the first day of the first month after enactment, applying to payments for months beginning on or after that date.