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Veteran Affairs Pension Types

When it comes to pensions and payments made by the Department of Veterans Affairs, it is easy to be overwhelmed. There are quite a few to make sense of. 

 

At National Service Financial, while we cannot help you apply for a DVA pension or payment, we can guide you through how to make the most of whatever Veteran Affairs pension you receive. 

 

Specialising in ADF finances and DVA payments, we’re the team you can trust to help you achieve financial stability and security at every stage of your ADF journey. 

What Is A Veteran Affairs Pension?

Veteran Affairs Pension Types

A Veterans Affairs pension is a payment made to former Defence force members to provide a regular source of income for them and their dependents.

There are several types of pensions and payments made by the DVA to former members who have either:

 

  • Been discharged due to medical reasons or 
  • Who have served in war or war-like environments

Who Can Qualify For A Veteran Affairs Pension?

Each Veteran Affairs pension has its own unique qualifying criteria and claims process. Want to learn more about yoursituation and potential to claim for and receive a Veteran Affairs pension? We recommend reviewing the detailed information available on the DVA’s website.

Types Of Veterans Affairs Pensions

 

Service Pension

 

Service pensions fall into three categories:

 

  1. Age Service Pension. Designed to provide a regular income to Veterans, this payment can be made to Veterans who meet the age requirement or those who are incapacitated for work. It is available at a younger age than the government’s social security age pension. 
  2. Invalidity Service Pension. For Veterans with qualifying service or those that have been permanently incapacitated for work, the DVA provides an invalidity service pension. Eligibility is not linked to the age of the applicant. Unlike some other Veterans Affairs pensions your incapacity does not have to have been caused by service in order to qualify. You will need to be assessed for your permanent incapacity and meet strict criteria before this pension will be approved
  1. Partner Service Pension. Recipients of this pension include; partners of Veterans with qualifying service, former partners of Veterans with qualifying service and a widow or widower of a Veteran who had qualifying service. 

Unlike the invalidity and age pension, you must be at least 60 years of age before you can claim a partner service pension. In special circumstances, this may be lowered to 50 years of age. 

SRDP Veteran Affairs Pension TypesSpecial Rate Disability Pension

Paid in lieu of incapacity payments, this pension is paid to Veterans who have an injury or disease assessed at 50 or more impairment points. This pension, unlike incapacity payments, is tax-free and continues indefinitely regardless of when the old age pension begins. 

While receiving the SRDP, you may also qualify for a service pension

Other Veterans Affairs Payments

While not referred to as Veterans Affairs pensions, there are other payments or compensation you may receive from the DVA as a Veteran. These are include but are not limited to: 


Incapacity Benefits

As mentioned above, incapacity payments have similar qualifying criteria to the SRDP but are taxable and cease in line with the old age pension age. 

As a Veteran, you may be offered the SRDP in place of incapacity payments and will need to carefully weigh up this decision and its financial impacts. 

 

“The DVA recommends seeking qualified professional help with this decision and also offers reimbursement towards the costs involved.”

Permanent Impairment Payments

Permanent Impairment compensation is paid to Veterans in acknowledgement of any permanent physical and/or mental
impairment that exists due to accepted conditions caused by their time in service. It also acknowledges any lifestyle restrictions your illness or injury has caused.

It is not considered to be a payment for income support or economic loss. As with other impairment-related payments you will be assessed and payment calculated based on the outcome of the assessment. 

Veteran Payment

This payment is a short-term support payment made to Veterans awaiting a decision on their claims to the DVA.  

Where To Find Help 

No matter which Veteran Affairs pension or payment you receive it is vital that you create a budget and financial plan to manage it. Some payments are taxable or can exclude you from eligibility for other payments including Family Tax Benefits, Child Support payments and more. 

Understanding your financial position and tax obligations can help you better prepare for a financially secure future. For professional support and advice from experienced financial advisors, contact National Service Financial
today on 1300 580 802.