Projected 2025 Basic Veterans Pension, Aid & Attendance, Housebound Maximum Annual Pension Rates

Introduction
Every year we project the new Veterans Affairs (VA) Maximum Annual Pension Rates, and our 2025 projections are below. We do this so families and care providers will know how much veterans have to spend on care, and because VA pensions can impact Medicaid eligibility. Eligible veterans or their surviving spouses can use both Medicaid and Veterans VA pensions to cover their long-term care needs, although each program has its own strengths and eligibility criteria.

2025 VA Pension Estimates

Below are the estimated 2025 Maximum Annual Pension Rates (MAPRs) for the VA Basic, Aid & Assistance and Housebound Pensions. These estimates are also based on a projected 2.5% increase in COLA for 2025. The Social Security Administration will release the official COLA on approximately Oct. 10, 2024, and the official MAPRs will be effective from Dec. 1, 2024 – Nov. 30, 2025.

Basic Veterans Pension / Basic Survivors Pension

• Veteran with no spouse or dependent child – $16,995/year ($1,413/month)
• Married veteran or veteran with a dependent child – $22,216/year ($1,851/month)
• Two veterans married to each other – $22,216/year ($1,851 / month)
• Surviving Spouse with no dependent children – $11,380/year ($948/month)
• Surviving Spouse with a dependent child – $14,893/year ($1,241/month)

Aid & Attendance (A&A) Pension

• Veteran with no spouse or dependent child – $28,300/year ($2,358/month)
• Married veteran or veteran with a dependent child – $33,548/year ($2,795/month)
• Two veterans married to each other (one qualifies for A&A) – $33,548/year ($2,795/month)
• Two veterans married to each other (one qualifies for A&A, the other for Housebound) – $37,305/year ($3,108/month)
• Two veterans married to each other (both qualify for A&A) – $44,886/ year ($3,740/month)
• Surviving Spouse with no dependent children – $18,187/year ($1,515/month)
• Surviving Spouse with a dependent child – $21,696/year ($1,808/month)

Housebound Pension

• Veteran with no spouse or dependent child – $20,732/year ($1,727/month)
• Married veteran or veteran with a dependent child – $25,982/year ($2,165/month)
• Two veterans married to each other (one qualifies for Housebound) – $25,982/year ($2,165/month)
• Two veterans married to each other (one qualifies for A&A, the other for Housebound) – $37,305/year ($3,108/month)
• Two veterans married to each other (both qualify for Housebound) – $29,747/year ($2,478/ month)
• Surviving Spouse with no dependent children – $13,908/year ($1,159/month)
• Surviving Spouse with a dependent child – $17,414 ($1,451/month)

Comparing Medicaid Long-Term Care and VA Pension Financial Rules

Veterans must meet certain military service requirements regarding time served and discharge status to qualify for a VA pension. They also have to meet a monthly income limit and a net worth limit. This article is focused on the financial eligibility requirements, and how they differ from Medicaid’s financial requirements.

Income Limits

To qualify for a VA pension, the income of the veteran and/or their surviving spouse must be less than the Maximum Annual Pension Rate (MAPR) of the pension they’re applying for. To be clear, a spouse’s income is counted for married veterans.

The income limit for Medicaid’s nursing home coverage and HCBS Waivers in most states in 2024 is $2,829/month for an individual and $5,658/month for a married couple with both spouses applying. For married couples with just one spouse applying, the income of the non-applicant spouse is not counted, and the income limit for the applicant spouse is $2,829/month. The applicant spouse can also transfer up to $3,853.50/month to a low-income non-applicant spouse, depending on the state and the couple’s financial situation. This transferred income does not count toward the applicant’s income limit, and it’s known as a Monthly Maintenance Needs Allowance (MMNA).

For regular Medicaid for seniors, the individual income limit ranges from $943/month to $1,751/month in 2024, depending on the state. The income limit for married applicants ranges from $1,415/month to $2,593/month, and the income of both spouses is always counted for married regular Medicaid applicants, even if only one of them is applying. The MMNA does not apply to regular Medicaid for seniors, which is also known as state Medicaid or Aged, Blind and Disabled (ABD) Medicaid.

Asset Limits

The asset limit for Medicaid long-term care in most states in 2024 is $2,000 for an individual, and it’s $3,000 or $4,000 for a married couple with both spouses applying. For married couples with just one spouse applying, the asset limit in most states in 2024 is $2,000 for the individual and $154,140 for the non-applicant spouse, thanks to the Community Spouse Resource Allowance (CSRA). These numbers can vary by state and program.

There is no limit that is based strictly on assets for VA pensions. Instead, there’s a net worth limit that is the total of the veteran’s assets and their annual income (and their spouse’s income, if they’re married). The current net worth limit is $155,356, effective Dec. 1, 2023 – Nov. 30., 2024. We estimate it will increase to $159,240 on Dec. 1, 2024.

Home Exemptions

Veterans who are homeowners would be hard-pressed to meet Medicaid’s asset limit, or the VA pension net worth limit. However, an applicant’s primary home is usually exempt from both of those limits.

Any primary residence on up to 2 acres of land is exempt from the VA pension net worth limit. Things get more complicated when it comes to Medicaid applicants who are homeowners.

A primary residence can be exempt from Medicaid’s asset limit if:
• The applicant/beneficiary lives in the home and meets the state’s home equity interest limit, which is $713,000 or $1,071,000 in most states in 2024. Home equity interest is the portion of the home owned by the applicant minus any outstanding debt.
• The applicant/beneficiary’s spouse, minor child or blind or disabled child of any age lives in the home.
• The applicant meets their home equity interest limit and files and intent to return home statement with the state.

Look-Back Period

Applicants are not allowed to simply give away their assets to qualify for either VA pensions or Medicaid long-term care. To make sure they don’t, both programs use the Look-Back Period. In most states in 2024, Medicaid’s Look-Back Period is 60 months (five years). This means the state will look back into the applicant’s financial history for the 60 months prior to their application date to make sure they have not given away any assets or sold them at less than fair market value. If they have, their application will be denied and they will face a penalty period of ineligibility that is based on the value of the violating assets and the average cost of private pay nursing home care in their state.

The VA pension Look-Back Period works the same way, but it’s only 36 months long. And the penalty period for violating the VA Look-Back Period is based on the amount of the violating assets and the pension rate for Aid and Attendance with one dependent.

Estate Recovery

States are required by law to try and collect reimbursement from the estate of deceased Medicaid beneficiaries for the long-term care they received while they were alive. This process is known as Medicaid Estate Recovery.

There is no estate recovery or similar program for VA pensions.