VA defends plan to cut benefits of elderly and disabled veterans

July 07, 2017

The Department of Veterans Affairs (VA) is defending its proposal to cut tens of thousands of dollars in financial support and unemployment benefits for elderly and disabled veterans. Nearly 225,000 former service members — including 7,000 over the age of 80 — could lose their payments.

The plan is part of President Donald Trump’s proposed budget of $186.5 billion for the VA for the 2018 fiscal year. The budget proposal includes cuts to the department’s Individual Unemployability (IU) program to fund the VA Choice program’s expansion, which allows veterans to seek private-sector health care.

Under the current rules, veterans who can not find a job due to service-related injuries are paid at the 100 percent disability rate. This holds true regardless of age and even if the actual rating is less than that.

VA officials want to stop IU payments once veterans become eligible for Social Security retirement benefits. Those who already receive both payments will experience a sudden and significant loss of income. The move to trim IU benefits is projected to save around $3.2 billion next year alone and $40.8 billion over the next decade.

The proposal’s opponents called it an attack on elderly and disabled veterans. Vietnam Veterans of America and other veterans organizations criticized the budget proposal and questioned why IU benefits should be slashed to expand the Choice program. They said they have been flooded with panicked calls and emails from veterans who depend on the program.

The VA has a duty to address the concerns of veterans who are worried about how they will make ends meet if their benefits are cut. Shulkin said that while he is open to alternatives, he is reluctant to increasing VA spending without “making sure our current programs are being utilized in the appropriate way.” 

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