On June 14, 2023, the president signed into law S. 777, the Veterans’ Compensation Cost-of-Living Adjustment Act of 2023, which authorizes a cost-of-living adjustment (COLA) for veterans receiving Department of Veterans Affairs (VA) disability compensation, clothing allowance, and survivors receiving dependency indemnity compensation (DIC) payments. To view Public Law 118-6, click here. VA adjusts veterans’ monthly disability compensation amounts based on the yearly change in the cost of living as determined by the Social Security Administration (SSA). Later this year, SSA will announce the exact percentage of increase. We will inform you of the percentage when it is announced. The COLA adjustment will be effective December 2023, and will be reflected in January 2024 compensation payments.