Annual Income Limits - Health Benefits

2021 VA National and Priority Group 8 Relaxation Income Thresholds

Income Thresholds for Cost-Free Health Care, Medications and/or Beneficiary Travel Eligibility

Based on Income Year 2020

Veteran with: VA National Income Threshold VA Priority Group 8
Relaxation Threshold
VA Housebound Threshold VA Pension with Aid and Attendance Threshold VA Pension Threshold Medical Expense Deductible
0 dependents $34,616 or less $38,078 or less $17,024 $23,238 $13,931 or less $688
1 dependents $41,539 or less $45,693 or less $21,337 $27,549 $18,243 or less $900
2 dependents $43,921 or less $48,313 or less $23,719 $29,931 $20,625 or less $1,018
3 dependents $46,303 or less $50,933 or less $26,101 $32,313 $23,007 or less $1,136
4 dependents $48,685 or less $53,554 or less $28,483 $34,695 $25,389 or less $1,253
For each additional dependent add: $2,382 $2,382 $2,382 $2,382 $2,382 5% of the maximum allowable pension rate from the previous year
Child Earned Income Exclusion: $12,550

For certain Veterans the VA National Income Threshold (based on previous year’s gross household income) and/or net worth, is used to determine eligibility for Priority Group 5 assignment and cost-free VA health care. Applicable VA pension income thresholds are used to determine eligibility for cost-free medications and/or beneficiary travel benefits.

For Geographic-Based financial assessment (means test) information refer to https://www.va.gov/healthbenefits/resources/gmt

Note: Unreimbursed Medical expenses (what you paid out of pocket after medical insurance pays) may be deducted from your total gross household income. Unreimbursed medical expenses include: travel expenses, cost of a long term care institution or assisted living, health related insurance premiums (including Medicare premiums), diabetic supplies, private caregivers, incontinence supplies, prescriptions and dialysis not covered by any other health plan. Only the portion of the unreimbursed medical expenses that exceed 5% of the basic pension may be deducted (see Medical Expense Deductible).

Additional information is available at https://www.va.gov/healthbenefits/cost/financial_assessment.asp