Total Disability Individual Unemployability
TDIU: VA unemployability benefits explained
TDIU can provide compensation at the full 100 percent rate if your service-connected disabilities make it impossible to maintain substantially gainful employment, even when your combined rating is lower.
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What is TDIU and how much does it pay?
Total Disability based on Individual Unemployability (TDIU) is a form of VA compensation that pays at the 100 percent rate when service-connected disabilities prevent a veteran from securing or following substantially gainful employment. For 2026 the monthly rate for a veteran alone at 100 percent is $3,938.58, effective December 1, 2025. Rates are higher when a spouse or other dependents are present, starting at the 30 percent level.
Compensation is tax-free monthly pay for disabilities caused or worsened by service (38 U.S.C. §§ 1110, 1131). TDIU focuses on the effect of the service-connected conditions on work capacity rather than solely on the percentage ratings assigned under the schedule.
What percentage thresholds apply to TDIU?
Under 38 C.F.R. § 4.16 the schedular requirements for TDIU are met when there is one service-connected disability rated 60 percent or more, or when the combined rating is 70 percent or more and at least one disability is rated 40 percent or more. Combined ratings are calculated using the whole-person method in 38 C.F.R. § 4.25. For example, a 50 percent rating combined with a 30 percent rating yields 65 percent, which is rounded to 70 percent. A bilateral factor may apply under § 4.26 in some cases.
Meeting the percentage threshold does not automatically grant TDIU. The evidence must also show that the service-connected disabilities prevent substantially gainful employment.
What if my ratings do not meet the schedular thresholds?
If the percentage thresholds in § 4.16 are not met, the claim may be referred for extraschedular consideration. In that process the VA examines whether the unique facts of the case show that the service-connected disabilities still prevent substantially gainful employment. Referral is an extra step; it is not a guarantee of a grant.
How do I file for TDIU?
The form used to apply for TDIU is VA Form 21-8940, Veteran's Application for Increased Compensation Based on Unemployability. You may file it together with a claim for an increased rating or as a stand-alone claim. Include information about your employment history, education, and the specific ways the service-connected conditions limit your ability to perform work tasks.
Marginal employment is employment that is not substantially gainful. It can include work that produces limited income or work that is protected or sheltered rather than competitive. The VA evaluates the evidence in the file to decide whether any work you perform is marginal or substantially gainful.
What evidence is useful for a TDIU claim?
Helpful evidence includes medical records describing functional limitations, statements from current or former employers, vocational assessments, and your own description of how the conditions affect work. Talk to your doctor about the impact of your service-connected conditions on your ability to work; a medical opinion addressing those limitations can be relevant. This page does not provide medical advice.
Accredited attorneys and agents may not charge a fee for work performed before the VA issues an initial decision (38 U.S.C. § 5904(c)(1)). After that point fees are usually contingent on past-due benefits. A fee of 20 percent or less is presumed reasonable; more than 33⅓ percent is presumed unreasonable. At 20 percent or less the VA can pay the attorney directly from back pay (38 C.F.R. § 14.636). Veterans Service Organizations provide free assistance.
Frequently asked questions
Does TDIU pay the same amount as a 100 percent schedular rating?
What counts as substantially gainful employment?
Can I work while receiving TDIU?
What form do I use to apply?
Is TDIU reviewed later?
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