How Will A Government Shutdown Affect Veteran Benefits, Disability and Retirement Checks?

Government Shutdown
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A government shutdown will not affect Veterans Affairs (VA) disability checks. VA disability payments are funded by legislation that is not part of the current budget battle. VA benefits, including disability compensation, pensions, education, and housing assistance, will continue as normal during a shutdown. 

However, a shutdown could cause delays in processing certain benefits. For example, a furloughed veteran may not be able to make payments on VA home loans. You may also have difficulty contacting someone at the VA during a shutdown. 

Other benefits that will continue during a shutdown include: 

  • Military retiree pay
  • GI Bill benefits
  • SGLI payments

Read Below for More Details:

Government Shutdown: Military Retirees & Survivor Benefit Plan Payouts

Despite the woes of a government shutdown, Military Retirees and Survivor Benefit Plan recipients can breathe a sigh of relief. Their pension checks remain unaffected, thanks to funding that’s separate from Congress’s primary bill. Credit goes to Veteran Affairs’ foresight from past experiences, prompting a two-year budget cycle.

Former VA Secretary David Shulkin remarked, “The VA benefits from advanced appropriations, ensuring continuous service to our veterans.”

Impacts on VA Disability Pay, GI Bill Benefits, and SGLI Payments

While Retiree pay, VA disability, GI Bill benefits, and SGLI payments persist, potential disruptions could affect elements like the Basic Allowance for Housing. For clarity, beneficiaries should contact their parent government organization. During shutdowns, agencies’ support might be limited, potentially affecting immediate requests or queries.

Movements: PCS & TDY

Activities like permanent change-of-station moves and temporary duty travel might face cancellations, barring those crucial for national security.

Healthcare Operations Amidst a Shutdown

Military’s healthcare infrastructure, such as treatment facilities, pharmacies, and labs, will operate without interruption. However, standard and elective procedures might require rescheduling. Note that the shutdown doesn’t hinder Tricare in the private sector or the VA healthcare system.

Banking Provisions during Shutdowns

Several military-supportive financial institutions could offer advanced pay or aid. Such banks often propose a no-interest payroll advance for personnel with direct deposits. But, always remember to verify with your institution about any special arrangements during shutdowns.

My Career Advancement Accounts & Thrift Savings Plan

Financial assistance requests, career counseling, and the Thrift Savings Plan (TSP) are expected to continue their usual operations.

Death Gratuities & Other Military Operations

Regrettably, families of fallen soldiers might not receive the death benefit. However, drills for U.S. military reservists and the National Guard will go on, notwithstanding potential shutdown-induced travel hitches. Current contracts for personnel remain active, while new ones await sanction. Also, some comfort services like care packages could see reductions.

Facilities: Commissaries, Exchanges, MWR & Schools

Military exchanges and DODEA schools globally will function. On-base schools and various other services like dining, physical training, and necessary childcare will proceed. However, certain commissaries, especially stateside ones, might undergo orderly shutdowns.

Military OneSource & Family Support

Military OneSource services remain unaffected. Family counseling, support centers, and advocacy programs might see changes based on the decisions of respective service commands.

Government Shutdown’s Broader Impacts

A prolonged shutdown affects numerous federal agencies, delaying paychecks for many. Key agencies like FBI, DEA, and TSA remain open, albeit with potential furloughs. Contrastingly, departments like Treasury, Agriculture, and Justice close.

Banks & Their Role during Shutdowns

Financial institutions, noticing the strain on federal employees, often extend assistance. But the relationship history with the institution plays a pivotal role. Account holders should proactively communicate with their banks for potential assistance during such times.

Other Essential Services

Vital services like Social Security, TSA, and Air Traffic Control continue. But expect closures of national parks, museums, and halted services like gun permits from the ATF.

Survival Tips for a Government Shutdown

  1. Explore no-interest loans or payroll advances.
  2. Avoid high-interest payday loans.
  3. Speak with creditors about temporary payment halts.
  4. Limit expenditures to essentials.
  5. Utilize available military discounts and coupons.