Veterans apply to VBA for benefits that can include education and training, home loans, life insurance, pension, and compensation. The Veteran may apply for any of these benefits themselves or with the assistance of a Veterans Service Organization, or VSO. The benefits can make a difference for Veterans in different phases of their lives. For instance, some Veterans may be transitioning to civilian life while others may be buying their first home. It might be that a Veteran at any phase of his or her life is applying for assistance for activities of daily living.

VA disability compensation provides monthly benefits to a Veteran in recognition of the effects of disabilities, diseases, or injuries incurred or aggravated during active military service. Being awarded compensation for his or her claim validates the Veteran's experience.

Disability examinations are needed for both compensation and pension claims.

Compensation	Description
Disability compensation	A tax-free monetary benefit paid to Veterans with disabilities that are the result of a disease or injury incurred or aggravated during active military service. The benefit amount is graduated according to the degree of the Veteran's disability on a scale from 10 percent to 100 percent, in increments of 10 percent. Compensation may also be paid for disabilities that are considered related or secondary to disabilities that occurred in service and for disabilities presumed to be related to circumstances of military service, even though they may arise after service.
Special Monthly Compensation (SMC)	An additional tax-free benefit that can be paid to Veterans, their spouses, surviving spouses and parents. For Veterans, SMC is a higher rate of compensation paid due to special circumstances such as the need of aid and attendance by another person or by a specific disability such as the loss of use of a hand or leg. For spouses and surviving spouses, this benefit is commonly referred to as aid and attendance and is paid based on the need of aid and attendance by another person.
Claims Based on Special Circumstances	Veterans may be eligible for other types of disability compensation once a disability has been determined to be service connected. Special VA disability compensation programs include: individual unemployability, automobile allowance, clothing allowance, prestabilization, hospitalization, convalescence, dental, and birth defects.
Pension	Pension is a needs-based benefit for wartime Veterans with limited or no income who are age 65 or older, or who have a permanent and total disability. It may provide income for Veterans and their loved ones.