In 2025, Congress passed a series of laws that quietly but fundamentally changed military service rules, veterans’ benefits, and transition protections. These changes affect pay, education benefits, VA loans, foreclosure protections, disability compensation, and how service members exit the military.
The legislation was reported by Military.com in an in-depth article published December 29, 2025, by Darius Radzius.
Original source: https://www.military.com
Below is a clear breakdown of what changed, when it takes effect, and why it matters.
Automatic Cost-of-Living Increases for VA Benefits
Under the Veterans’ Compensation Cost-of-Living Adjustment Act of 2025, disability and survivor benefits now automatically increase each year to match Social Security COLA adjustments.
What this means:
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No more waiting on annual congressional votes
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Benefits keep pace with inflation
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Changes began December 1, 2025
This is one of the most significant long-term protections passed for veterans relying on fixed income.
Major Education Changes for Reserve and Guard Members
Starting August 1, 2026, Reservists using the Montgomery GI Bill Selected Reserve will qualify for in-state tuition at public colleges, regardless of residency status.
Key points:
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Schools that refuse risk losing VA benefit eligibility
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Monthly education stipends will adjust annually
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Tuition and housing costs are factored into payment tiers
This closes a long-standing affordability gap for Reserve families.
New VA Authority to Prevent Foreclosure
The Veterans Housing Protection Act gives the VA power to intervene before foreclosure by purchasing up to 30 percent of delinquent loan principal and converting it into a VA-managed loan.
Eligibility window:
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Missed payments between March 1, 2020, and May 1, 2025
Protections include:
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Lenders cannot accelerate foreclosure
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Oversight audits are required
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Designed as a post-pandemic safety net
This is a critical shift for veterans struggling with mortgage hardship.
VA Must Repay Stolen Benefits in Full
Under the Veterans’ Fiduciary Fraud Reimbursement Act, the VA must now repay veterans whose fiduciaries stole benefits, even if the theft is discovered after the veteran’s death.
Why this matters:
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Over 3,100 unresolved fraud cases last year
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Families are no longer financially penalized
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VA must pursue perpetrators directly
Required In-Person Military Transition Counseling
The FY26 NDAA now mandates in-person separation counseling whenever possible.
Counseling must include:
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Financial planning and debt management
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Medical and service record transfers
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VA disability claims education
Commands must prove compliance. Transition assistance is no longer optional.
Integrated Toxic Exposure and Medical Records
The Department of Defense and VA are now required to integrate service treatment records and toxic exposure documentation into a unified system.
This directly addresses:
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Lost medical evidence
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Delayed disability claims
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Gaps in GI Bill eligibility
What Takes Effect Next
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Insurance coverage reviews begin January 1, 2026
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In-state tuition protections begin August 1, 2026
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Mortgage partial claims are active but still awaiting final VA guidance
Advocates describe 2025 as establishing the floor. Future Congresses will decide how far these protections expand.
For the full legislative breakdown and detailed reporting, refer to the original Military.com article:
https://www.military.com
If you want more information on how these changes affect VA loans, housing decisions, or long-term planning, I can help walk through the details.
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#MilitaryBenefits #VABenefits #VALoan #VeteranHousing #MilitaryTransition #GIbill #VeteransAffairs #MilitaryFamilies #ColoradoSpringsRealEstate #RelocatingToColoradoSprings
