---
kind: "section"
citation: "38 U.S.C. § 3108"
title: "38"
title_heading: "Veterans’ Benefits"
number: "3108"
heading: "Allowances"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/38/3108"
units:
  - "Part III — Readjustment and Related Benefits"
  - "Chapter 31 — Training and Rehabilitation for Veterans with Service-Connected Disabilities"
---

# §3108. Allowances

- (a)
  - (1) Except in the case of a [veteran](/usc/38/3701.md?p=b-2) who makes an election under [subsection (f)](#f) of this section and subject to the provisions of paragraph (3) of this subsection, each [veteran](/usc/38/3701.md?p=b-2) shall be paid a subsistence allowance in accordance with this section during a period determined by the [Secretary](/usc/38/4101.md?p=8) to be a period of such [veteran](/usc/38/3701.md?p=b-2)’s participation under this chapter in a [rehabilitation program](/usc/38/3101.md?p=7).
  - (2)
    - (A) In any case in which the [Secretary](/usc/38/4101.md?p=8) determines, at the conclusion of such [veteran](/usc/38/3701.md?p=b-2)’s pursuit of a [vocational rehabilitation program](/usc/38/3101.md?p=10) under this chapter, that such [veteran](/usc/38/3701.md?p=b-2) has been [rehabilitated to the point of employability](/usc/38/3101.md?p=6), such [veteran](/usc/38/3701.md?p=b-2) shall be paid a subsistence allowance, as prescribed in this section for full-time training for the type of program that the [veteran](/usc/38/3701.md?p=b-2) was pursuing, for two months while satisfactorily following a program of employment services provided under [section 3104(a)(5) of this title](/usc/38/3104.md?p=a-5).
    - (B) In any case in which the [Secretary](/usc/38/4101.md?p=8) determines that a [veteran](/usc/38/3701.md?p=b-2) described in [subparagraph (A)](#a-2-A) has been displaced as the result of a natural or other disaster while being paid a subsistence allowance under that subparagraph, as determined by the [Secretary](/usc/38/4101.md?p=8), the [Secretary](/usc/38/4101.md?p=8) may extend the payment of a subsistence allowance under such subparagraph for up to an additional two months while the [veteran](/usc/38/3701.md?p=b-2) is satisfactorily following a program of employment services described in such subparagraph.
  - (3) A subsistence allowance may not be paid under this chapter to a [veteran](/usc/38/3701.md?p=b-2) for any period during which such [veteran](/usc/38/3701.md?p=b-2) is being provided with an initial evaluation under [section 3106(a) of this title](/usc/38/3106.md?p=a) or during which such [veteran](/usc/38/3701.md?p=b-2) is being provided only with counseling or with placement or postplacement services under [section 3105(b) of this title](/usc/38/3105.md?p=b).
- (b)
  - (1) Except as otherwise provided in this section, the [Secretary](/usc/38/4101.md?p=8) shall determine the subsistence allowance to be paid to a [veteran](/usc/38/3701.md?p=b-2) under this chapter in accordance with the following table, which shall be the monthly amount shown in column II, III, IV, or V (whichever is applicable as determined by the [veteran](/usc/38/3701.md?p=b-2)’s dependency status) opposite the appropriate type of program being pursued as specified in column I:

    | Column I | Column<br>II | Column<br>III | Column<br>IV | Column V |
    | --- | --- | --- | --- | --- |
    | Type of<br>program | No<br>[dependents](/usc/38/3452.md?p=d) | One<br>[dependent](/usc/38/3452.md?p=d) | Two<br>[dependents](/usc/38/3452.md?p=d) | More than<br>two<br>[dependents](/usc/38/3452.md?p=d) |
    |  |  |  |  | The amount in column IV, plus the following for each [dependent](/usc/38/3452.md?p=d) in excess of two: |
    | Institu­tional training: |  |  |  |  |
    | Full-time | $366 | $454 | $535 | $39 |
    | Three-quarter time | 275 | 341 | 400 | 30 |
    | Half-time | 184 | 228 | 268 | 20 |
    | Farm coop­erative, apprentice, or other on-job training: |  |  |  |  |
    | Full-time | 320 | 387 | 446 | 29 |
    | Extended evaluation: |  |  |  |  |
    | Full-time | 366 | 454 | 535 | 39 |
    | Independent living training: |  |  |  |  |
    | Full-time | 366 | 454 | 535 | 39 |
    | Three-quarter time | 275 | 341 | 400 | 30 |
    | Half-time | 184 | 228 | 268 | 20 |

  - (2) With respect to the fiscal year beginning on October 1, 1994, the [Secretary](/usc/38/4101.md?p=8) shall provide a percentage increase in the monthly rates payable under paragraph (1) of this subsection equal to the percentage by which the Consumer Price Index (all items, United States city average published by the Bureau of Labor Statistics) for the 12-month period ending June 30, 1994, exceeds such Consumer Price Index for the 12-month period ending June 30, 1993.
  - (3) With respect to any fiscal year beginning on or after October 1, 1995, the [Secretary](/usc/38/4101.md?p=8) shall continue to pay, in lieu of the rates payable under paragraph (1) of this subsection, the monthly rates payable under this subsection for the previous fiscal year and shall provide, for any such fiscal year, a percentage increase in such rates equal to the percentage by which—
    - (A) the Consumer Price Index (all items, United States city average) for the 12-month period ending on June 30 preceding the beginning of the fiscal year for which the increase is made, exceeds
    - (B) such Consumer Price Index for the 12-month period preceding the 12-month period described in [subparagraph (A)](#b-3-A).
  - (4) A [veteran](/usc/38/3701.md?p=b-2) entitled to a subsistence allowance under this chapter and educational assistance under [chapter 33](/usc/38/chptIII/ch33.md) of this title may elect to receive payment from the [Secretary](/usc/38/4101.md?p=8) in lieu of an amount otherwise determined by the [Secretary](/usc/38/4101.md?p=8) under this subsection in an amount equal to the applicable monthly amount of basic allowance for housing payable under [section 403 of title 37](/usc/37/403.md) for a member with [dependents](/usc/38/3452.md?p=d) in pay grade E–5 residing in the military housing area that encompasses all or the majority portion of the ZIP code area in which is located the institution providing the [rehabilitation program](/usc/38/3101.md?p=7) concerned.
- (c)
  - (1) In any case in which the [vocational rehabilitation program](/usc/38/3101.md?p=10) for a [veteran](/usc/38/3701.md?p=b-2) includes training on the job by an [employer](/usc/38/4303.md?p=4-A) in any month, such [employer](/usc/38/4303.md?p=4-A) shall be required to submit to the [Secretary](/usc/38/4101.md?p=8) a statement in writing showing any wage, [compensation](/usc/38/101.md?p=13), or other income paid (directly or indirectly) by the [employer](/usc/38/4303.md?p=4-A) to such [veteran](/usc/38/3701.md?p=b-2) for such month. Based upon such written statement, the [Secretary](/usc/38/4101.md?p=8) is authorized to reduce the subsistence allowance of such [veteran](/usc/38/3701.md?p=b-2) to an amount considered equitable and just in accordance with criteria which the [Secretary](/usc/38/4101.md?p=8) shall establish in regulations which the [Secretary](/usc/38/4101.md?p=8) shall prescribe.
  - (2) A [veteran](/usc/38/3701.md?p=b-2) pursuing on-job training or work experience as part of a [vocational rehabilitation program](/usc/38/3101.md?p=10) in a Federal, [State](/usc/38/4101.md?p=6), or local government agency or federally recognized Indian tribe under the provisions of [section 3115(a)(1) of this title](/usc/38/3115.md?p=a-1) without pay or for nominal pay shall be paid the appropriate subsistence allowance rate provided in [subsection (b)](#b) of this section for an institutional program.
- (d)
  - (1) The [Secretary](/usc/38/4101.md?p=8) shall, in accordance with regulations which the [Secretary](/usc/38/4101.md?p=8) shall prescribe, define full-time and each part-time status for [veterans](/usc/38/3701.md?p=b-2) participating in [rehabilitation programs](/usc/38/3101.md?p=7) under this chapter.
  - (2) A [veteran](/usc/38/3701.md?p=b-2) participating in extended evaluation on less than a full-time basis may be paid a proportional subsistence allowance in accordance with regulations which the [Secretary](/usc/38/4101.md?p=8) shall prescribe.
- (e) In any case in which a [veteran](/usc/38/3701.md?p=b-2) is pursuing a [rehabilitation program](/usc/38/3101.md?p=7) on a residential basis in a specialized rehabilitation facility, the [Secretary](/usc/38/4101.md?p=8) may (1) pay to such facility the cost of such [veteran](/usc/38/3701.md?p=b-2)’s room and board in lieu of payment to such [veteran](/usc/38/3701.md?p=b-2) of the subsistence allowance (not including any portion payable for any [dependents](/usc/38/3452.md?p=d)) payable under [subsection (b)](#b) of this section, and (2) pay to such [veteran](/usc/38/3701.md?p=b-2) that portion of the allowance for [dependents](/usc/38/3452.md?p=d) payable, as determined by such [veteran](/usc/38/3701.md?p=b-2)’s dependency status, under [subsection (b)](#b) of this section for a full-time institutional program.
- (f)
  - (1)
    - (A) In any case in which the [Secretary](/usc/38/4101.md?p=8) determines that a [veteran](/usc/38/3701.md?p=b-2) is eligible for and entitled to rehabilitation under this chapter, to the extent that such [veteran](/usc/38/3701.md?p=b-2) has remaining eligibility for and entitlement to educational assistance [benefits](/usc/38/4303.md?p=2) under [chapter 30](/usc/38/chptIII/ch30.md) of this title, such [veteran](/usc/38/3701.md?p=b-2) may elect, as part of a [vocational rehabilitation program](/usc/38/3101.md?p=10) under this chapter, to pursue an approved [program of education](/usc/38/3002.md?p=3) and receive allowances and other forms of assistance equivalent to those authorized for [veterans](/usc/38/3701.md?p=b-2) enrolled under [chapter 30](/usc/38/chptIII/ch30.md) of this title, if the [Secretary](/usc/38/4101.md?p=8) approves the educational, professional, or vocational objective chosen by such [veteran](/usc/38/3701.md?p=b-2) for such program.
    - (B) In the event that such [veteran](/usc/38/3701.md?p=b-2) makes such an election, the terms and conditions applicable to the pursuit of a comparable [program of education](/usc/38/3002.md?p=3) and the payment of allowances and provision of assistance under [chapter 30](/usc/38/chptIII/ch30.md) of this title for such a comparable program shall be applied to the pursuit of the approved [program of education](/usc/38/3002.md?p=3) under this chapter.
  - (2) A [veteran](/usc/38/3701.md?p=b-2) who is receiving an allowance pursuant to paragraph (1) of this subsection may not receive any of the services or assistance described in [section 3104(a)(3)](/usc/38/3104.md?p=a-3), (7), and (8) of this title (other than an allowance and other assistance under this subsection).
- (g)
  - (1) Notwithstanding any other provision of this title and subject to the provisions of paragraph (2) of this subsection, no subsistence allowance may be paid under this section in the case of any [veteran](/usc/38/3701.md?p=b-2) who is pursuing a [rehabilitation program](/usc/38/3101.md?p=7) under this chapter while incarcerated in a Federal, [State](/usc/38/4101.md?p=6), local, or other penal institution or correctional facility for conviction of a felony.
  - (2) Paragraph (1) of this subsection shall not apply in the case of any [veteran](/usc/38/3701.md?p=b-2) who is pursuing a [rehabilitation program](/usc/38/3101.md?p=7) under this chapter while residing in a halfway house or participating in a work-release program in connection with such [veteran](/usc/38/3701.md?p=b-2)’s conviction of a felony.
- (h) Notwithstanding any other provision of this title, the amount of subsistence allowance, or other allowance under [subsection (f)](#f) of this section, that may be paid to a [veteran](/usc/38/3701.md?p=b-2) pursuing a [rehabilitation program](/usc/38/3101.md?p=7) for any month for which such [veteran](/usc/38/3701.md?p=b-2) receives [compensation](/usc/38/101.md?p=13) at the rate prescribed in [section 1114(j) of this title](/usc/38/1114.md?p=j) as the result of hospital treatment (not including post-hospital convalescence) or observation at the expense of the Department of Veterans Affairs may not exceed, when added to any [compensation](/usc/38/101.md?p=13) to which such [veteran](/usc/38/3701.md?p=b-2) is entitled for such month, an amount equal to the greater of—
  - (1) the sum of—
    - (A) the amount of monthly subsistence or other allowance that would otherwise be paid to such [veteran](/usc/38/3701.md?p=b-2) under this section, and
    - (B) the amount of monthly [compensation](/usc/38/101.md?p=13) that would be paid to such [veteran](/usc/38/3701.md?p=b-2) if such [veteran](/usc/38/3701.md?p=b-2) were not receiving [compensation](/usc/38/101.md?p=13) at such rate as the result of such hospital treatment or observation; or
  - (2) the amount of monthly [compensation](/usc/38/101.md?p=13) payable under [section 1114(j) of this title](/usc/38/1114.md?p=j).
- (i) Payment of a subsistence allowance may be made in advance in accordance with the provisions of [section 3680(d) of this title](/usc/38/3680.md?p=d).

## Source credit

(Added Pub. L. 96–466, title I, § 101(a), Oct. 17, 1980, 94 Stat. 2178, § 1508; amended Pub. L. 97–306, title II, § 205(a), Oct. 14, 1982, 96 Stat. 1434; Pub. L. 98–525, title VII, § 703(a), Oct. 19, 1984, 98 Stat. 2564; Pub. L. 98–543, title II, § 201, Oct. 24, 1984, 98 Stat. 2740; Pub. L. 101–237, title IV, §§ 402(a), 423(b)(1), Dec. 18, 1989, 103 Stat. 2078, 2092; Pub. L. 102–16, § 3(c), Mar. 22, 1991, 105 Stat. 49; renumbered § 3108 and amended Pub. L. 102–83, § 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 406; Pub. L. 102–568, title IV, § 405(a), (b), Oct. 29, 1992, 106 Stat. 4338, 4339; Pub. L. 103–446, title VI, § 602(b), Nov. 2, 1994, 108 Stat. 4671; Pub. L. 104–275, title I, § 101(g), Oct. 9, 1996, 110 Stat. 3325; Pub. L. 109–461, title X, § 1002(b), Dec. 22, 2006, 120 Stat. 3465; Pub. L. 111–377, title II, § 205(a), Jan. 4, 2011, 124 Stat. 4126; Pub. L. 112–154, title VII, § 701(b), Aug. 6, 2012, 126 Stat. 1203; Pub. L. 114–58, title VI, § 601(15), Sept. 30, 2015, 129 Stat. 539.)

## Notes

### Editorial Notes

### Prior Provisions

Prior section 3108 was renumbered section 5308 of this title.

Provisions similar to those comprising this section were contained in former section 1504 of this title prior to the general revision of this chapter by Pub. L. 96–466.

### Amendments

2015—Subsec. (b)(4). Pub. L. 114–58 inserted “the” before “rehabilitation program concerned”.

2012—Subsec. (a)(2). Pub. L. 112–154 designated existing provisions as subpar. (A) and added subpar. (B).

2011—Subsec. (b)(4). Pub. L. 111–377 added par. (4).

2006—Subsec. (g)(1). Pub. L. 109–461 substituted “local, or other penal institution or correctional facility” for “or local penal institution”.

1996—Subsec. (a)(2). Pub. L. 104–275, § 101(g)(1), substituted “while satisfactorily following a program of employment services provided under section 3104(a)(5) of this title” for “following the conclusion of such pursuit”.

Subsec. (f)(1)(A). Pub. L. 104–275, § 101(g)(2)(A), inserted “eligible for and” after “veteran is” and substituted “chapter 30” for “chapter 30 or 34” and “enrolled under chapter 30” for “enrolled under either chapter 30 or chapter 34”.

Subsec. (f)(1)(B). Pub. L. 104–275, § 101(g)(2)(B), substituted “chapter 30” for “chapter 30 or 34”.

1994—Subsec. (c)(2). Pub. L. 103–446 inserted “or federally recognized Indian tribe” after “local government agency”.

1992—Subsec. (b). Pub. L. 102–568, § 405(b), designated existing provisions as par. (1) and added pars. (2) and (3).

Pub. L. 102–568, § 405(a), increased the monthly rehabilitation subsistence allowance for eligible veterans in column II from $333, $250, $167, $291, $333, $333, $250, and $167 to $366, $275, $184, $320, $366, $366, $275, and $184; in column III from $413, $310, $207, $352, $413, $413, $310, and $207 to $454, $341, $228, $387, $454, $454, $341, and $228; in column IV from $486, $364, $244, $405, $486, $486, $364, and $244 to $535, $400, $268, $446, $535, $535, $$400, and $268; and in column V from $35, $27, $18, $26, $35, $35, $27, and $18 to $39, $30, $20, $29, $39, $39, $30, and $20, respectively.

1991—Pub. L. 102–83, § 5(a), renumbered section 1508 of this title as this section.

Subsec. (a)(3). Pub. L. 102–83, § 5(c)(1), substituted “3106(a)” for “1506(a)” and “3105(b)” for “1505(b)”.

Subsec. (c)(2). Pub. L. 102–83, § 5(c)(1), substituted “3115(a)(1)” for “1515(a)(1)”.

Pub. L. 102–16 inserted “, State, or local government” after “Federal”.

Subsec. (f)(2). Pub. L. 102–83, § 5(c)(1), substituted “3104(a)(3)” for “1504(a)(3)”.

Subsec. (h). Pub. L. 102–83, § 5(c)(1), substituted “1114(j)” for “314(j)” in two places.

Subsec. (i). Pub. L. 102–83, § 5(c)(1), substituted “3680(d)” for “1780(d)”.

1989—Subsec. (a)(1), (2). Pub. L. 101–237, § 423(b)(1)(A), substituted “Secretary” for “Administrator”.

Subsec. (b). Pub. L. 101–237, § 423(b)(1)(A), substituted “Secretary” for “Administrator”.

Pub. L. 101–237, § 402(a), increased the monthly rehabilitation subsistence allowance for eligible veterans in column II from $310, $233, $155, $271, $310, $310, $233, and $155 to $333, $250, $167, $291, $333, $333, $250, and $167; in column III from $384, $288, $193, $327, $384, $384, $288, and $193 to $413, $310, $207, $352, $413, $413, $310, and $207; in column IV from $452, $339, $227, $377, $452, $452, $339, and $227 to $486, $364, $244, $405, $486, $486, $364, and $244; in column V from $33, $25, $17, $24, $33, $33, $25, and $17 to $35, $27, $18, $26, $35, $35, $27, and $18, respectively.

Subsecs. (c)(1) to (f)(1)(A). Pub. L. 101–237, § 423(b)(1)(A), substituted “Secretary” for “Administrator” wherever appearing.

Subsec. (h). Pub. L. 101–237, § 423(b)(1)(B), substituted “Department of Veterans Affairs” for “Veterans’ Administration”.

1984—Subsec. (b). Pub. L. 98–543 increased the monthly rehabilitation subsistence allowance for eligible veterans in column II from $282, $212, $141, $246, $282, $282, $212, and $141 to $310, $233, $155, $271, $310, $310, $233, and $155; in column III from $349, $262, $175, $297, $349, $349, $262, and $175 to $384, $288, $193, $323, $384, $384, $288, and $193; in column IV from $411, $308, $206, $343, $411, $411, $308, and $206 to $452, $339, $227, $377, $452, $452, $339, and $227; in column V from $30, $23, $15, $22, $30, $30, $23, and $15 to $33, $25, $17, $24, $33, $33, $25, and $17, respectively.

Subsec. (f)(1)(A), (B). Pub. L. 98–525 inserted references to chapter 30 of this title.

1982—Subsec. (g)(2). Pub. L. 97–306 inserted “not” after “shall” and struck out “if the Administrator determines that all the veteran’s living expenses are being defrayed by a Federal, State, or local government” at end.

### Statutory Notes and Related Subsidiaries

### Effective Date of 2012 Amendment

Amendment by Pub. L. 112–154 effective on the date that is one year after Aug. 6, 2012, see section 701(g) of Pub. L. 112–154, set out as an Effective Date note under section 2109 of this title.

### Effective Date of 2011 Amendment

Pub. L. 111–377, title II, § 205(b), Jan. 4, 2011, 124 Stat. 4126, provided that: “The amendment made by this section [amending this section] shall take effect on August 1, 2011.”

### Effective Date of 1992 Amendment

Pub. L. 102–568, title IV, § 405(c), Oct. 29, 1992, 106 Stat. 4339, provided that: “The amendments made by subsections (a) and (b) [amending this section] shall take effect on October 1, 1993.”

### Effective Date of 1989 Amendment

Pub. L. 101–237, title IV, § 402(b), Dec. 18, 1989, 103 Stat. 2078, provided that: “The amendment made by this section [amending this section] shall take effect on January 1, 1990.”

### Effective Date of 1984 Amendment

Pub. L. 98–543, title II, § 205, Oct. 24, 1984, 98 Stat. 2743, provided that: “The amendments made by this part [part A (§§ 201–205) of title II of Pub. L. 98–543, see Tables for classification] shall take effect as of October 1, 1984.”

### Effective Date; Veterans Pursuing Program of Vocational Rehabilitation Under This Chapter

Section effective Oct. 1, 1980, and during period beginning on Oct. 1, 1980, and ending on Mar. 31, 1981, the provisions of this section, as added by Pub. L. 96–466, title I, § 101(a), Oct. 17, 1980, 94 Stat. 2178, shall apply to veterans pursuing a program of vocational rehabilitation training under this chapter in the same manner as former section 1504 of this title applied to veterans pursuing such a program under this chapter on Sept. 30, 1980, see section 802(a)(2), (4) of Pub. L. 96–466, set out as an Effective Date note under section 3100 of this title.

### Extension of Payment of Vocational Rehabilitation Subsistence Allowances

Pub. L. 116–140, § 8, Apr. 28, 2020, 134 Stat. 634, which temporarily allowed for additional subsistence allowances for certain veterans, was repealed by Pub. L. 117–333, § 4(b), Jan. 5, 2023, 136 Stat. 6128.

### Applicability of Subsection (g)(1) to Apportionments Made Before October 17, 1980

Pub. L. 96–466, title I, § 101(c), Oct. 17, 1980, 94 Stat. 2186, provided that: “The provisions of section 1508(g)(1) [now 3108(g)(1)] of title 38, United States Code, as added by subsection (a) shall not apply to an apportionment made under section 3107(c) [now 5307(c)] of such title before the date of the enactment of this Act [Oct. 17, 1980].”
