The current system was introduced during the first world war. It provides tax-free monthly payments to soldiers who are injured or sick owing to their service. From 1960 to 2000, roughly 9% of veterans qualified for payments, typically for ailments such as hearing loss or burns. The department assigns a rating from zero to 100% based on the severity of disabilities. In 2000 the average rating was 30%; monthly payments averaged the equivalent of $975 today. Few qualified for the top tier.
The modern program bears little resemblance to its original form. This year 6m veterans—or a third of the total—qualified for payments, with an average monthly benefit of $2,200. Veterans may file claims for an unlimited number of disabilities and appeal against decisions as often as they wish. The average rating has climbed above 60%, and one in four disabled veterans now receives the once-rare 100% rating. Such a designation ensures a generous $4,000 monthly payment for life, with no conditions attached. Starting at the age of 25, a former soldier could earn well over $2m in present-value terms.
https://archive.is/b8lL5#selection-1091.0-1101.606
https://www.va.gov/disability/eligibility/
https://www.va.gov/disability/compensation-rates/veteran-rates/
https://www.military.com/benefits/veteran-benefits
https://www.wsj.com/articles/veterans-disability-benefits-surge-11633072604
https://www.reuters.com/article/us-usa-veterans-benefits-idUSKCN1VV2MA