Title 38Veterans' BenefitsRelease 119-73

§5112 Effective dates of reductions and discontinuances

Title 38 › Part PART IV— - GENERAL ADMINISTRATIVE PROVISIONS › Chapter CHAPTER 51— - CLAIMS, EFFECTIVE DATES, AND PAYMENTS › Subchapter SUBCHAPTER II— - EFFECTIVE DATES › § 5112

Last updated Apr 6, 2026|Official source

Summary

Sets when cuts or stops to veterans’ pay, dependency and indemnity payments, or pensions take effect. Usually the date is decided from the facts, but specific rules apply for common situations. If the payee marries, remarries, or dies, the change takes effect on the last day of the month before that event. If a dependent marries, has an annulment, gets divorced, or dies, it takes effect on the last day of the month that event happens. If the change is because the person started getting active duty pay or retirement pay, it takes effect the day before that pay began. Income changes take effect the last day of the month the change happened (except under section 5312). Changes in an estate’s corpus take effect the last day of that calendar year. Pension cuts for changed disability or employability take effect the last day of the month the discontinuance was approved. Changes in law, its interpretation, or certain status or condition changes take effect the last day of the month after a 60-day notice period. Stopping school attendance takes effect the last day of that month. Ending a temporary hospital or treatment increase takes effect the earlier of the last day of the month of discharge or end of treatment. If an award was wrong because the beneficiary caused or knew about the error, the effective date is the award’s date. If the error was only an administrative or judgment mistake, the effective date is the date of the last payment.

Full Legal Text

Title 38, §5112

Veterans' Benefits — Source: USLM XML via OLRC

(a)Except as otherwise specified in this section, the effective date of reduction or discontinuance of compensation, dependency and indemnity compensation, or pension shall be fixed in accordance with the facts found.
(b)The effective date of a reduction or discontinuance of compensation, dependency and indemnity compensation, or pension—
(1)by reason of marriage or remarriage, or death of a payee shall be the last day of the month before such marriage, remarriage, or death occurs;
(2)by reason of marriage, annulment, divorce, or death of a dependent of a payee shall be the last day of the month in which such marriage, annulment, divorce, or death occurs;
(3)by reason of receipt of active service pay or retirement pay shall be the day before the date such pay began;
(4)by reason of—
(A)change in income shall (except as provided in section 5312 of this title) be the last day of the month in which the change occurred; and
(B)change in corpus of estate shall be the last day of the calendar year in which the change occurred;
(5)by reason of a change in disability or employability of a veteran in receipt of pension shall be the last day of the month in which discontinuance of the award is approved;
(6)by reason of change in law or administrative issue, change in interpretation of a law or administrative issue, or, for compensation purposes, a change in service-connected or employability status or change in physical condition shall be the last day of the month following sixty days from the date of notice to the payee of the reduction or discontinuance;
(7)by reason of the discontinuance of school attendance of a payee or a dependent of a payee shall be the last day of the month in which such discontinuance occurred;
(8)by reason of termination of a temporary increase in compensation for hospitalization or treatment shall be the last day of the month in which the hospital discharge or termination of treatment occurred, whichever is earlier;
(9)by reason of an erroneous award based on an act of commission or omission by the beneficiary, or with the beneficiary’s knowledge, shall be the effective date of the award; and
(10)by reason of an erroneous award based solely on administrative error or error in judgment shall be the date of last payment.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2022—Subsec. (b)(6). Pub. L. 117–168 struck out “(at the payee’s last address of record)” after “notice to the payee”. 2001—Subsec. (c). Pub. L. 107–103 struck out subsec. (c) which read as follows: “The

Effective Date

of a discontinuance under section 5503(b)(1)(A) of this title of pension, compensation, or emergency officers’ retirement pay by reason of hospital treatment or institutional or domiciliary care shall be the last day of the first month of such treatment or care during which the value of the veteran’s estate, as determined under such section, equals or exceeds $1,500.” 1991—Pub. L. 102–40, § 402(b)(1), renumbered section 3012 of this title as this section. Subsec. (b)(4)(A). Pub. L. 102–40, § 402(d)(1), substituted “5312” for “3112”. Subsec. (c). Pub. L. 102–40, § 402(d)(1), substituted “5503(b)(1)(A)” for “3203(b)(1)(A)”. 1986—Subsec. (b)(6). Pub. L. 99–576, § 701(64), substituted “the payee’s” for “his”. Subsec. (c). Pub. L. 99–576, § 503, added subsec. (c). 1982—Subsec. (b)(2). Pub. L. 97–253 substituted “month” for “calendar year”. 1978—Subsec. (b)(4). Pub. L. 95–588 restructured subsection and, as so restructured, provided that the

Effective Date

of a change in compensation by reason of a change in income would be the last day of the month in which the change occurred rather than the last day in the calendar year in which such change in income occurred. 1976—Subsec. (b)(2). Pub. L. 94–433, § 402(1), inserted “annulment,” before “divorce” in two places. Subsec. (b)(9). Pub. L. 94–433, § 402(2), substituted “the beneficiary’s” for “his” before “knowledge”. 1971—Subsec. (b)(2). Pub. L. 92–198 substituted “last day of the calendar year” for “last day of the month”. 1968—Subsec. (b)(4). Pub. L. 90–275 struck out exception which provided that where change in income is due to an increase in payments under a public or private retirement plan the

Effective Date

of the resulting reduction or discontinuance shall be the last day of the calendar year in which the change occurred. 1966—Subsec. (b)(4). Pub. L. 89–730 provided for exception that where change in income is due to an increase in payments under a public or private retirement plan the

Effective Date

of the resulting reduction or discontinuance shall be the last day of the calendar year in which the change occurred. 1962—Subsecs. (b), (c). Pub. L. 87–825 redesignated subsec. (c) as (b), amended such subsec. generally, and among other changes, inserted provisions relating to the marriage, divorce, or death of a dependent of a payee, the change in income or corpus of an estate, the change in disability or employability of a veteran, the change in law or administrative issue of service-connected or employability status or physical condition, the discontinuance of school attendance, the termination of a temporary increase in compensation for hospitalization or treatment, an erroneous award based on an act or omission of the beneficiary or with his knowledge, and an erroneous award based solely on administrative error or error in judgment, changed the

Effective Date

by reason of death, or by reason of marriage or remarriage, from the date of death, or the day before the date of marriage or remarriage, respectively, to the last day of the month before such death, marriage or remarriage occurs, and eliminated provisions relating to attaining age 18 or 21, as applicable, and to fraud on the part of the beneficiary or with his knowledge. Former subsec. (b), which related to the

Effective Date

of a reduction or discontinuance in rates, of a compensation, dependency and indemnity compensation, or a pension award, was struck out.

Statutory Notes and Related Subsidiaries

Effective Date

of 1982 Amendment Pub. L. 97–253, title IV, § 402(b), Sept. 8, 1982, 96 Stat. 802, provided that: “The amendment made by subsection (a) [amending this section] shall apply with respect to any marriage, annulment, divorce, or death that occurs after September 30, 1982.”

Effective Date

of 1978 AmendmentAmendment by Pub. L. 95–588 effective Jan. 1, 1979, see section 401 of Pub. L. 95–588, set out as a note under section 101 of this title.

Effective Date

of 1976 AmendmentAmendment by Pub. L. 94–433 effective Oct. 1, 1976, see section 406 of Pub. L. 94–433, set out as a note under section 1101 of this title.

Effective Date

of 1971 AmendmentAmendment by Pub. L. 92–198 effective Jan. 1, 1972, see section 6 of Pub. L. 92–198, set out as a note under section 1521 of this title.

Effective Date

of 1968 AmendmentAmendment by Pub. L. 90–275 effective first day of first calendar month following month of initial payment of increases in monthly insurance benefits provided by Social Security

Amendments

of 1967, see section 6(b) of Pub. L. 90–275, set out as a note under section 1521 of this title.

Effective Date

of 1966 AmendmentAmendment by Pub. L. 89–730 effective first day of second calendar month following Nov. 2, 1966, see section 7(a) of Pub. L. 89–730, set out as a note under section 1315 of this title.

Effective Date

of 1962 AmendmentAmendment by Pub. L. 87–825 effective first day of second calendar month which begins after Oct. 15, 1962, see section 7 of Pub. L. 87–825, set out as a note under section 110 of this title. Rule of

Construction

Amendment by Pub. L. 117–168 not to be construed to apply section 5104(a) of this title to decisions of the Board of Veterans’ Appeals under chapter 71 of this title, see section 807(b) of Pub. L. 117–168, set out as a note under section 5100 of this title.

Reference

Citations & Metadata

Citation

38 U.S.C. § 5112

Title 38Veterans' Benefits

Last Updated

Apr 6, 2026

Release point: 119-73