Pennsylvania Veteran Financial Benefits
Military Retirement Pay and Disability Benefits
Pennsylvania does not tax military retirement pay. In addition, Military Disability Retirement Pay received as a pension, annuity, or similar allowance for illness or injury linked to active military service is excluded from taxable income. Disability-related payments such as VA compensation, dependent-care assistance, specially adapted housing grants, and vehicle grants for qualifying Veterans are also tax-exempt.
Thrift Savings Plan (TSP)
While the Thrift Savings Plan does not withhold state or local taxes, all TSP distributions are subject to Pennsylvania income tax and reported on IRS Form 1099-R. Early withdrawals may be taxed at a higher rate.
Military Pay
Pennsylvania residents are taxed on military pay earned within the state. However, military pay earned while serving on federal active duty or in training outside Pennsylvania is exempt. Pay earned in combat or hazardous duty zones follows federal rules, granting an automatic 180-day extension for filing and payment after service or hospitalization.
Differential Pay for Reserve Component Members
When an employer pays the difference between civilian wages and military pay, Pennsylvania generally taxes that income. An exception applies if the Service member is serving in a combat or hazardous duty zone.
VA Disability Dependency and Indemnity Compensation (DIC)
DIC payments to eligible survivors of Service members or Veterans who died from service-connected causes are tax-free under Pennsylvania law.
Survivor Benefit Plans (SBP, RCSBP, RSFPP)
Annuities from SBP, RCSBP, and RSFPP are not subject to Pennsylvania state taxes.
Disabled Veterans’ Real Estate Tax Exemption
Honorably discharged Pennsylvania Veterans with a 100% permanent and total service-connected disability, or who are blind, paralyzed, or have lost two or more limbs, may qualify for a real estate tax exemption if they demonstrate financial need. The exemption extends to un-remarried surviving spouses. Financial need is presumed when gross annual income does not exceed $108,046, or if higher income is offset by allowable expenses exceeding household income.
Sales Tax in Pennsylvania
- Statewide rate: 6%
- Counties may add up to 2%
- Average combined sales tax: 6.34%
Recreation
Pennsylvania Veteran Hunting & Fishing Benefits
Fishing License Benefits
- Free License for Severely Disabled Veterans: Eligible Veterans may receive a free annual fishing license.
- Discounted License for Partially Disabled Veterans: Available for $2.97 per year.
- Discounted License for Former Prisoners of War (POWs): Former POWs may purchase an annual fishing license for $2.97.
- Free License for Recently Deployed Reserve Component Service Members: One free license is available per qualifying deployment.
- Resident Service Members Stationed Outside Pennsylvania: Active-duty Pennsylvania residents on leave may fish without a license if they carry proof of residency, military ID, and leave orders.
- Nonresident Service Members Stationed in Pennsylvania: Those with PCS orders for six months or more may purchase a resident-priced fishing license.
Hunting & Fur Taker License Benefits
- Free Licenses for Disabled Veterans: Eligible disabled Veterans may obtain free annual hunting and fur taker licenses.
- Discounted Licenses for Disabled Veterans (60–99% VA Rating): Available for $2.97 each. Initial licenses must be obtained from County Treasurers or Game Commission Offices; renewals can be completed online or at any issuing agent.
- Discounted Licenses for Resident Service Members Stationed Outside Pennsylvania: Eligible for $2.97, including deer and turkey tags plus small game.
- Discounted Licenses for Recently Deployed Reserve Component Service Members: One reduced-cost license ($2.97) available per deployment, covering deer, turkey, and small game.
- Discounted Licenses for Former POWs: Resident POWs may purchase hunting licenses for $2.97 with proof of status and residency. Licenses are only available at County Treasurers or Game Commission Offices.
Deer License Benefits
- Resident U.S. Armed Forces Antlerless Deer License: Available to resident Service members for $6.97 annually. Eligible applicants include those on active duty or within 60 days of an honorable discharge, including Reserve members on full-time federal active duty.
- Disabled Veteran Antlerless Deer License: Eligible disabled Veterans may purchase one license per year for $6.97 if they:
- Lost one or more limbs (or use of limbs), or
- Hold a 100% VA disability rating, or
- Are rated individually unemployable and compensated at 100% by the VA.
Pennsylvania Military & Veteran Miscellaneous Benefits
Financial Assistance Programs
- Veterans Temporary Assistance (VTA): Provides up to $1,600 within 12 months to eligible Veterans or their un-remarried surviving spouses facing emergencies.
Eligibility: Must be a Pennsylvania resident, have served on active duty (other than training) with an honorable discharge, died while serving, or suffered a service-connected disability. Proof such as a DD214 is required. - Military Family Relief Assistance Program (MFRAP): Offers grants up to $3,500 for Service members and families experiencing sudden financial hardship. Examples include loss of income due to military service, childcare emergencies, natural disasters, or urgent travel expenses after the death or critical illness of a family member. Service members deployed overseas must first request emergency travel assistance through military channels.
Pensions for Disabled Veterans
- Blind Veterans Pension: Provides $150 per month to Veterans who:
- Were honorably discharged,
- Were Pennsylvania residents when entering service, and
- Suffered service-connected blindness (visual acuity 3/60 or 10/200 or less, or severe visual field contraction).
- Amputee and Paralyzed Veterans Pension: Provides $150 per month to Veterans who:
- Were honorably discharged,
- Were Pennsylvania residents when entering service, and
- Lost the use of two or more extremities due to a service-connected injury/disease, with at least a 40% VA disability rating per limb.
Burial & Memorial Benefits
- County Burial Allowance: Counties provide financial assistance toward burial costs for Veterans and surviving spouses. Amounts vary by county.
- County Grave Markers: Provided free of charge for deceased Veterans.
- County Headstone Allowance: Counties assist with purchasing or placing a government-issued or private headstone in a cemetery where the Veteran is buried.
Protections & Exemptions for Service Members
- Exemption from Further Military Service or Jury Duty:
- Pennsylvania National Guard members with nine years of Guard service or nine+ months active duty with honorable discharge are exempt from future military service, except in war, invasion, or insurrection.
- Guard members are also exempt from jury duty during active service.
- Exemption from Arrest: Guard members cannot be arrested on warrants (except treason or felony) while traveling to, serving at, or returning from duty.
- Exemption from Civil Process: Guard members on state active duty are protected from civil process during duty and up to 30 days after release.
Veterans’ Records
- Free Recording of Discharge Papers: Veterans may record DD214s (or similar documents) at their county courthouse free of charge. Certified copies are available to Veterans and next of kin.
Education Programs
Pennsylvania Veteran & Military Education Benefits
High School Diplomas for Veterans
- Operation Recognition Diplomas: Pennsylvania law allows school districts to award a high school diploma to honorably discharged Veterans who left school early to serve in:
- World War II (Sep 16, 1940 – Dec 31, 1946)
- Korean War (Jun 27, 1950 – Jan 30, 1955)
- Vietnam War (Feb 28, 1961 – May 7, 1975)
- Diplomas may also be awarded posthumously. Veterans should apply through their local school district.
Education Benefits for Children of Veterans
- Postsecondary Educational Gratuity Program (PEGP): Waives tuition, fees, and on-campus housing at Pennsylvania public schools for children of deceased PA National Guard members (after other grants/scholarships are applied).
- Educational Gratuity: Provides $500 per term (up to 4 years) for children of Veterans who were honorably discharged and are either:
- Service-connected disabled, or
- Died during war service dates.
- Grant for Children of POW/MIA Service Members: Up to $1,200 per year for children of Service members declared Prisoner of War (POW) or Missing in Action (MIA).
Pennsylvania National Guard Education Programs
- Education Assistance Program (EAP): Tuition assistance for Service members committing to six years in the PA National Guard.
- Military Family Education Program (MFEP): Allows Guard members to transfer education benefits to a spouse or child after an additional six-year commitment.
- Can be used for up to five years toward a degree or certificate program.
- Spouses can use benefits up to six years after separation, children must use benefits before age 26.
- If the Service member fails to meet the service commitment, the benefit must be repaid with interest.
Grants & Tuition Support for Veterans
- Pennsylvania State Grant Program – Special Processing for Veterans:
- Veterans applying for state grants receive maximum award consideration.
- PHEAA disregards family contribution and Pell Grant awards, ensuring the highest possible grant amount.
- Must have served on active duty and received an honorable discharge.
- Residency for Tuition Purposes:
- Nonresident Service members stationed in PA (and their dependents) are granted in-state tuition rates at public colleges.
- Veterans and dependents using VA education benefits also qualify.
- Veterans are given priority course scheduling at Pennsylvania public colleges/universities.
Education Support for Military Families
- Interstate Compact on Educational Opportunity for Military Children (MIC3): Ensures children of military families are not disadvantaged by school transfers or deployments. Helps with:
- Enrollment, placement, attendance, grading, and graduation.
- Participation in extracurriculars and access to advanced programs.
- Purple Star School Program: Recognizes military-friendly schools that:
- Appoint a trained liaison for military families.
- Train staff to understand military family challenges.
- Provide online resources for Service members and their children.
Housing: Below are the available Veterans’ Home locations
Pennsylvania State Veterans’ Homes: The state operates six long-term care facilities for Veterans and their spouses. These homes offer a range of services, including domiciliary care, memory care, personal care, and skilled nursing support.
Pennsylvania State Veterans Home at Erie
Pennsylvania State Veterans Home at Hollidaysburg
Pennsylvania State Veterans Home at Philadelphia
Pennsylvania State Veterans Home at Pittsburgh
Pennsylvania State Veterans Home at Scranton
Pennsylvania State Veterans Home at Spring City
Services offered at Pennsylvania State Veterans’ Homes include:
- Fully furnished modern living spaces
- Comprehensive medical care
- On-site pharmacy services
- Physical, occupational, and speech therapy programs
- Around-the-clock nursing support
- Recreational and leisure activities
- Social work assistance
- Religious services and spiritual counseling
- Barber and beauty care
- Transportation services
Eligibility for Admission
To qualify for care at a Pennsylvania State Veterans’ Home, applicants must meet these requirements:
- Be a Veteran who served in the U.S. Armed Forces or the Pennsylvania National Guard with an honorable discharge
- Be a Pennsylvania resident at the time of entry into the U.S. Armed Forces, or currently reside in the state (current residents are given priority)
- Be the spouse or surviving spouse of an eligible Veteran
Admissions are granted on a first-come, first-served basis.
Employment and Job Training Benefits for Pennsylvania Veterans
Paid Military Leave for State Employees
- State employees who serve in the Reserve or National Guard receive up to 15 days of paid military leave each year for training or other official military duty under federal or state orders.
- Pennsylvania National Guard members are also granted paid leave for all days spent on state active duty. This leave is provided without loss of seniority or job performance ratings.
Reemployment Rights After Military Service
- Pennsylvania law requires that Reserve and National Guard members activated for emergency or military duty be reinstated to their previous job (or a similar role with equivalent pay, seniority, and status).
- If a service-connected disability prevents them from returning to their prior job, they must be offered a comparable role they can perform.
Veterans’ Hiring Preference for State Employment
- Eligible Veterans and certain family members receive:
- 10 extra points added to passing scores on state and municipal exams
- Preference in hiring, promotions, and workforce reductions
Eligibility for Hiring Preference includes:
- Veterans with honorable service in the U.S. Armed Forces or Pennsylvania National Guard
- Service members currently serving in a Reserve component
- Active-duty Service members with at least three years of service (within 90 days of discharge)
- Un-remarried surviving spouses of eligible Veterans
- Spouses of permanently disabled Veterans
Military Service Credit Toward Retirement
- Honorably discharged Veterans employed by the state for at least three years may purchase retirement credit for active duty military service, increasing pension eligibility and benefits.
Employment Benefits During Active Duty
- Employers must continue health insurance and other benefits for at least 30 days when employees are called to active duty.
- After 30 days, employees may choose to continue coverage at their own expense.
Career Assistance Through PA CareerLink
- Veterans who register with Pennsylvania CareerLink gain access to:
- Resume-building and job tracking tools
- Priority job alerts
- Military skills translators
- Training programs, apprenticeships, and entrepreneurship resources
- Specialized support for Disabled Veterans and transition assistance
Federal Veterans’ Hiring Preferences
- Federal law gives qualified Veterans an advantage in civil service hiring and retention.
- 5-Point Preference: For certain periods of service, campaigns, or conflicts (e.g., WWII, Korea, Vietnam, Gulf War, post-9/11 service).
- 10-Point Preference: For Veterans with service-connected disabilities, Purple Heart recipients, or eligible spouses/survivors.
USERRA (Uniformed Services Employment and Reemployment Rights Act)
- Protects the civilian job rights of Service members in both public and private sectors.
- Key protections include:
- Reemployment in the same (or equivalent) position after service
- Disability accommodations and retraining opportunities
- Up to five years of military leave protection (with exceptions for certain activations)
- Continuation of health care coverage for up to 24 months during service
- Pension plan protections as if service time counted toward civilian employment
Eligibility for USERRA Benefits: Veterans, Guard, and Reserve members who leave a civilian job for military training or active duty.
Support Through the Department of Labor
The Veterans’ Employment and Training Service (VETS) helps enforce USERRA protections for all Service members, including federal and postal employees.
Burials and Memorials
It’s important to record your wishes concerning burial in a national cemetery, as well as the use of a VA-provided headstone, and keep this information with your personal documents and medical records.
The National Cemetery Administration (NCA) honors qualified Veterans and their loved ones by offering a dignified resting place and a permanent memorial that reflects the Veteran’s service to the nation.
Burial benefits include a gravesite in any open national cemetery with space available, opening and closing of the grave, perpetual maintenance, a government-issued headstone or marker, a burial flag, and a Presidential Memorial Certificate—provided to families at no cost. In some cases, Veterans may also be eligible for a burial allowance. Cremated remains receive the same dignified treatment as casketed remains, with placement in national cemeteries.
These benefits also extend to spouses and dependents, ensuring burial alongside the Veteran and lifetime care of the site. The spouse’s or dependent’s name, along with birth and death dates, are engraved on the Veteran’s headstone at no cost. Notably, eligible spouses and dependents may be interred even if they predecease the Veteran, and they are not required to be buried in the same cemetery as the Veteran.
National Cemeteries include:
Annville: Indiantown Gap National Cemetery
Bridgeville: National Cemetery of the Alleghenies
Carlisle: Ashland Cemetery Soldiers’ Lot
Newtown: Washington Crossing National Cemetery
Philadelphia: Mount Moriah Cemetery Naval Plot
Philadelphia: Mount Moriah Cemetery Soldiers’ Lot
Philadelphia: Philadelphia National Cemetery
Pittsburgh: Allegheny Cemetery Soldiers’ Lot
York: Prospect Hill Cemetery Soldiers’ Lot (PA)
Pennsylvania VA Benefit Resources
Veterans in Pennsylvania have access to a District Benefits Office, two Regional Benefits Offices, and several VA Medical Centers across the state.
Pennsylvania VA District Benefits Office
- Philadelphia: North Atlantic District
Pennsylvania VA Regional Benefits Office
- Pittsburgh: Pittsburgh Regional Office
- Philadelphia: Philadelphia Regional Office
Pennsylvania VA Medical Centers
- Altoona: James E. Van Zandt VA Medical Center
- Butler: VA Butler Health Care Center
- Coatesville: Coatesville VA Medical Center
- Erie: Erie VA Medical Center
- Lebanon: Lebanon VA Medical Center
- Philadelphia: Corporal Michael J. Crescenz VA Medical Center
- Wilkes-Barre: Wilkes-Barre VA Medical Center
Pennsylvania VA Benefit Resources
Veterans in Pennsylvania have access to a District Benefits Office, two Regional Benefits Offices, and several VA Medical Centers across the state.