Rhode Island Veteran Financial Benefits
Military Retired Pay Tax Exemption:
As of January 1, 2023, Rhode Island no longer taxes military retirement pay.
Thrift Savings Plan (TSP):
TSP does not withhold state or local taxes, but distributions are reported annually on IRS Form 1099-R. These withdrawals are subject to Rhode Island state tax, and early withdrawals may result in higher tax liabilities.
Military Pay Taxation:
Military pay earned by Rhode Island residents is subject to state income tax under federal guidelines.
Disability Retirement Pay:
Military Disability Retirement Pay received as a pension, annuity, or allowance for injuries or illnesses linked to active service is exempt from state income tax. Exempt benefits include:
- VA disability compensation and pension payments for Veterans and their families
- Housing grants for wheelchair-accessible homes
- Vehicle grants for Veterans who lost sight or limb use
- Benefits under dependent-care assistance programs
Dependency and Indemnity Compensation (DIC):
DIC payments from the VA to eligible survivors of Service members who died in the line of duty—or from service-related conditions—are tax-free.
Survivor Benefits (SBP, RCSBP, RSFPP):
Payments from these plans are subject to Rhode Island income tax. However, the state provides pension-related tax relief:
- Up to a $15,000 retirement pension deduction (increasing to $20,000 for tax year 2023)
- Surviving spouses 65+ with an adjusted gross income under $119,750 may qualify
- Those 65+ with AGI under $25,000 may also receive a 2% tax credit (maximum $500, one-time only)
Nonresident Exemption:
- Military pay earned by nonresident Service members stationed in Rhode Island is not taxed by the state.
- Income earned by their nonresident spouses is also exempt, provided they are in Rhode Island solely due to the Service member’s orders.
- Civilian jobs held by the Service member in Rhode Island remain taxable.
Property Tax Exemptions:
Municipalities offer property and vehicle tax exemptions for eligible Veterans. Rules, forms, and exemption amounts vary locally, so Veterans should contact their town’s tax assessor for specific guidance.
Sales Tax Overview:
- Statewide sales tax: 7.0%
- Counties cannot levy extra sales taxes
- Exemptions include:
- Prescription medications
- Clothing
- Unprepared foods
- Prepared meals are taxed at 8%
Recreation
Rhode Island Hunting and Fishing Benefits for Service Members and Veterans
Rhode Island provides a variety of hunting, fishing, and recreational benefits to Veterans and Service members. Below is a summary of available programs. Applicants must present proof of eligibility at the time of application:
- Active Duty Service Members – Must present a valid Military ID.
- Veterans – Must show DD214.
- Disabled Veterans – Must provide a VA Disability Certification Letter.
Extension of Licenses for Military Members
Rhode Island residents who hold a hunting or fishing license prior to entering the U.S. Armed Forces may keep their license active until six months after separation from service.
Free Hunting and Fishing Licenses for 100% Disabled Veterans
Veterans rated at 100% disability by the VA qualify for complimentary hunting and fishing licenses in Rhode Island.
Resident Pricing for Nonresident Service Members
Nonresident Service members can purchase Rhode Island hunting and fishing licenses at the same cost as state residents.
Free State Park Pass for Disabled Veterans
Veterans with a 100% service-connected disability are eligible for the Rhode Island State Park Disability Pass, which grants free entry and parking at all state-owned recreational facilities. This pass does not cover the following:
- Licensing fees
- Camping fees
- Picnic table rentals
- Specialized facility charges
- Equestrian area use
- Performing arts centers
- Game field use
- Mule shed fees
If the Veteran cannot drive, the vehicle transporting them will also receive free entry. To apply, Veterans must visit the Rhode Island State Parks and Recreation Headquarters in person and provide VA documentation (dated within the past year) verifying their 100% service-connected disability.
Goddard Park Golf Course Fee Waiver
Rhode Island Veterans with a 100% permanent and total service-connected disability rating are exempt from all golf fees at Goddard Park Golf Course. For details, contact the Clubhouse at Goddard Memorial State Park between April 1 and the third Saturday in November at 401-884-9834, or call Division Headquarters year-round at 401-667-6200.
Education Programs
Rhode Island Education Benefits for Service Members, Veterans, and Families
Rhode Island National Guard State Tuition Assistance Program (STAP)
STAP offers Rhode Island National Guard members a tuition waiver at the Community College of Rhode Island, Rhode Island College, or the University of Rhode Island. Service members are responsible for books and fees.
- Covers tuition for up to five classes per semester (fall or spring)
- Can be used alongside VA education benefits
Eligibility: Must be a Rhode Island National Guard member in good standing, pursuing an associate, bachelor’s, or master’s degree. Participants must commit to one year of service for every 12 credits taken, and their discharge date must be after the course ends.
Rhode Island National Guard State Tuition Exemption Program (STEP)
STEP provides one free summer course per year at CCRI, RIC, or URI.
- Eligible for four classes per enlistment
- Members earn an additional four courses for each year they extend their enlistment
- Can be used with VA benefits
Free Tuition for Families of Fallen Guard Members
Rhode Island pays tuition costs for the surviving spouse or children of Rhode Island National Guard members who died in the line of duty. This benefit applies to public state colleges and universities for up to four years of study.
Disabled Veterans Tuition Waiver
Rhode Island resident Veterans with a VA disability rating of 10% or higher qualify for a tuition waiver at state public colleges and universities. This waiver covers tuition only (books and fees not included).
In-State Tuition for Service Members, Veterans, and Dependents
Active duty Service members, their dependents, and eligible Veterans can receive in-state tuition at CCRI, RIC, or URI regardless of residency.
Eligibility includes:
- Active duty Service members (30+ days) and their families
- Veterans discharged after less than 30 days due to a service-connected injury
- Students using transferred VA benefits or the Fry Scholarship
Interstate Compact on Educational Opportunity for Military Children (MIC3)
Rhode Island participates in MIC3, which supports the educational needs of military children facing frequent relocations. The compact helps by:
- Ensuring smooth enrollment and record transfers between schools
- Supporting fair student placement despite curriculum or schedule changes
- Protecting access to academic programs, extracurriculars, and athletics
- Promoting on-time graduation
- Coordinating among states, schools, and families for student success
Housing: Locations of Veterans Homes
Rhode Island Veterans Home Community Living Center: Situated on Mount Hope Bay in Bristol, the Rhode Island Veterans Home offers assisted living and nursing care services designed to support the needs of war Veterans from Rhode Island.
Rhode Island State Veterans Home at Bristol
Services Offered:
- Recreational and social programs
- Comprehensive medical and nursing care
- Rehabilitation support
- X-ray services
- Dental care
- On-site pharmacy
- Physical and occupational therapy
- Social work assistance
- Transportation to the Providence VA Medical Center
Eligibility for the Rhode Island Veterans Home Community Living Center:
To qualify, Veterans must:
- Have received an honorable discharge with a minimum of 90 days of active wartime service
- Be a Rhode Island resident for at least two consecutive years prior to application, or have entered military service from Rhode Island
Required Documentation:
- DD214 (discharge papers)
- Medical history from primary care physician covering the past two years
- Guardianship or power of attorney for health care or finances, if applicable
Employment and Job Training Benefits for Veterans in Rhode Island
Military Leave for Service Members
All Rhode Island employers are required to grant leave for members of the National Guard or U.S. Armed Forces Reserves when they are called to training or active duty.
State Employee Differential Pay
Rhode Island state employees serving in the Guard or Reserves may qualify for differential pay, which covers the gap between their state salary and federal active-duty pay.
Military Family Leave
Employers must provide unpaid leave to employees whose family members are activated under federal or state orders:
- Employers with 51+ employees: up to 30 days of leave
- Employers with 15–50 employees: up to 15 days of leave
Veterans’ Hiring Preference – Civil Service Jobs
Rhode Island offers preference points for Veterans applying for competitive state jobs:
- 5 points for eligible Veterans
- 10 points for disabled wartime Veterans
Veteran Services at RI Career Centers
The Rhode Island Department of Labor and Training (DLT) offers Veterans and their spouses Priority of Service, giving them first access to job search resources, training, and workshops. Services include:
- Job search tools and online listings
- Career counseling and coaching
- Resume and interview preparation
- Networking opportunities
Federal Hiring Preferences
Federal law also provides hiring preferences for Veterans applying to civil service positions, with additional points given to those with service-connected disabilities, wartime service, or Purple Heart recipients. In some cases, spouses, surviving spouses, and mothers of Veterans may also qualify for preference.
USERRA (Uniformed Services Employment and Reemployment Rights Act)
USERRA protects the civilian employment rights of Service members by ensuring:
- Reemployment after military service (with same seniority, status, and pay)
- Protection from job loss due to military duty
- Disability accommodation and retraining if needed
- Continued access to health and pension plans while on active duty
Service members returning from duty are guaranteed their job or an equivalent position, and employers must make reasonable efforts to reintegrate them into the workforce.
Eligibility for USERRA Benefits
All Veterans, Guard, and Reserve members who leave civilian jobs for training or active duty are covered. The U.S. Department of Labor’s Veterans’ Employment and Training Service (VETS) provides assistance with claims under USERRA, including for Federal and Postal Service employees.
Burials and Memorials
It is important to record your wishes regarding burial in a national cemetery and the use of a VA-provided headstone, keeping this information with your personal documents and medical records.
The National Cemetery Administration (NCA) honors eligible Veterans and their loved ones by ensuring a dignified final resting place and a permanent memorial that reflects their service to the nation.
Burial benefits include a gravesite in any open national cemetery with space available, opening and closing of the grave, ongoing maintenance, a government-issued headstone or marker, a burial flag, and a Presidential Memorial Certificate—all provided at no cost to the family. Certain Veterans may also qualify for a burial allowance. Cremated remains receive the same respect and honors as casketed burials, with interment or inurnment in national cemeteries.
Eligible spouses and dependents are also entitled to burial benefits, which include resting beside the Veteran and perpetual care of the gravesite. Their names and dates of birth and death are engraved on the Veteran’s marker without charge. Notably, spouses and dependents may be buried even if they pass away before the Veteran and do not need to be interred in the same cemetery.
National Cemeteries include:
Exeter: Rhode Island Veterans Memorial Cemetery
Rhode Island VA Benefit Resources
Rhode Island provides Veterans with a Regional Benefits Office and a VA Medical Center.
Rhode Island VA Regional Benefits Office
- Providence: Providence Regional Office
Rhode Island VA Medical Centers
- Providence: Providence VA Medical Center
Key Details on Rhode Island Veteran Benefits:
If you are a Veteran applying for VA benefits for the first time, you’ll need to provide a copy of your DD Form 214 (discharge papers). This document verifies your discharge status, full name, Social Security number, branch of service, and dates of service. Veterans with honorable or general discharges typically qualify for most VA benefits.
It’s important to store your discharge papers and medical records securely in a place that is safe from loss, damage, or tampering—such as a locked safe—while still keeping them accessible to you and your family.
Eligibility for the majority of VA benefits is determined by discharge from active duty under conditions other than dishonorable. “Active duty” refers to full-time service in the Army, Navy, Air Force, Marine Corps, or Coast Guard, or service as a commissioned officer in the Public Health Service, Environmental Services Administration, or the National Oceanic and Atmospheric Administration.
Veterans discharged under “Dishonorable” conditions, such as those resulting from bad conduct issued by a general court-martial, may be ineligible for VA benefits. However, certain benefits may still be available to Veterans who are incarcerated or on parole. VA regional offices can help clarify benefit eligibility for individuals in these situations, including those with multiple discharges under different conditions.
Information current as of November 2023
Rhode Island Veteran Benefits
Disabled Veterans in Rhode Island with a VA disability rating of 90% or below may qualify for extra benefits. Vital Veterans Consultants offers a free, no-obligation consultation to review your claim and help determine if you are entitled to additional support.
