Are you a veteran receiving TDIU benefits who’s worried about losing your compensation if you take on some work? You’re not alone. Many veterans wonder: “How much can I earn without jeopardizing my benefits?”
The answer lies in understanding the poverty threshold—a critical number that could make or break your TDIU eligibility. This article cuts through the confusion to explain exactly what you need to know to protect the benefits you’ve earned.
Understanding TDIU Benefits for Veterans
TDIU (Total Disability Individual Unemployability) is a VA benefit that allows veterans to receive compensation at the 100% disability rate, even if their combined service-connected disabilities don’t reach that percentage, when they are unable to work due to their service connected conditions.
Think of TDIU as the VA saying: “We understand that while your disability ratings might not add up to 100%, your conditions still prevent you from working and supporting yourself.”
To qualify for TDIU, you generally need either one service-connected disability rated at 60% or more, or multiple disabilities with one rated at least 40% and a combined rating of 70% or more. Most importantly, these disabilities must be the reason you can’t maintain substantial gainful employment.
But this doesn’t mean you can’t work at all. You’re allowed to engage in what’s called “marginal employment” while still receiving your TDIU benefits.
What Counts as “Marginal Employment”?
Marginal employment means you can work as long as your annual earnings stay below the federal poverty level.
For 2025, the poverty level for a single person was $15,650 per year. This means if you make below $15,650 a year, you can still qualify for TDIU.
You can also work in a protected environment specifically designed for people with disabilities, which might allow you to earn more than the poverty level and still get your TDIU benefits.
Examples of protected work environments are a family owned business, or a job that was created just for you and takes your disability into account.
The VA decides if your workplace counts as “protected” by looking at your specific situation, so it’s important to note that the job conditions must be well documented. They examine the facts of your individual case rather than using a one-size-fits-all definition.
How to Protect Your TDIU Benefits
The VA monitors income for veterans receiving TDIU benefits through annual checks with the Social Security Administration. If they discover you’ve earned above the poverty level, they’ll send you an Employment Questionnaire (VA Form 21-4140) to gather more information about your work situation.
If your income exceeds the threshold and your job isn’t in a protected environment, the VA may revoke your TDIU benefits. It is important to note that even if you earn less than the threshold, the VA may still review your benefits if you are employed in any capacity.
To maintain your TDIU benefits:
- Stay informed about the current poverty threshold, which changes yearly
- Track your annual income carefully to ensure it remains below the threshold
- Respond promptly to any Employment Questionnaires from the VA
- Consult with a veterans’ disability attorney before filing appeals–a mistake on your end could cost you thousands of dollars
Remember that TDIU doesn’t require you to be completely unable to work—just unable to maintain substantial gainful employment above the poverty threshold.
Thinking of Filing for TDIU?
And if you have not filed for TDIU, and are considering doing so, don’t let part time employment prevent you. You can absolutely file for – and win – TDIU benefits while employed, so long as you’re on track to earn less than the poverty threshold when your pay is extrapolated out to a year.
How Tucker Disability Law Can Help
Are you struggling with TDIU or a denied VA disability claim?
At Tucker Disability Law, we specialize in helping veterans secure the benefits they deserve. Whether filing a new claim, appealing a denial, or reviewing your current rating, we’re here to guide you every step of the way.
Schedule a free consultation with our team and take the first step toward protecting the compensation you’ve earned.
Use the blue contact section NOW to call us, live chat with us, or message us using our confidential contact form.
