The benefits Gold Star Families are entitled to begin with two tax-free lump sums — a $100,000 federal death gratuity and up to $500,000 in Servicemembers’ Group Life Insurance — and continue through monthly compensation, TRICARE health coverage, education aid for spouses and children, a VA-backed home loan, burial in a national cemetery, on-base access, and federal hiring preference. Which of these you actually receive, and for how long, depends on how the service member died, whether you have children, and whether you remarry.
The First Payments
The federal death gratuity is a flat $100,000 paid to the service member’s designated survivors and is not taxable.1Office of the Law Revision Counsel. 10 USC 1478 – Death Gratuity Amount The Casualty Assistance Officer assigned to the family usually gets this moving within days.
SGLI covers every active-duty member automatically, with a maximum benefit of $500,000. Members can elect lower coverage, so the actual payout depends on what the service member had in place at the time of death. Proceeds go directly to the designated beneficiary and are not subject to federal income tax.2U.S. Department of Veterans Affairs. SGLI Increase to $500,000 FAQs
Monthly Compensation
Dependency and Indemnity Compensation
Dependency and Indemnity Compensation is a tax-free monthly payment from the VA to surviving spouses, children, and in some cases parents. You qualify if the service member died on active duty, or if a veteran’s death resulted from a service-connected injury or illness. A veteran who was rated totally disabled for a qualifying period before death can also trigger DIC eligibility even if the death itself was not directly service-connected.3U.S. Department of Veterans Affairs. About VA DIC for Spouses, Dependents, and Parents
The base DIC rate for a surviving spouse is $1,699.36 per month as of December 2025. Additional allowances apply if you have dependent children or if the service member was totally disabled for at least eight years before death. Rates are adjusted annually for cost of living.4U.S. Department of Veterans Affairs. Current DIC Rates for Spouses and Dependents
To qualify as a surviving spouse, you must have been married to the service member or veteran at the time of death and meet at least one further condition: the marriage lasted at least one year, you had a child together, or you married the veteran within 15 years of discharge from the period of service when the qualifying condition began.3U.S. Department of Veterans Affairs. About VA DIC for Spouses, Dependents, and Parents
Survivor Benefit Plan
The Survivor Benefit Plan pays a lifetime annuity of up to 55 percent of the member’s retired pay, adjusted for inflation, to the eligible beneficiary of a military retiree or a service member who dies on active duty.5Defense Finance and Accounting Service. Understanding SBP, DIC and SSIA For retirees, premiums come out of gross retired pay before taxes.6Military OneSource. Survivor Benefit Plan
If you receive both SBP and DIC, the SBP annuity is typically reduced by the DIC amount to prevent a full double payment. A Special Survivors Indemnity Allowance partially offsets that reduction. The interaction catches many families off guard, so ask a Casualty Assistance Officer or veterans service organization to walk you through how the offset applies to your situation.
Social Security Survivor Benefits
Military service counts toward Social Security, and surviving family members may qualify for survivor benefits on top of DIC. A one-time lump-sum death payment of $255 is available if you apply within two years. Monthly benefits are larger: a surviving spouse at full retirement age receives 100 percent of the worker’s benefit, a spouse caring for a child under 16 receives 75 percent, and unmarried children under 18 (or under 19 if still in secondary school) each receive 75 percent. Total family payments are capped between 150 and 180 percent of the worker’s benefit.7Social Security Administration. Survivors Benefits
A surviving spouse can start collecting reduced survivor benefits as early as age 60, or age 50 with a qualifying disability. Divorced spouses may also qualify if the marriage lasted at least 10 years.7Social Security Administration. Survivors Benefits
Healthcare
Surviving spouses and children of service members who died on active duty are eligible for TRICARE, covering medical, pharmacy, and behavioral health. Spouses keep TRICARE eligibility for as long as they remain unmarried. Children are typically covered until age 21, or up to 23 if enrolled full-time in school, with extended options through TRICARE Young Adult.8TRICARE. Survivors
Survivors can also enroll in the Federal Employees Dental and Vision Insurance Program for dental and vision coverage. Premiums are the same as for other eligible groups.9BENEFEDS. Dental and Vision Eligibility Enrollment happens during the annual Federal Benefits Open Season, so missing that window means waiting a year.
Education
The Marine Gunnery Sergeant John David Fry Scholarship covers up to 36 months of benefits for children and spouses of service members who died in the line of duty on active duty after September 10, 2001. It includes tuition, a monthly housing allowance, and a books-and-supplies stipend. At public schools, it pays full in-state tuition and fees; at private or foreign schools, tuition is capped at a statutory annual maximum.10Veterans Affairs. Fry Scholarship
Survivors’ and Dependents’ Educational Assistance (Chapter 35, or DEA) serves a broader group: children and spouses of veterans who died from a service-connected condition or who are permanently and totally disabled. DEA also provides up to 36 months of benefits. Children who became eligible on or after August 1, 2023 have no age-based time limit. Children who became eligible before that date generally have eight years to use benefits before turning 26, subject to exceptions.11Veterans Affairs. Survivors’ and Dependents’ Educational Assistance
Most states also offer tuition waivers or reductions at public colleges for Gold Star dependents. Coverage varies and typically requires state residency, but many states waive 100 percent of tuition at public institutions.
Home Loan and Housing
Surviving spouses of service members who died on active duty or from a service-connected disability can use a VA-backed home loan with no down payment. You need a Certificate of Eligibility from the VA. Eligibility generally requires that you have not remarried, though spouses who remarried after age 57, or after December 16, 2003 under certain conditions, may still qualify.12Veterans Affairs. Home Loans for Surviving Spouses
If you receive DIC, you are also exempt from the VA loan funding fee, which can save thousands of dollars on a typical home purchase.13Veterans Affairs. VA Funding Fee and Loan Closing Costs Many states also offer property tax exemptions for surviving spouses on a primary residence, usually conditioned on not remarrying. Your county assessor’s office can confirm local rules.
Burial and Memorial
The VA provides burial in any national cemetery with available space at no cost to the family. The benefit covers the gravesite, opening and closing of the grave, perpetual care, and a government headstone or marker.14National Cemetery Administration. Burial and Memorial Benefits
A United States flag is provided at no cost to drape the casket or accompany the urn and is presented to the next of kin. Families can also request a Presidential Memorial Certificate, a gold-embossed certificate bearing the President’s signature. Multiple copies can be requested for different family members.15National Cemetery Administration. Presidential Memorial Certificates
On-Base Access and Recognition
Gold Star Families have access to military commissaries, exchanges, and morale, welfare, and recreation facilities, which can mean real savings on groceries and household goods. Access requires a valid identification credential, typically coordinated through the installation’s Survivor Outreach Services office. Passes are generally valid for three years and require a background check.16Army War College. Gold Star Family Access
Surviving spouses of service members who died on active duty are also eligible for Space-Available military flights, but they fall into Category VI, the lowest priority tier. Space-A works best for flexible schedules rather than firm plans.17Military OneSource. Space-A Travel
The Gold Star Lapel Button is issued to next of kin of service members who died in combat, during armed hostilities, or as a result of international terrorism or overseas peacekeeping operations. A separate Next of Kin Deceased Personnel Lapel Button exists for families whose service member died on active duty under non-combat circumstances. Both are provided at no cost.18Office of the Law Revision Counsel. 10 USC 1126 – Gold Star Lapel Button Eligibility and Distribution
Federal Hiring and Taxes
Surviving spouses who have not remarried and meet other qualifying conditions are eligible for a 10-point derived preference in federal civil service hiring, the same level given to disabled veterans.19U.S. Office of Personnel Management. Veteran Family Members
The main survivor payments are treated differently at tax time. The $100,000 death gratuity, SGLI proceeds, and DIC payments are all exempt from federal income tax.20Internal Revenue Service. Military Family Tax Benefits SBP annuity payments are taxable income. Knowing which stream is which matters when several are running at once.
How Remarriage Changes Your Benefits
Remarriage is the single most consequential decision a surviving spouse can make for these benefits, and the rules differ by program.
For DIC, you keep payments if you remarry at age 55 or older for remarriages on or after January 5, 2021, or at age 57 or older for remarriages on or after December 16, 2003. Remarrying earlier suspends DIC, but if that later marriage ends through death, divorce, or annulment, DIC can be reinstated.21U.S. Department of Veterans Affairs. FAQs – Office of Survivors Assistance
SBP and DIC interact in an unusual way when remarriage is involved. A spouse whose DIC is suspended due to remarriage before age 57 may have their full SBP annuity restored if the remarriage occurred after age 55. If that marriage later ends and DIC is reinstated, the SBP amount is reduced again by the DIC offset.22Retirees.af.mil. Effect on SBP if DIC Is Awarded by the VA
TRICARE eligibility ends on remarriage for surviving spouses, and VA home loan eligibility follows similar restrictions. Talk to a benefits counselor before remarrying so you know exactly what you will keep and what you will lose.
Counseling and How to Claim These Benefits
The VA provides free bereavement counseling to surviving spouses, children, and parents through its network of Vet Centers. Sessions can take place at the Vet Center or another comfortable location at no cost.23Veterans Affairs. Bereavement Counseling Vet Center counseling also extends to families of veterans who were receiving Vet Center services at the time of death and to families of service members who died by suicide.24Department of Veterans Affairs. Bereavement Counseling – Vet Centers Outside the VA, the Tragedy Assistance Program for Survivors (TAPS) runs peer-support programs, seminars, and youth camps for military survivors.
Immediately after a death, the military assigns a Casualty Assistance Officer to the family. The CAO walks you through initial paperwork, helps file for the death gratuity, and connects you with the agencies that handle DIC, SGLI, and other longer-term benefits.25National Guard. Casualty Notification and Casualty Assistance The CAO role is intensive but temporary, typically a few months.
You will need documentation for almost every application: the service member’s DD-214 or proof of service, a death certificate, your marriage certificate or the children’s birth certificates, and in some cases medical records linking the death to service. Gathering certified copies early saves time because these documents overlap across forms.
After the CAO’s involvement ends, veterans service organizations become the best ongoing resource. Accredited claims agents at the VFW, American Legion, and Disabled American Veterans can file paperwork on your behalf at no charge. They know which benefits interact, which deadlines matter, and which forms trip people up. If your situation involves the SBP-DIC offset or a possible remarriage, reach out sooner rather than later.