Kentucky Department of Veterans Affairs

Bluegrass State Honor: Kentucky's Top 10 Most Valuable Veterans Benefits

Kentucky proudly supports its veteran community with a wide range of benefits designed to enhance financial well-being, provide educational opportunities, and ensure long-term care. Administered by the Kentucky Department of Veterans Affairs (KDVA), these programs represent a significant commitment to those who have served. While the personal value of each benefit can differ, a clear top tier emerges based on monetary impact, broad applicability, and life-altering support.

Here are the top ten, most valuable veterans benefits offered through the Kentucky Department of Veterans Affairs:

1. Property Tax Exemption for 100% Disabled Veterans: Topping the list for its substantial financial relief, Kentucky offers a full exemption from property taxes for veterans with a 100% service-connected disability. The exemption applies to the veteran's primary residence and is currently set for a home value up to $46,350 (this amount is adjusted for inflation every two years), potentially eliminating the entire property tax bill for many homeowners and saving them thousands annually.
2. State Veterans' Nursing Homes: Kentucky operates four outstanding State Veterans' Homes in Hazard, Hanson, Radcliff, and Wilmore. These facilities provide top-tier, affordable skilled nursing care in a setting dedicated to the unique needs of veterans. Given the high cost of private long-term care, access to these homes is an invaluable resource for aging veterans and their families.
3. Tuition Waiver for Dependents of Deceased or Disabled Veterans: This powerful program provides a waiver of tuition at any state-supported college, university, or vocational school for the children, stepchildren, and un-remarried spouses of veterans who died on active duty or as a result of a service-connected disability. The benefit also applies to dependents of veterans who are 100% service-connected disabled. This can save a family tens of thousands of dollars, making higher education a debt-free reality.
4. State Income Tax Exemption on Military Retirement Pay: Kentucky allows for a significant portion of military retirement pay to be exempt from state income taxes. Currently, up to $31,110 of retirement and pension income (including military retirement) is exempt. This provides a substantial tax advantage for career veterans, allowing them to keep more of their hard-earned pension.
5. State Employment Preference: Honorably discharged veterans receive a hiring preference when applying for state government jobs. Five points are added to the application scores of qualified veterans, and ten points are added for disabled veterans, giving them a significant edge in securing stable and rewarding public service careers.
6. State Veterans' Cemeteries: Kentucky maintains five State Veterans' Cemeteries, ensuring every veteran has access to a final resting place close to home. These cemeteries—located in Fort Knox, Fort Wright, Greenup County, Hopkinsville, and Hyden—provide a dignified and honorable burial for veterans, their spouses, and eligible dependents at no cost to the family for the plot and interment.
7. Veterans' Bonus Program: A unique benefit, Kentucky offers a one-time bonus to veterans who served on active duty during specific periods of war or conflict. While the amounts vary based on service location and time, this direct financial payment is a tangible "thank you" from the Commonwealth for their service.
8. Free Hunting and Fishing Licenses for Disabled Veterans: Kentucky resident veterans with a 50% or greater service-connected disability are eligible for a free combination hunting and fishing license. This valuable perk encourages participation in the state's rich outdoor traditions and enhances the quality of life.
9. "VETERAN" Designation on Driver's License/ID Card: Veterans can receive a "VETERAN" designation on their Kentucky driver's license or ID card. This simple but important benefit serves as official proof of veteran status, ensuring easy access to the numerous retail, service, and restaurant discounts offered throughout the state as a gesture of appreciation.
10. No Inheritance Tax on Benefits: Any benefits, including insurance payments, received from the U.S. Department of Veterans Affairs are completely exempt from Kentucky's inheritance tax. This ensures that the veteran's surviving family members can receive the full measure of these federal benefits without state tax liability.

These premier benefits showcase Kentucky's deep commitment to its veteran community. For detailed eligibility requirements and to connect with a Veterans Benefits Field Representative for assistance, veterans are encouraged to visit the official website of the Kentucky Department of Veterans Affairs.

Kentucky Department of Veterans Affairs

Contact Information:

Address:
1111B Louisville Rd.
Frankfort, KY 40601

Phone: 502-564-9203

Return to the WeSalute State Veterans Benefits Directory