TDIU
Total Disability Individual Unemployability
TDIU provides compensation at the 100% rate for veterans whose service-connected disabilities prevent them from maintaining substantial gainful employment — even if their combined rating is less than 100%.
Key Takeaway
If your service-connected disabilities prevent you from holding a substantially gainful job, you may qualify for TDIU — which pays at the 100% compensation rate — even if your combined schedular rating is below 100%.
Two Types of TDIU
Schedular TDIU
Standard Path
Eligibility Requirements:
One condition rated 60% or higher
Combined rating of 70% or higher with at least one condition at 40% or higher
Must demonstrate that service-connected disabilities prevent substantial gainful employment. This is the standard and more common path to TDIU.
Extraschedular TDIU
Alternative Path
Eligibility Requirements:
Does not meet schedular rating requirements
Service-connected disabilities still prevent employment
Referred to the Director of Compensation Service for special consideration. Harder to obtain but still possible for veterans who clearly cannot work due to their disabilities.
What Is "Substantial Gainful Employment"?
The VA defines substantial gainful employment as work that provides an annual income above the federal poverty threshold. Marginal employment (such as working in a sheltered or protected environment, or earning below the poverty level) does not count as substantial gainful employment and does not disqualify you from TDIU.
Important Restriction
If you are receiving TDIU, there are restrictions on substantial gainful employment. Earning above the poverty threshold from employment may result in a reduction or loss of TDIU benefits. Always consult with an accredited representative before making employment decisions.
Evidence to Support a TDIU Claim
| Evidence Type | Details |
|---|---|
| VA Form 21-8940 | Application for Increased Compensation Based on Unemployability — the official TDIU application form |
| Medical evidence | Records showing how your service-connected conditions prevent you from working |
| Employment history | Documentation of work history, including jobs lost or reduced hours due to disabilities |
| Employer statements | Letters from employers describing accommodations made or reasons for termination |
| Vocational assessment | Expert opinion on your ability to obtain and maintain employment given your disabilities |
| Personal statement | Your own description of how disabilities affect your ability to work day-to-day |
VA Form 21-8940
Application for Increased Compensation Based on Unemployability — the official TDIU application form
Medical evidence
Records showing how your service-connected conditions prevent you from working
Employment history
Documentation of work history, including jobs lost or reduced hours due to disabilities
Employer statements
Letters from employers describing accommodations made or reasons for termination
Vocational assessment
Expert opinion on your ability to obtain and maintain employment given your disabilities
Personal statement
Your own description of how disabilities affect your ability to work day-to-day
Tips for TDIU Claims
- Document every way your disabilities affect your ability to work — include physical limitations, mental health impacts, and medication side effects
- If you have been fired, laid off, or had to reduce hours due to your disabilities, get written statements from those employers
- Consider requesting a vocational assessment from a qualified expert
- TDIU can be granted even if you are currently working marginally — the key is whether you can maintain "substantial gainful employment"
Official Resource
VA — TDIU Eligibility