Delaware Veteran Benefits

Complete guide to state benefits for Delaware veterans in 2026

Delaware Tax Info

Delaware offers a $12,500 pension/retirement exclusion that applies to military retirement. VA disability compensation is tax-free under federal law.

Delaware Veteran Benefits Summary: Delaware offers a $12,500 retirement exclusion (under 60) or $12,500 additional (60+), property tax credits for disabled veterans, the Delaware Veterans Home, and state employment preferences. Delaware has approximately 65,000 veterans.

State Income Tax

Military retirement (under 60): $12,500 exclusion

Military retirement (60+): $12,500 + additional exclusion

VA disability: Tax-free (federal law)

Property Tax

  • School tax credit: $500 for veterans
  • Disabled veteran: Additional credits
  • Paraplegic: Full exemption

Other Benefits

  • Delaware Veterans Home: Long-term care
  • Free vehicle tags: For disabled veterans

Employment Benefits

  • Veterans' Preference: Points in state hiring
  • Disabled veteran: Additional preference

2026 BAH Rates for Delaware

LocationE-5 w/Dep
Dover AFB$1,827