Minnesota Veteran Benefits

Complete guide to state benefits for Minnesota veterans in 2026

Minnesota Military Retirement Tax

Minnesota offers military retirement pay subtraction with partial exclusion. VA disability compensation is tax-free under federal law.

Minnesota Veteran Benefits Summary: Minnesota offers military retirement subtraction, property tax exclusion for 100% disabled veterans (Market Value Exclusion), the Minnesota GI Bill, and strong employment preferences. Minnesota has approximately 310,000 veterans.

State Income Tax

Military retirement: Subtraction available

VA disability: Tax-free (federal law)

Property Tax

  • 100% disabled: $300,000 exclusion
  • 70-99% disabled: $150,000 exclusion

Education

  • Minnesota GI Bill: Up to $10,000
  • Surviving Spouse Grant: Available

Employment

  • Veterans' Preference: Points in hiring