--- title: "Part VI, Subpart iv, Chapter 2, Section C Apportionment Maintenance and Adjustment" document: "M-21-1" section: "Part VI, Subpart iv, Chapter 2, Section C" canonical: "https://veteranai.co/va-regulations/m21-1/vi.iv.2.c-apportionment-maintenance-and-adjustment" source: "https://www.knowva.ebenefits.va.gov/system/templates/selfservice/va_ssnew/help/customer/locale/en-US/portal/554400000001018/content/554400000208933/M21-1-Part-VI-Subpart-iv-Chapter-2-Section-C-Apportionment-Maintenance-and-Adjustment" updated: "2026-09-07T14:37:25.836320Z" --- March 9, 2026 ### VI.iv.2.C.1.a. Applicability and Definitions The procedures in this section apply equally to current and legacy apportionments, except as otherwise noted. **Notes:** For the purpose of maintaining and adjusting apportionments, the term * _current apportionment(s)_ applies to apportionment decisions first granted effective on or after February 9, 2026, and * _legacy apportionment(s)_ applies to apportionment decisions first granted before February 9, 2026. **Reference:** For more information on apportionment maintenance and adjustment procedures that are applicable to legacy apportionments only, see [M21-1, Part VI, Subpart iv, 2.D](). ### VI.iv.2.C.1.b. Basis for Apportionment Adjustment Apportionments granted effective on or after February 9, 2026, are not subject to claims for increase because _all_ benefits not payable to the primary beneficiary during incarceration or hospitalization are apportioned in the original decision to the eligible apportionee. Current apportionments are subject to adjustment on the basis of a change in * the primary beneficiary’s entitlement, or * an apportionee’s status change. ### VI.iv.2.C.1.c. Discontinuation of an Apportionment All apportionments granted effective on or after February 9, 2026, in association with the primary beneficiary’s incarceration or hospitalization are subject to discontinuation upon the primary beneficiary’s release from incarceration or discharge from hospitalization. * The apportionee is notified at the time the apportionment is granted that the apportionment will end at the time of the primary beneficiary’s release/discharge. Thus, no proposed adverse action notice is required to discontinue the apportionment. * There is no regulatory basis to extend or grant anew a current apportionment following the cessation of the primary beneficiary’s incarceration or hospitalization. ### VI.iv.2.C.1.d. Impact of Discontinuation of a Primary Beneficiary’s Award An apportionment must be discontinued when the primary beneficiary’s award is discontinued for any reason. In such instances, discontinue the apportionment effective the same date as the effective date for discontinuation of the primary beneficiary’s award. **Note:** Discontinuing a primary beneficiary’s award automatically discontinues any apportionment associated with that award. ### VI.iv.2.C.1.e. Other Reasons and Instructions for Discontinuing an Apportionment The table below contains * reasons for discontinuing an apportionment, and * references to instructions for discontinuing apportionments that are unique to the reason for discontinuation. | **If the apportionment must be discontinued due to the ...**| **Then process the discontinuation as instructed in ...** death of the primary beneficiary| M21-1, Part VI, Subpart iv, 2.C.3.a. death of the apportionee| * M21-1, Part VI, Subpart iv, 2.C.3 * [M21-1, Part VII, Subpart i, 1.C.4]() * [38 CFR 3.1000(b)(1)](), and * [38 CFR 3.500(g)](). divorce (or annulment of marriage) of the spouse-apportionee| * M21-1, Part VI, Subpart iv, 2.C.2 * [M21-1, Part VII, Subpart i, 1.C.4](), and * [38 CFR 3.501(d)](). incarceration of the apportionee| [M21-1, Part VI, Subpart iv, 1.B.6](). discontinuation of a child-apportionee's entitlement| * [M21-1, Part VII, Subpart i, 1.C.4]() * M21-1, Part VI, Subpart iv, 2.C.4 or 6, and * [M21-1, Part VI, Subpart iv, 2.D.3](). marriage of a child-apportionee| * [M21-1, Part VII, Subpart i, 1.C.4.g]() * M21-1, Part VI, Subpart iv, 2.C.6 * [M21-1, Part VI, Subpart iv, 2.D.3](), and * [38 CFR 3.500(n)](). discontinuation of a child-apportionee's school attendance| * M21-1, Part VI, Subpart iv, 2.C.6 * [M21-1, Part VI, Subpart iv, 2.D.3](), and * [38 CFR 3.667(c)](). election of * Dependents’ Educational Assistance, or * education benefits under [38 U.S.C. 3311]() (Fry Scholarship) * [M21-1, Part VI, Subpart iv, 2.A.1.g]() * [M21-1, Part VII, Subpart ii, 1.B.2 and 3]() * [38 U.S.C 3322(f)](), and * [38 CFR 21.3023(a)](). cessation of the dependency of a parent| * [M21-1, Part VII, Subpart i, 4.B.7](), and * [38 CFR 3.660(a)(2)](). residency of the apportionee with the primary beneficiary (for legacy apportionments only)| [M21-1, Part VI, Subpart iv, 2.D.3.c](). unknown whereabouts of the apportionee| * M21-1, Part VI, Subpart iv, 2.C.1.g, and * [38 CFR 3.500(t)](). * unknown whereabouts of a primary beneficiary that resides in a Treasury Department-listed country, or * apportionee’s residence in a Treasury Department-listed country | [M21-1, Part X, Subpart i, 3.B](). commencement of a primary beneficiary’s payment of child support for a child-apportionee (for legacy apportionments only)| [M21-1, Part VI, Subpart iv, 2.D.3.g and h](). surviving child’s election to receive benefits in a two Veteran-parent case| [M21-1, Part VII, Subpart i, 3.D](). surviving spouse’s * loss of entitlement to Section 306 or Old-Law Pension, or * election of current-law survivors pension over Section 306 or Old-Law Pension | [M21-1, Part IX, Subpart iii, 2.C](). surviving spouse’s remarriage| [M21-1, Part VII, Subpart i, 2.E.4](). incarceration of the surviving spouse, who has been receiving **_pension_**| [M21-1, Part VI, Subpart iv, 1.B.2.g-i](). ### V.iv.2.C.1.f. Handling Notice of a Change in the Status of an Apportionee or Primary Beneficiary Follow the instructions in the table below after receiving notice of a change in the status of an apportionee or primary beneficiary that will require an adjustment of the apportionment and/or primary beneficiary’s award. | **If the change was reported by the …**| **And …**| **Then …** primary beneficiary| only the primary beneficiary’s status has changed **Example:** A Veteran reports income that exceeds the maximum annual pension rate.| * adjust the awards of the primary beneficiary and apportionee(s), and * provide contemporaneous notice of the action taken to both parties. primary beneficiary| the apportionee’s status has reportedly changed| remove the apportionee from the primary beneficiary’s award but do _not_ discontinue the apportionment without * sending a notice of proposed adverse action to the apportionee, and * allowing the apportionee 65 days to respond. apportionee| the overall effect of discontinuing the apportionment and removing the apportionee from the primary beneficiary’s award will **_reduce_** the primary beneficiary’s award| * discontinue the apportionment * send a notice of proposed adverse action to the primary beneficiary, and * adjust or discontinue (whichever applies) the primary beneficiary’s award after giving 65 days to respond. apportionee| the overall effect of discontinuing the apportionment and removing the apportionee from the primary beneficiary’s award will **_increase_** the primary beneficiary’s award| * discontinue the apportionment, and * provide contemporaneous notice of the action taken to both parties. **Note:** The requirements of [38 CFR 3.31]() do not apply to the “increase” referenced in this row. a third party| only the primary beneficiary’s status has reportedly changed | * send a notice of proposed adverse action to the primary beneficiary * send a letter to the apportionee(s) explaining that the Department of Veterans Affairs (VA) may * reduce or discontinue the primary beneficiary’s award on a given date, and * make corresponding adjustments to the apportionee award(s), and * adjust the awards to the primary beneficiary and apportionee(s), if necessary, after giving the primary beneficiary 65 days to respond. a third party| the apportionee’s status has reportedly changed| * send a notice of proposed adverse action to the apportionee * send a notice of proposed adverse action to the primary beneficiary **_only if_** the overall effect of discontinuing the apportionment and removing the apportionee from the primary beneficiary’s award will **_reduce_** the primary beneficiary’s award, and * adjust the awards to the primary beneficiary and apportionee(s), if necessary, after giving them 65 days to respond. **Notes:** * In the situation of multiple apportionees, a grant of a new apportionment may impact a primary beneficiary’s award and/or other apportionees’ entitlement. Provide notice of proposed adverse action to existing apportionees when a new apportionment, requiring equal division of the primary beneficiary’s benefits for all apportionees during a period of incarceration or institutionalization, results in a reduction of benefits for the existing apportionee(s). * In accordance with [M21-1, Part IX, Subpart iii, 1.C.6.b](), the discontinuation of a surviving spouse’s Section 306 or Old Law Pension does _not_ deprive children not in the surviving spouse’s custody of their entitlement to the rate of payment they were receiving as apportionees. **References:** For more information on * the circumstances under which VA must issue notice of a proposed adverse action and may issue contemporaneous notice, see [M21-1, Part I, Subpart i, 1.B.2.a]() * issuing a notice of proposed adverse action, see [M21-1, Part X, Subpart ii, 3.A]() * issuing contemporaneous notice, see [M21-1, Part X, Subpart ii, 3.C](), and * handling a notice of divorce or annulment from a source other than the apportionee, see M21-1, Part VI, Subpart iv, 2.C.2.b. ### VI.iv.2.C.1.g. Apportionments Suspended Because Payments Were Returned as Undeliverable An apportionment is automatically suspended when payments to the apportionee are returned as undeliverable. Proceeds accrue in the apportionee’s account when the suspension takes effect. Upon receipt of notice that proceeds exist in an apportionee’s account for the reason stated in the preceding paragraph, regional offices (ROs) must attempt to locate the apportionee by * contacting the primary beneficiary, and * following the instructions in [M21-1, Part II, Subpart i, 2.C.6.d](). If attempts to locate the apportionee are ultimately unsuccessful, ROs must * discontinue the apportionment effective the date VA last paid the _apportionee_ (the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in the Veterans Benefits Management System (VBMS)) * follow the instructions in M21-1, Part VI, Subpart iv, 2.C.1.h for * determining whether the apportionee should remain on the primary beneficiary’s award, and * removing the apportionee from the primary’s award (if necessary), and * notify the apportionee and primary beneficiary of the actions taken. **Important:** When discontinuing an apportionment that originated as a _garnishment order_ (under the provisions of [M21-1, Part VI, Subpart iv, 3.2.c]()), VA must continue to withhold benefits payable to the apportionee. This is accomplished by entering the amount of the apportionment in the ADJUSTMENT AMOUNT field on the OTHER ADJUSTMENTS tab in Awards (VBMS-A). ### VI.iv.2.C.1.h. Removing an Apportionee From a Beneficiary’s Award Due to Whereabouts Unknown VA must remove from a beneficiary’s award * a child whose whereabouts are unknown, and/or * the beneficiary’s spouse if * the beneficiary is a Veteran in receipt of pension, and * the whereabouts of the spouse are unknown. **Exception:** For a legacy apportionment, removal of a dependent from a beneficiary’s award is **_not_** required if the beneficiary is contributing to the dependent’s support. Follow the instructions in the table below if * the whereabouts of an apportionee are unknown, and * the apportionee is * a child, or * the spouse of a Veteran in receipt of pension. | **Step**| **Action** 1| Will the combined effect of removing the dependent **_and_** discontinuing the apportionment _decrease_ the benefits payable to the beneficiary? * If _yes_ , go to Step 3. * If _no_ , go to the next step. 2| * Remove the dependent from the beneficiary’s award (_without_ issuing a notice of proposed adverse action) effective the date VA last paid the _beneficiary_ (the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS). * Disregard the remaining steps in this table. **Note:** Take the actions described in this step concurrent with actions to discontinue the apportionment to the dependent. 3| Establish an end product (EP) 600, using the current date as the date of claim. 4| Prepare a notice of proposed adverse action. In the notice, * inform the beneficiary that VA must remove the dependent from the award because the dependent’s whereabouts are unknown, and * ask the beneficiary to provide to VA * the dependent’s current address (physical or mailing), or * evidence that the beneficiary is contributing to the dependent’s support. **Reference:** For more information on issuing a notice of proposed adverse action, see [M21-1, Part X, Subpart ii, 3.A](). 5| Did the beneficiary respond to the notice of proposed adverse action within 65 days? * If _yes_ , go to Step 8. * If _no_ , go to the next step. **Note:** If the beneficiary requests a hearing in response to the notice of proposed adverse action, follow the instructions in [M21-1, Part X, Subpart ii, 3.B.3](). 6| Remove the dependent from the beneficiary’s award (under the pending EP 600) effective the date VA last paid the _beneficiary_ (the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS)._**Note**_ : Take the actions described in this step concurrent with actions to discontinue the apportionment to the dependent. 7| * Notify the beneficiary of the action taken. * Disregard the remaining steps in this table. 8| Did the beneficiary provide the dependent’s current address or evidence that the beneficiary is contributing to the dependent’s support? * If _yes_ , go to the next step. * If _no_ , return to Step 6. 9| Notify the beneficiary that VA will _not_ remove the dependent from the award. **Notes:** * If the beneficiary provides the dependent’s current address, do **_not_** resume the apportionment without a request for resumption from the apportionee. * Follow the instructions in M21-1, Part VI, Subpart iv, 2.C.1.i, following receipt of a request for resumption of the apportionment. 10| Clear the pending EP 600. ### VI.iv.2.C.1.i. Resumption of an Apportionment That VA Suspended or Discontinued Because Payments Were Returned as Undeliverable Follow the instructions in the table below following receipt of a request from an apportionee for resumption of an apportionment that was suspended because payments to the apportionee were returned as undeliverable. | **If …**| **Then …** VA has not yet discontinued the apportionment (it is still in suspense)| resume the apportionment under EP 130 and release to the apportionee any proceeds in the account. VA has discontinued the apportionment| * ask the apportionee to complete a new _[VA Form 21-0788, Information Regarding Apportionment of Beneficiary’s Award]()_ , (unless the apportionee submitted the form with the request), and * consider any subsequently claimed apportionment in accordance with the regulations currently in effect. **Exception:** Following receipt of a request for resumption of an apportionment that originated as a garnishment order (under the provisions of [M21-1, Part VI, Subpart iv, 3]()) and was suspended because payments to the apportionee were returned as undeliverable, resume payment of the apportionment effective the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS regardless of the date VA received the request. ## 2. Discontinuing an Apportioned Award Due to Divorce or Annulment This topic contains information on discontinuing an apportionment due to divorce or annulment, including * effective date of discontinuation of an apportionment to a Veteran’s spouse * processing a notice of divorce or annulment from a source other than the apportionee * requesting evidence to confirm a divorce or annulment * determining the validity of a divorce or annulment decree, and * award adjustments based on divorce or annulment. March 9, 2026 ### VI.iv.2.C.2.a. Effective Date of Discontinuation of an Apportionment to a Veteran’s Spouse Discontinue the apportionment of a Veteran’s award to the spouse on the first day of the month following the month in which a divorce becomes final, or an annulment decree is issued. ### VI.iv.2.C.2.b. Processing a Notice of Divorce or Annulment From a Source Other Than the Apportionee Following receipt of notice – from a source _other than_ the spouse-apportionee – that the apportionee has divorced or obtained an annulment of the marriage to the Veteran, * send a notice of proposed adverse action to the Veteran that proposes to remove the spouse from the award, **_unless_** the **_Veteran_** provided the notice of divorce/annulment, and * do _not_ discontinue the apportionment without * furnishing a notice of proposed adverse action that informs the apportionee of the right to introduce evidence showing why VA should not accept the notice of divorce/annulment as valid, and * allowing the apportionee 60 days to respond. **Notes:** * If the notice of divorce/annulment includes the following information, provide it in the notice of proposed adverse action: * court that processed the divorce/annulment * date of the divorce/annulment, and * court file number. * When the _Veteran_ notifies VA of the divorce/annulment, remove the apportionee from the Veteran’s award but do _not_ discontinue the apportionment until the apportionee has had an opportunity to respond to the notice of proposed adverse action referenced in the preceding paragraph. _**R**_** _eferences_** : For more information on * handling a change in status that the apportionee __ reports, see M21-1, Part VI, Subpart iv, 2.C.1.f, and * issuing a notice of proposed adverse action, see [M21-1, Part X, Subpart ii, 3.A.1 and 2](). ### VI.iv.2.C.2.c. Requesting Evidence to Confirm a Divorce or Annulment When a spouse-apportionee responds to the notice of proposed adverse action referenced in M21-1, Part VI, Subpart iv, 2.C.2.b, by stating the marriage to the Veteran has _**not**_ ended, follow the steps in the table below.| **Step**| **Action** 1| Is documentary evidence of the divorce/annulment of record? * If _yes_ , * disregard the remaining steps in this table, and * follow the instructions in M21-1, Part VI, Subpart iv, 2.C.2.e. * If _no_ , go to the next step. 2| Ask the Veteran to provide documentary evidence of the divorce/annulment. Allow the Veteran 30 days to provide the evidence. 3| Did the Veteran provide documentary evidence of the divorce/annulment within 30 days? * If _yes_ , * disregard the remaining steps in this table, and * follow the instructions in M21-1, Part VI, Subpart iv, 2.C.2.e. * If _no_ , go to the next step. 4| Request a certified copy of documentary evidence of the divorce/annulment from the custodian of vital records in the state where the divorce/annulment reportedly took place. **Reference:** For addresses of where to send requests for vital records, see [M21-1, Part III, Subpart i, 2.A.1.e](). 5| * If the custodian is unable to locate the requested evidence, go to the next step. * If the custodian provides the requested evidence, * disregard the remaining step in this table, and * follow the instructions in M21-1, Part VI, Subpart iv, 2.C.2.e. 6| * Notify the spouse-apportionee that apportionment of the Veteran’s benefits will continue. * If the **_Veteran_** reported the divorce/annulment, * notify the Veteran that without documentary evidence of the divorce/annulment, VA must continue paying the apportionment, and * do not add the spouse back onto the Veteran’s award unless and until the Veteran asks VA to do so by submitting one of the forms listed in the bottom row of the table in [M21-1, Part II, Subpart iii, 1.A.1.a](). **Reference:** For more information on preparing decision notices, see * [M21-1, Part VI, Subpart i, 1.B](), and * [M21-1, Part VI, Subpart iv, 2.A.4.g](). ### VI.iv.2.C.2.d. Determining the Validity of a Divorce or Annulment Decree When the validity of a divorce or annulment decree is questionable, request a legal opinion from District Counsel before taking any action to discontinue or adjust the primary beneficiary’s or apportionee’s award. Notify both the primary beneficiary and apportionee of the pending action. **Reference:** For more information on requesting a legal opinion from District Counsel, see [M21-1, Part VII, Subpart i, 1.A.3.e](). ### VII.iii.1.B.2.e. Award Adjustments Based on Divorce or Annulment Once the apportionee (and Veteran, when applicable) has had an opportunity to respond to the notice of proposed adverse action referenced in M21-1, Part VI, Subpart iv, 2.C.2.b, and a determination has been made that an adjustment based on divorce or annulment is required, * discontinue the apportionee’s award * adjust the primary beneficiary’s award in accordance with [M21-1, Part VII, Subpart i, 1.C.4.b and c]() (unless this action was already taken because the **_Veteran_** reported the divorce/annulment), and * send a decision notice to each party. **Note:** Discontinue the apportionment to the former spouse, even if VA granted it for the former spouse **_and_** one or more children. Any subsequent apportionment determination relative to the child(ren) will require a new claim and consideration under the apportionment regulations currently in effect. **Reference:** For more information on award adjustments stemming from the discontinuation of a Veteran’s marriage to a spouse-apportionee, see [VAOPGCPREC 74-1990](). ## 3. Adjusting or Discontinuing an Apportionment Due to Death This topic contains information on adjusting or discontinuing an apportionment due to death of the primary beneficiary or apportionee(s), including * adjusting an apportioned award due to the death of the primary beneficiary * processing notice of the death of an apportionee, and * example of award adjustments following the death of a spouse-apportionee. March 9, 2026 ### VI.iv.2.C.3.a. Adjusting an Apportioned Award Due to the Death of the Primary Beneficiary Processing a first notice of death to stop a Veteran’s award simultaneously stops any running apportionment of the Veteran’s award, in accordance with [M21-1, Part XI, Subpart i, 1.A.1.a](). Similarly, when VA stops a surviving spouse’s award because of death, any running apportionment of the surviving spouse’s award also stops. **Note:** Posthumous adjustments of apportionee awards do not require processing with an accompanying primary beneficiary award unless an adjustment in the primary beneficiary’s record is otherwise required. This is because such adjustments may be impacted by one-time payment awards. **Reference:** For information on processing posthumous awards, see the _VBMS Awards User Guide_. ### VI.iv.2.C.3.b. Processing Notice of the Death of an Apportionee Follow the steps in the table below following receipt of notice of the death of an apportionee.| Step| Action 1| Did the **_primary beneficiary_** notify VA of the death of the apportionee? * If _yes_ , * remove the deceased apportionee from the primary beneficiary’s award effective the first day _following_ the month of death, and * go to the next step. * If _no_ , go to Step 8. 2| Does the evidence of record include a death certificate for the apportionee? * If _yes_ , go to Step 14. * If _no_ , go to the next step. **Exception:** Go to Step 5 **_instead of the next step_** if VA has already asked the primary beneficiary (in Step 8) to provide the death certificate. 3| Ask the primary beneficiary to provide a death certificate. Allow 30 days to respond. 4| Did the primary beneficiary provide a death certificate within the 30-day response period? * If _yes_ , go to Step 14. * If _no_ , go to the next step. 5| Request a certified copy of the death certificate from the custodian of vital records in the State where the apportionee reportedly died. **Reference:** For addresses of where to send requests for vital records, see [M21-1, Part III, Subpart i, 2.A.1.e](). 6| * If the custodian is unable to locate a death certificate, go to the next step. * If the custodian provides the death certificate, go to Step 14. 7| * Notify the primary beneficiary that without a death certificate, VA must continue the apportionment. * Disregard the remaining steps in this table. **Note:** Do not add the apportionee back onto the primary beneficiary’s award unless and until the primary beneficiary asks VA to do so by submitting one of the forms listed in the bottom row of the table in [M21-1, Part II, Subpart iii, 1.A.1.a](). 8| Send a notice of proposed adverse action to the primary beneficiary that * proposes to remove the apportionee from the award effective the first day _following_ the month of death, and * asks the primary beneficiary to provide a death certificate (if one is not already of record). 9| Did the primary beneficiary respond within 65 days of the date of the notice of proposed adverse action by stating the apportionee is still alive? * If _yes_ , go to the next step. * If _no_ , * remove the deceased apportionee from the primary beneficiary’s award effective the first day _following_ the month of death, and * return to **_Step 2_**. 10| Does the evidence of record include a death certificate for the apportionee? * If _yes_ , go to Step 13. * If _no_ , * request a certified copy of the death certificate from the custodian of vital records in the state where the apportionee reportedly died, and * go to the next step. **Reference:** For addresses of where to send requests for vital records, see [M21-1, Part III, Subpart i, 2.A.1.e](). 11| * If the custodian is unable to locate a death certificate, go to the next step. * If the custodian provides the death certificate, go to Step 13. 12| * Notify the primary beneficiary that VA will neither remove the apportionee from the beneficiary’s award nor discontinue the apportionment. * Disregard the remaining steps in this table. 13| Remove the deceased apportionee from the primary beneficiary’s award effective the first day _following_ the month of death. 14| Is the award to the deceased apportionee still running? * If _yes_ , discontinue the deceased apportionee’s award effective the first day of the month of death. * If _no_ (including suspended awards), ensure the deceased apportionee’s award was discontinued effective the **_earlier_** of the following: * date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS, or * first day of the month of death. **Reference:** For more information on discontinuing an apportionee’s award, see the _VBMS Awards User Guide_. 15| Were other apportionees receiving an apportionment under the same award as the deceased apportionee? * If _yes_ , * for current apportionments, adjust the benefits for the remaining appportionee(s) such that all benefits not paid to the primary beneficiary during incarceration or hospitalization, when warranted, are equally distributed among apportionees, or * for legacy apportionments, follow the instructions in M21-1, Part VI, Subpart iv, 2.C.6.c, **_starting with Step 3_**. * If _no_ , notify the primary beneficiary of the actions taken. **_ _** **Reference:** For more information on adjusting a primary beneficiary’s award due to the death of an apportionee, see * [38 CFR 3.1000(b)(1)](), and * [38 CFR 3.500(g)](). ### VI.iv.2.C.3.c. Example: Award Adjustments Following the Death of a Spouse-Apportionee ** _Situation_** : The spouse-apportionee of a Veteran in receipt of disability compensation dies in October. The Veteran has no other dependents. **Actions:** * Discontinue the apportionment effective the first day of October. * Continue to pay the Veteran disability compensation at the rate for a Veteran and spouse through the end of the month of the spouse’s death. * Remove the spouse from the Veteran’s award effective the first day of November. **Reference:** For more information on adjusting a Veteran’s award due to the death of an apportionee, see M21-1, Part VI, Subpart iv, 2.C.6. ## 4. Handling Notice That a Child in Receipt of an Apportionment Is Not a Child Per 38 CFR 3.57 This topic contains instructions for handling notice from a * primary beneficiary indicating a child-apportionee is not a child per 38 CFR 3.57, and * child-apportionee or custodian indicating the apportionee is not a child per 38 CFR 3.57. March 9, 2026 ### VI.iv.2.C.4.a. Handling Notice From a Primary Beneficiary Indicating a Child-Apportionee Is Not a Child Per 38 CFR 3.57 Follow the instructions in the table below following receipt of notice from a primary beneficiary indicating a child-apportionee cannot be recognized as a Veteran’s child under [38 CFR 3.57](). **Example:** A male Veteran submits a statement indicating he did not father a child to whom VA is apportioning the Veteran’s benefits. | **Step**| **Action** 1| Establish EP 130 under the primary beneficiary’s name. 2| Is additional evidence required to confirm the child-apportionee cannot be recognized as a child for VA purposes? * If _yes_ , go to the next step. * If _no_ , go to Step 4. **Examples:** * Additional evidence might be required if the only evidence of record is a statement from a male Veteran that he did not father a child-apportionee. * Additional evidence might _not_ be required if the evidence of record includes the results of a paternity test. 3| _Concurrent with the actions described in the next two steps_ , request additional evidence from the primary beneficiary. 4| Establish EP 600 under the child-apportionee’s name. 5| * Send the child-apportionee or the child-apportionee’s custodian (whichever applies) notice of VA’s proposal to discontinue the child’s apportionment effective the first of the month following the month in which the due process period ends. (The due process period ends 60 days following the date of the notice.) * After 65 days (from the date of the notice) have passed, proceed to the next step. 6| Based on the evidence of record, may VA recognize the child-apportionee as a Veteran’s child under [38 CFR 3.57]()? * If _yes_ , go to the next step. * If _no_ , go to Step 9. 7| * Notify the primary beneficiary and the child-apportionee or child-apportionee’s custodian (whichever applies) that VA will _not_ discontinue the apportionment. * Notify the primary beneficiary that the child-apportionee will remain on the award. 8| * Clear the EP 130 and EP 600. * Disregard the remaining steps in this table. 9| Establish an EP 130 under the apportionee’s name to discontinue the child-apportionee’s award by adding an entry in the ALLOTMENTS screen, effective the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS. 10| Remove the child-apportionee from the primary beneficiary’s award by editing the DEPENDENCY screen under the EP 130 for the primary beneficiary, effective the same date the apportionment was discontinued. 11| * Notify the primary beneficiary and the child apportionee or child apportionee’s custodian (whichever applies) of the actions taken. * Clear the EP 600. **_ _** **References:** For more information on * issuing notice of proposed adverse action, see [M21-1, Part X, Subpart ii, 3.A.2](), and * preparing decision notices, see * [M21-1, Part VI, Subpart i, 1.B](), and * [M21-1, Part VI, Subpart iv, 2.A.4.g](). ### VI.iv.2.C.4.b. Handling Notice From a Child-Apportionee or Custodian Indicating the Apportionee Is Not a Child Per 38 CFR 3.57 Follow the instructions in the table below following receipt of notice from a child-apportionee or child-apportionee’s custodian indicating the apportionee cannot be recognized as a Veteran’s child under [38 CFR 3.57](). **Example:** A child-apportionee’s custodian, who is also the child-apportionee’s biological mother, submits a statement to VA in which she reports learning the child-apportionee was fathered by someone other than her Veteran-husband. | **Step**| **Action** 1| Establish EP 130 under the child-apportionee’s name. 2| Is additional evidence required to confirm the child apportionee cannot be recognized as a child for VA purposes? * If _yes_ , go to the next step. * If _no_ , go to Step 4. **Examples:** * Additional evidence might be required if the only evidence of record is a statement from the child-apportionee’s custodian, such as the one referenced in the example that precedes this table. * Additional evidence might _not_ be required if the evidence of record includes the results of a paternity test. 3| _Concurrent with the action described in the next step_ , request additional evidence from the child-apportionee or the child-apportionee’s custodian (whichever applies). 4| Discontinue the child-apportionee’s award under the EP 130, effective the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS. 5| Notify the child-apportionee or the child-apportionee’s custodian (whichever applies) of the action taken. 6| Establish EP 600 under the primary beneficiary’s name. 7| * Send the primary beneficiary notice of VA’s proposal to remove the child from the primary beneficiary’s award effective the same date the child-apportionee’s award was discontinued. * Once 65 days (from the date of the notice) have passed, go to the next step. 8| Based on the evidence of record, may VA recognize the child-apportionee as a Veteran’s child under [38 CFR 3.57]()? * If _yes_ , * leave the child on the primary beneficiary’s award, and * go to the next step. * If _no_ , go to Step 13. 9| Establish EP 130 under the child-apportionee’s name. 10| If the qualifications for apportionment exist under the regulations in effect at the time, resume payment of the apportionment under EP 130 from the date it was discontinued in Step 4. 11| * Notify the primary beneficiary and the child apportionee or child apportionee’s custodian (whichever applies) of the resumption of the apportionment. * Notify the primary beneficiary that the child-apportionee will remain on the award. 12| * Clear the EP 600. * Disregard the remaining steps in this table. 13| Remove the child from the primary beneficiary’s award under EP 600, effective the same date the child-apportionee’s award was discontinued. 14| Notify the primary beneficiary of the action taken. **_**_ _**_** **_**_References_**_** : **__** For more information on * issuing notice of proposed adverse action, see [M21-1, Part X, Subpart ii, 3.A.2](), and * preparing decision notices, see * [M21-1, Part VI, Subpart i, 1.B](), and * [M21-1, Part VI, Subpart iv, 2.A.4.g](). ## 5. Apportionment for a Child That Goes on Active Duty March 9, 2026 ### VI.iv.2.C.5.a. Apportionment for a Child That Goes on Active Duty Continue an existing apportionment for a child who goes on active duty. **Notes:** * A new apportionment may not be granted for a child who is already on active duty at the time the claim is decided. * Prior to February 9, 2026, historical [38 CFR 3.458(e)]() and [38 CFR 3.503(a)]() required discontinuance of an apportionment for a child who entered active duty unless the child was in the custody of an estranged spouse. The policy reflected above, provided in [38 CFR 3.451(b)](), applies equally to any decision made on or after February 9, 2026, whether the apportionment is a current or legacy apportionment. **Reference:** For more information on apportionments for children that go on active duty, see [38 CFR 3.451(b)](). ## 6. General Procedures for Handling an Apportionee’s Change of Dependency Status This topic contains general procedures for handling an apportionee’s change of dependency status, including * effective date for removing a dependent-apportionee from a beneficiary’s award * changes in a child-apportionee’s status as a dependent due to death, marriage, adoption, or discontinuation of school attendance, and * action to take if the apportionee that lost status as a dependent was one of multiple apportionees. March 9, 2026 ### VI.iv.2.C.6.a. Effective Date for Removing a Dependent-Apportionee From a Beneficiary’s Award In most situations, VA uses the “end-of-month rule” described in [M21-1, Part VII, Subpart i, 1.C.4.b and c]() when removing an apportionee from a primary beneficiary’s award because the apportionee lost status as a dependent. **References:** For more information on adjusting a primary beneficiary’s award because * the primary beneficiary and spouse-apportionee divorced or annulled their marriage, see M21-1, Part VI, Subpart iv, 2.C.2 * a spouse-apportionee dies, see M21-1, Part VI, Subpart iv, 2.C.3, and * a child-apportionee dies, marries, or stops attending school, see M21-1, Part VI, Subpart iv, 2.C.6.b. ### VI.iv.2.C.6.b. Changes in a Child-Apportionee’s Status as a Dependent Due to Death, Marriage, Adoption, or Discontinuation of School Attendance Follow the instructions in the table below when a child-apportionee dies, marries, or stops attending school. | **If the child-apportionee …**| **Then …** * dies, and * is the only apportionee * discontinue the apportionment effective the first day of the month of death, per [38 CFR 3.500(g)(1)](), and * remove the child from the primary beneficiary’s award effective the first day of the month _following_ death, per [38 CFR 3.500(g)(2)(ii)](). * marries, and * is the only apportionee * discontinue the apportionment effective the first day of the month of marriage, per [38 CFR 3.500(n)(1)](), and * remove the child from the primary beneficiary’s award effective the first day of the month _following_ marriage, per [38 CFR 3.500(n)(2)(ii)](). * is given up for adoption, and * is the only apportionee * discontinue the apportionment effective the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS, per [38 CFR 3.500(d)(1)](), and * follow the instructions in [M21-1, Part VII, Subpart i, 3.B.5.a](), for removing the child from the Veteran’s award. **Note:** The instructions in this cell are applicable to all adoptions that occur on or after February 9, 2026. Historically, [38 CFR 3.210(c)(1)(ii)]() allowed for the payment of apportionment for certain situations of children adopted out of the family of Veterans in receipt of Veterans Pension. * stops attending school, and * is the only apportionee | discontinue the apportionment and remove the child from the primary beneficiary’s award effective the first day of the month _following_ the date school attendance ended, per [38 CFR 3.667(c)](). **Note:** If an award has been made covering a vacation period, and the child fails to return to school at the end of that period, the effective date for the adjustments described above is the earlier of the following dates, per [38 CFR 3.667(b)](): * date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS, or * first day of the month following the month the child was scheduled to return to school. * marries, dies, or stops attending school, and * is included as a dependent on a spouse-apportionee’s award | reduce the spouse-apportionee’s award effective the first day of the month _following_ * marriage under [38 CFR 3.500(n)(2)(ii)]() * death under [38 CFR 3.500(g)(2)(ii)](), or * the date the child stopped attending school under [38 CFR 3.667(b) or (c)](). * is given up for adoption, and * is included as a dependent on a spouse-apportionee’s award | reduce the spouse-apportionee’s award effective the date in the LAST PAID DATE field on the CURRENT AND HISTORICAL AWARD INFORMATION page in VBMS, per [38 CFR 3.500(d)(1)](). **_ _** **Reference:** For more information on discontinuing an apportioned award due to the death of the apportionee, see M21-1, Part VI, Subpart iv, 2.C.3.b. ### VI.iv.2.C.6.c. Action to Take if the Apportionee That Lost Status as a Dependent Was One of Multiple Apportionees Follow the steps in the table below if the apportionee that lost status as a dependent was one of multiple apportionees on the same award. **Exception:** If the apportionee is a former spouse who divorced the Veteran or whose marriage to the Veteran was annulled, follow the instructions in M21-1, Part VI, Subpart iv, 2.C.2. | **Step**| **Action** 1| Is the apportionee a former school child that lost status as a dependent because school attendance terminated? * If _yes_ , go to the next step. * If _no_ , go to Step 4. 2| Update the ALLOTMENT DECISION screen to discontinue the apportionment to the apportionee. **Note:** Use the same effective date in this step as that used in the next step. 3| * Complete the fields on the DEPENDENCY DECISION screen to remove the apportionee from the primary beneficiary’s award. * Go to Step 6. **Note:** Follow the instructions in [M21-1, Part VII, Subpart ii, 1.B.4.c](), for choosing an effective date. 4| Update the ALLOTMENT DECISION screen to discontinue the apportionment to the apportionee that lost status as a dependent effective the first day of the month during which the event occurred that caused the apportionee to lose status. 5| Complete the fields on the DEPENDENCY DECISION screen to remove the apportionee from the primary beneficiary’s award. **Note:** Follow the instructions in [M21-1, Part VII, Subpart i, 1.C.4.b.and c]() for selecting an effective date. 6| Use the table below to determine whether to adjust the remaining apportionee award(s).| **If the remaining apportionment was granted ...**| **Then ...** as a legacy apportionment| the remaining apportionment(s) continue unchanged. under the new regulatory guidance| * reallocate the benefits not otherwise payable to the primary beneficiary during incarceration or hospitalization, when warranted, to the remaining apportionees equally, and * go to Step 7. 7| Update the ALLOTMENT DECISION screen with the new amount(s) allotted to the remaining apportionee(s). 8| * Generate an award and route for authorization. * Notify the primary beneficiary and the apportionee(s) of the actions taken. **_ _** **Reference:** For more information on making award adjustments in VBMS-A, see the _VBMS Awards User Guide_.