Revised February 9, 2026
XII.i.3.C.1.aAwarding DIC Benefits to a Child(ren) Before a Determination of Surviving Spouse Entitlement
If determination of a potential surviving spouse’s Dependency and Indemnity Compensation (DIC) entitlement will be unduly delayed in a claim involving children, award DIC benefits to the child or children if and when entitlement can be established. Reference: For more information on rates, see the current DIC rate charts.
XII.i.3.C.1.bBenefits When All Children Are in the Custody of a Potential Surviving Spouse
If all children are in the custody of a potential surviving spouse
- award the benefits to the child under the appropriate payee code with the surviving spouse claimant as the custodian on the child(ren) award(s) under 38 U.S.C. 5502, and
- make the payment at the children-only rates.
Reference: For more information on the recognition of a custodian under 38 U.S.C. 5502, see M21-1, Part X, Subpart ii, 6.E.4.
XII.i.3.C.1.cBenefits for a Child(ren) Not in Custody of a Potential Surviving Spouse
Do not delay payment to one or more of the children, not in the custody of the potential surviving spouse before a final DIC determination is made as to the potential surviving spouse’s entitlement.If benefits will be awarded to child(ren) ensure that the appropriate payee code and custodian are selected from the child(ren)’s application. Then take the following actions:
- prepare VA Form 21-592, Request for Appointment of a Fiduciary, Custodian or Guardian and note on the form
- any awards to children will be made pending a DIC determination of the potential surviving spouse’s entitlement, and
- benefits awarded may be subject to adjustment, and
- determine the rate payable from the DIC rate chart for children as if the potential surviving spouse were entitled.
Reference : For more information on processing the award action, see the Veterans Benefits Management System Awards (VBMS) User Guide.
XII.i.3.C.1.dExample: Apportioning an Award When Not All Children Are in a Potential Surviving Spouse’s Custody
Situation:
- The Veteran died on April 15, 2021.
- A potential surviving spouse’s entitlement is pending.
- One child is in the custody of the potential surviving spouse.
- One child is not in the custody of the potential surviving spouse.
Result: Pay each child separately under the appropriate payee code.
2Potential Surviving Spouse DIC Entitlement and a Child(ren)’s DIC Award
This topic contains information on a potential surviving spouse’s DIC entitlement and a child(ren)’s DIC award, including
- actions to take when
- a potential surviving spouse fails to file a claim for DIC, and
- a surviving spouse claim is denied
- adjusting the child(ren)’s award when a surviving spouse claim is denied, and
- actions to take when a surviving spouse establishes entitlement to DIC.
Change Date
Revised May 11, 2022
XII.i.3.C.2.aActions to Take When a Potential Surviving Spouse Fails to File a Claim for DIC
If a potential surviving spouse fails to file a claim for DIC and at least one child(ren) is entitled to DIC, follow the if/then table below.
| If ... | Then ... |
|---|---|
at least one year has passed since the Veteran’s death | pay the child(ren)-only rates. |
less than one year has passed since the Veteran’s death |
|
Reference: For more information on awards where not all dependents apply, see 38 CFR 3.107.
XII.i.3.C.2.bActions to Take When a Surviving Spouse Claim Is Denied
If a surviving spouse claim is denied
- prepare a denial and include notice of
- reasons the claim could not be granted
- action taken on any child(ren)’s claim in the custody of the denied claimant, and
- awards to, or for, any child(ren) in the custody of the denied claimant, and
- take appropriate action on the child(ren)’s awards as described in M21-1, Part XII, Subpart i, 3.C.2.c.
XII.i.3.C.2.cAdjusting a Child(ren)’s Awards When a Surviving Spouse Claim Is Denied
When a potential surviving spouse’s claim is denied, pay any child(ren) the applicable child-only rate. Reference : For more information on rates, see the current DIC rate charts.
XII.i.3.C.2.dActions to Take When a Surviving Spouse Establishes Entitlement to DIC
Use the table below to determine the action to take if
- an award has been made for a child(ren), and
- the surviving spouse’s entitlement is subsequently established.
| If … | Then … |
|---|---|
a child(ren) is/are in the surviving spouse’s custody |
|
no child(ren) is/are in the custody of the surviving spouse |
|
there is a child(ren) both in and out of custody of the surviving spouse |
|
Reference: For more information on VBMS, see the VBMS User Guide.
End of Part XII, Subpart i, Chapter 3, Section C