Difference Between Schedular and TDIU
When filing a claim for disability benefits with the U.S. Department of Veterans Affairs, veterans may feel confused about the difference between schedular disability rates and a Total Disability based on Individual Unemployability, or TDIU, designation. While both schedular ratings and TDIU can result in 100% compensation, depending on each veteran’s individual circumstances, each system has its differences in eligibility, benefits, work restrictions, and more. Read on to learn about the differences between schedular VA disability ratings and TDIU, and which may be a better fit for you.
What Is a Schedular Rating?
The Department of Veterans Affairs uses a schedular rating system to assign disability ratings to veterans based on the severity of their service-connected conditions. The VA uses these ratings to determine the amount of disability compensation veterans receive each month and their eligibility for other VA benefits. As a veteran, your disability rating will be expressed as a percentage that represents the degree to which your disability affects your overall health and ability to function. If you have multiple qualifying conditions, your rating for each will be combined into one.
In some cases, severely disabled veterans are assigned a 100% schedular disability rating, signifying that their service-related conditions are so severe that they result in total impairment. Though a veteran rated at 100% is considered completely disabled under the schedule, this does not necessarily mean the veteran cannot work.
A veteran with a 100% disability rating receives the maximum VA disability compensation each month, along with other benefits like health care and dependents’ allowances.
What Is Total Disability Based on Individual Unemployability, or TDIU?
Total Disability based on Individual Unemployability, or TDIU, enables disabled veterans to receive compensation and benefits equivalent to a 100% schedular VA disability rating, despite having a rating below 100%. If you can’t work because of a disability related to your service in the military, you may qualify for TDIU. TDIU can be “schedular,” meaning it meets numeric thresholds, or “extraschedular,” when a veteran doesn’t strictly meet the thresholds but circumstances justify the TDIU designation.
You may be eligible for TDIU if you can’t maintain substantially gainful employment due to your service-connected disability. Under VA guidelines, “substantially gainful employment” means full-time employment with a wage greater than the poverty level.
To qualify for TDIU, you must also meet one of the following criteria:
- You have at least one service-connected disability rated at 60% or more.
- You have multiple service-connected disabilities with a combined rating of at least 70% and at least one rated at 40% or higher.
In certain cases, such as when you frequently require hospitalization, you may qualify for TDIU with a lower disability rating than 60% or 70%.
Key Differences Between Schedular Ratings and TDIU
| Schedular Rating | TDIU | |
|---|---|---|
| Eligibility | Based solely on the severity of your disabling condition | Based on how your service-connected condition affects your ability to work |
| Work Restrictions | You may be able to work while receiving schedular VA disability benefits | You generally cannot work while receiving TDIU benefits |
| Risk of Reduction | Rating may be reduced after periodic re-evaluations if the VA determines your condition has improved | Rating may only be reduced if the VA determines your condition has improved enough that you can work |
| Permanency | Ratings can be reduced for various reasons, except in Permanent & Total Disability cases | Designation lasts as long as you continue being unable to work |
Decision Factors: Which Option Fits Your Situation?
Lower schedular disability ratings receive fewer benefits and less compensation than higher ratings, so if your disability rating is low, you may not receive all the benefits you need just through the schedular system.
To receive a 100% VA disability rating, a veteran must meet specific medical criteria for total disability. In contrast, a veteran rated below 100% may qualify for TDIU if they are unable to maintain substantial gainful employment due to service-connected conditions. If your service-related medical condition is not severe enough to merit a 100% rating, but is severe enough to prevent you from working, a TDIU designation may be a better fit.
When a Schedular Rating May Be Better
Schedular ratings may be more beneficial if your disability is severe enough to merit a high rating, providing the benefits you need. If your disability is severe enough to prevent you from working but not enough for the benefits you need, TDIU may be a better choice.
However, if you have a 100% schedular disability rating, you’ll already receive all the same benefits a TDIU designation would grant, and you would remain free to work without automatically jeopardizing your rating. With a TDIU designation based on unemployability, working could result in the termination or reduction of benefits.
When TDIU May Be Better
TDIU and 100% schedular VA disability ratings yield identical basic compensation amounts, as the VA pays both at the 100% rate. These benefits include the maximum monthly VA compensation rate, access to comprehensive health care services, opportunities for training and support to return to work if possible, and access to benefits like property tax exemptions and educational assistance for dependents.
However, if your combined disability rating is less than 100%, you may not be able to receive the benefits you need. Thus, TDIU is an excellent option for veterans who are unable to work due to service-connected conditions.
Need Help Navigating Your Benefits?
Schedular disability ratings and Total Disability based on Individual Unemployability, or TDIU, each have advantages for disabled veterans. Veterans with a high schedular rating may prefer to receive schedular benefits, as they allow more flexibility with employment. However, veterans who cannot work due to their service-connected disability but have a lower disability rating may benefit more from a TDIU designation.
Veterans Guide is committed to advocating for U.S. service members and veterans, ensuring they can access the benefits and support they’ve earned through their sacrifice and service. Founded by a team of veterans and allies, our mission is to provide clear, reliable guidance on navigating the VA benefits system. With nationwide legal and counseling resources, Veterans Guide is a steadfast ally to the veteran community, dedicated to helping disabled veterans raise their VA disability rating, appeal denied VA disability claims, and learn more about their benefits.
To learn more about what’s best for you, please contact us to connect with a VA-accredited representative or attorney.
ANN WILLIAMS SHELLY DONNETT'E 
