M21-1 Manual / Part XI, Subpart iii, Chapter 1, Section C

Burial Authorization Payment Issues

M21-1, Part XI, Subpart iii, Chapter 1, Section C

Overview

In This Section

This section contains the following topics:

Topic	Topic Name
1	Handling Erroneous Burial Awards
2	Payment to an Estate
3	Benefits Paid by Other Federal Agencies
4	Survivor Benefits Paid by the Railroad Retirement Board (RRB)
5	Survivor Benefits Paid by a Military Service Department
6	Burial Expenses Paid by a State or Political Subdivision
7	Death Resulting From Injury Sustained During the Course of Private Employment

1. Handling Erroneous Burial Awards

Introduction

This topic contains information on handling erroneous burial awards, including

erroneous awards
example of erroneous burial payment
obtaining reimbursement for survivor benefits payable by another Federal agency, and
reimbursing other Federal agencies for erroneous payments.

Change Date

December 1, 2022

XI.iii.1.C.1.a. Erroneous Awards

In the case where a burial benefit was paid to an improper recipient, follow due process procedures and create an overpayment on the erroneous payment. After due process expires, create a debt and clear the end product (EP) 600. Important: In the notification letter to the improper recipient, indicate that the previous favorable finding that the recipient was the proper claimant has been overturned. Note: If a priority claimant listed in 38 CFR 3.1702 applies for a service-connected (SC) burial allowance after VA has paid a non-service-connected (NSC) burial allowance for unclaimed remains, this would be considered a contested claim. References: For more information on
due process procedures, see M21-1, Part I, Subpart i, 1.B
overturning favorable findings, M21-1, Part X, Subpart ii, 1.A.2.b
contested claims, see M21-1, Part VI, Subpart iii, 3.A, and
proof of executorship or administrator, see M21-1, Part XI, Subpart iii, 1.A.3.c.

XI.iii.1.C.1.b. Example: Erroneous Burial Payment

Situation: The surviving spouse of record was automatically paid $948 for NSC burial allowance. The Veteran is buried in a national cemetery. Later, the Veteran’s child applies for SC burial allowance. A review of the Veteran’s file shows the Veteran reported the divorce from the spouse to the Department of Veterans Affairs (VA) prior to death. Result: The surviving spouse was notified in the automatic burial benefits award that they were automatically paid burial benefits as the surviving spouse. The divorced spouse was not a proper claimant. Follow the regular due process procedures to terminate the erroneous payment and recoup monies paid. The Veteran’s child is entitled to the full SC burial allowance for which they applied and the transportation benefit if receipts or a statement was submitted showing transportation costs were incurred. Note: The automatic burial payment decision notice notified the divorced spouse that a burial payment was made due to being the surviving spouse of the Veteran. Because the divorced spouse was notified of the reason for payment and did not notify VA that this was incorrect, VA must create a debt. Reference: For more information on due process procedures, see M21-1, Part I, Subpart i, 1.B.

XI.iii.1.C.1.c. Obtaining Reimbursement for Survivor Benefits Payable by Another Federal Agency

In general, the Veterans Benefits Administration (VBA) cannot pay the NSC burial allowance when any Federal law or regulation also provides for the payment of the deceased Veteran’s burial. Exceptions:
VBA will pay the NSC burial allowance when a Federal law or regulation allows the payment of burial expenses using funds due to the credit of the deceased Veteran (such as Social Security Administration (SSA) benefits).
Entitlement or payment under the Federal Emergency Management Agency (FEMA) Funeral Assistance Program for deaths related to COVID-19 does not disqualify an applicant from receiving VA burial benefits. VBA will pay burial benefits (to include SC and NSC burial allowance) to applicants who otherwise would have been entitled to such benefit. Receipt of both this FEMA benefit and VA burial benefit is not considered a duplication of benefits.
In such cases, VBA will pay the maximum amount allowed for NSC burial benefits. The table below describes the stages to obtain reimbursement from another Federal agency obligated to pay survivor benefits.
Stage Who is Responsible? Action
1 claims processor If the claim is not already at the Philadelphia Pension Management Center (PMC), temporarily transfer the claims/notice of death (NOD) folder to the Philadelphia PMC citing, "M21-1, Part II, Subpart ii, 3" as the authority.
2 Philadelphia PMC claims processor Send a memorandum to the Finance Activity or Support Services setting forth the facts and requesting reimbursement from the appropriate military service department or other Federal agency.
3 Philadelphia PMC claims processor Was the service department or other Federal agency able to make reimbursement?
If yes,
return the claims/NOD folder to the station of origination (SOO), and
no further action is needed.
If no, return the case to the SOO for recovery of the overpayment from the surviving spouse per due process procedures as listed in M21-1 Part I, Subpart i, 1.B.

XI.iii.1.C.1.d. Reimbursing Other Federal Agencies for Erroneous Payments

In some situations, another Federal agency may pay an allowance erroneously on the burial, funeral, and transportation expenses of a deceased Veteran. When this occurs, the agency may seek reimbursement from VBA for the burial allowance. The table below describes the stages to reimburse other Federal agencies.

Stage	Who is Responsible?	Action
1	claims processor	If the claim is not already at the Philadelphia PMC, temporarily transfer the claims/NOD folder to the Philadelphia PMC citing “M21-1, Part II, Subpart ii, 3" as the authority, and transfer the EP 160 to the Philadelphia PMC.
2	Philadelphia PMC claims processor	Assuming the other agency has submitted either SF 1080, Voucher for Transfer Between Appropriationsand/or Funds, or VA Form 21P-530EZ, Application for Burial Benefits (Under 38 U.S.C. Chapter 23), and payment is in order prepare a memorandum approving reimbursement, and have it co-signed by an authorizer.
3	Philadelphia PMC claims processor	Forward the following to the Finance Activity or Support Services for payment: the co-signed memorandum SF 1080 or VA Form 21P-530EZ, and the claims/NOD folder. *Result*: The agency’s claim is settled.
4	Philadelphia PMC claims processor	Return the claims/NOD folder to the SOO without awaiting expiration of the period for appeal.

2. Payment to an Estate

Introduction

This topic contains information on claims for burial benefits received from the estate, including

payment to a deceased Veteran's estate
responsibility of the finance activity or support services, and
escheat.

Change Date

October 31, 2023

XI.iii.1.C.2.a. Payment to a Deceased Veteran's Estate

If the executor or administrator of the estate of the deceased Veteran is the first living person to file a burial claim, pay the estate of the deceased Veteran. Use the table below to award payment to a deceased Veteran's estate.

If ...	Then ...
VBA receives notice that the estate has been closed prior to approval of an award	obtain a certified copy of the discharge of the fiduciary, and court order of distribution, and pay the person or persons identified in the court order of distribution.
no administrator or executor has been appointed, but the expenses were incurred by the estate	pay the person acting for the estate who will distribute the benefit under the existing laws of the deceased Veteran’s last State of residence.

Notes:

In some cases, a claim may not be filed during the lifetime of the person whose personal funds were used to pay the burial or any expenses associated. In this situation, payment may be made to the legal representative of that person’s estate.
A claim for NSC burial allowance must be received within two years after the date of the Veterans burial. There are no exceptions to this rule.

XI.iii.1.C.2.b. Responsibility of the Finance Activity or Support Services

If a check representing payment of burial benefits is not negotiated by a claimant, settlement is made by the Finance Activity or Support Services. This applies to checks issued before or after the claimant's death.

XI.iii.1.C.2.c. Escheat

VBA will not pay burial benefits if the payment would escheat (that is, would be turned over to the State because there are no heirs to the estate of the person to whom such benefits would be paid). In the absence of a statement from any public or private source that the burial allowance will escheat (be turned over to the State), make no inquiry as to the possibility of escheat. Reference: For more information on escheat, see 38 CFR 3.1710.

3. Benefits Paid by Other Federal Agencies

Introduction

This topic contains information about the impact of death or burial allowances from other Federal agencies on VBA burial benefits, including

when burial benefits are not payable by VBA, and
death while
- performing official duties as a Federal employee, and
- in authorized travel status as a Federal employee.

Change Date

December 1, 2022

XI.iii.1.C.3.a. When Burial Benefits Are Not Payable by VBA

VBA does not pay burial benefits to other Federal agencies if the deceased Veteran or servicemember

died during active military service
was admitted to a hospital prior to separation from service, but died before being separated
was a member of Congress who died while holding office, or
was a Federal prisoner.

Exception: VBA may cover the cost of local interment and award a burial allowance to cover secondary expenses for Federal prisoners.

XI.iii.1.C.3.b. Death While Performing Official Duties as a Federal Employee

If the deceased Veteran was a Federal employee whose death resulted from an injury or disability sustained in the performance of duty, determine whether burial allowance has been paid, or will be paid, under the Federal Employees' Compensation Act, by contacting the Office of Workers' Compensation Program (OWCP) as described on the OWCP webpage. If the burial allowance has been paid, or will be paid, under the Federal Employees' Compensation Act, disallow the claim.

XI.iii.1.C.3.c. Death While in Authorized Travel Status as a Federal Employee

In some situations, a Veteran might die while in an authorized travel status as a civilian employee of the Federal Government. Executive Order 8557 issued on September 30, 1940, under the authority of Public Law (PL) 79-729, does not authorize the employing agency to pay secondary burial expenses incurred in the funeral and interment expenses. However, VBA may pay the burial allowance for those secondary burial expenses. Reference: For more information on payments from non-VA sources, see 38 CFR 3.1711.

4. Survivor Benefits Paid by the RRB

Introduction

This topic contains information on the effect of RRB benefits on VA burial benefits, including

burial allowance when benefits paid by the RRB, and
contacting and requesting information from the RRB.

Change Date

December 1, 2022

XI.iii.1.C.4.a. Burial Allowance when Benefits Paid by the RRB

If payment of the survivor benefit provided by the Railroad Retirement Board (RRB) is made to a designated beneficiary or to a surviving relative based on relationship alone, do not consider it in determining the amount of the burial allowance. Since the RRB considers the total amount paid or payable by VA in determining the total reimbursable burial expenses, VA benefits can usually be paid under the provisions of 38 CFR 3.1711. The RRB application requires a claimant to state whether a burial allowance application has been or will be filed with VA and the amount of payment received or expected. Reference: For more information on Railroad Retirement and Survivor Benefits, see the RRB Benefits website.

XI.iii.1.C.4.b. Contacting and Requesting Information From the RRB

VBA claims for burial benefits do not usually require an inquiry to the RRB. Contact the RRB only if there is no surviving spouse and the application indicates an amount has been or will be paid by the RRB which, together with the amount payable by VA, would result in payment in excess of the total burial expense. Follow the steps in the table below to request information from the RRB when the combined amount that has been or will be paid by the RRB and the amount payable by VA exceeds the total burial expense.

Step	Action
1	Withhold the award action.
2	Attempt telephone contact at 1-877-772-5772 to request the information listed in Step 3 (bulleted list). *References*: For more information on contacting the RRB, see the RRB’s contact webpage, and documenting information received by telephone, see the M21-1, Part III, Subpart i, 2.D.1.e.
3	If unable to receive the information via telephone contact, send an inquiry to the RRB requesting the following information: whether or not survivor benefits were paid who received the survivor benefit the amount of the survivor benefit, and whether or not the benefits were paid as reimbursement. Mail the letter to: The Bureau of Unemployment and Sickness Insurance Railroad Retirement Board 844 North Rush Street Chicago, IL 60611
4	Adjust the burial award accordingly.
5	Provide notification to the surviving spouse with information on why the full burial allowance was not paid.

5. Survivor Benefits Paid by a Military Service Department

Introduction

This topic contains information about survivor benefits paid by the military, including

concurrent benefits offered by VA and military service departments
election of VA or service department benefits
hospitalization and simultaneous separation from service
exclusions to payment of the burial allowance
disallowing a VBA burial claim for death in service, and
military service department addresses.

Change Date

December 1, 2022

XI.iii.1.C.5.a. Concurrent Benefits Offered by VA and Military Service Departments

The military service departments are authorized

to pay the burial expenses of a person who
- is separated from service while hospitalized at the expense of the U.S. Government (to include Veterans Affairs medical centers (VAMCs), and
- continues as a patient until death (10 U.S.C. 1481), or
to reimburse individuals who paid such expenses (10 U.S.C. 1482).

VA burial benefits are also available in these cases. Reference: For more information on payments by a military service department, see 38 CFR 3.1711(b)(2).

XI.iii.1.C.5.b. Election of VA or Service Department Benefits

If a claimant is eligible for payment of burial benefits from both VA and a military service department, then a choice must be made between the two because only one benefit is payable.

XI.iii.1.C.5.c. Hospitalization and Simultaneous Separation From Service

Sometimes a Veteran is admitted to a VAMC and separated from service simultaneously and subsequently expires. In that situation, since the separation did not technically take place while the Veteran was a patient and died, payment by the service department is not authorized. However, VBA burial benefits may be payable. Reference: For more information on when a Veteran dies while hospitalized, see 38 CFR 3.1711(b)(3).

XI.iii.1.C.5.d. Exclusions to Payment of Burial Allowance

VBA does not pay a burial or plot allowance when the Veteran's death occurred during active service. Note: Payment of burial expenses may be paid by the military service department.

XI.iii.1.C.5.e. Disallowing a VBA Burial Claim for Death in Service

Follow the steps in the table below to disallow a claim submitted by the claimant for VBA burial benefits when a Veteran dies in service.

Step	Action
1	Notify the claimant of the decision to disallow the claim and the reasons for that decision.
2	Forward the following to the appropriate military service department address listed in M21-1, Part XI, Subpart iii, 1.C.5.f: statement of account other pertinent material, except VA Form 21P-530EZ rank of the deceased organization of the deceased service number of the deceased, and name and address of the claimant.

XI.iii.1.C.5.f. Military Service Department Addresses

Use the table below to determine the address of the desired military service department.

Branch of Service	Official Designation and Location
Air Force to include Space Force	AFPC Casualty Services Branch 550 C Street West JBSA-Randolph, TX 78150 *Note*: Send a copy to the following address, as well: Air Force Military Personnel Center (AFPC/DPWC) Randolph AFB, TX 78148
Army	Commander US Army Human Resources Command ATTN: PDC-C (Casualty Support) 1600 Spearhead Division Ave Fort Knox, KY 40122
U.S. Coast Guard	US Coast Guard Headquarters ATTN: Chief of Casualty Matters, PSC-PD-FS-Casualty 2703 Martin Luther King Jr. Ave SE Washington, DC 20593-7200
Marine Corps	Commandant of the Marine Corps Casualty Section (MFPC) 2008 Elliot Road Quantico, VA 22134-5103
Navy		Navy Personnel Command PERS-13 Navy Casualty Assistance 5720 Integrity Dr Millington, TN 38055-6200
National Oceanic and Atmospheric Administration		Commissioned Personnel Center National Oceanic and Atmospheric Administration 8403 Colesville Rd. Suite 5000 Silver Spring, MD 20910
Public Health Service		Public Health Service 1101 Wootton Parkway, Plaza Level, Suite 100 Rockville, MD 20852

6. Burial Expenses Paid by a State or Political Subdivision

Introduction

This topic contains information on claims for reimbursement of burial expenses paid by a State or agency or political subdivision, including

what VBA does not reimburse for burial expenses, and
exceptions for State plot or interment allowance.

Change Date

December 1, 2022

XI.iii.1.C.6.a. What VBA Does Not Reimburse for Burial Expenses

VBA does not reimburse States or political subdivisions of the U.S., or foreign countries, for payment of

burial
funeral, or
transportation expenses.

Exception: VA may pay a burial allowance to a State, agency or political subdivision of a State, for a Veteran whose remains are unclaimed, when the State, agency or political subdivision of a State covered the costs. Note: Do not routinely question information contained on VA Form 21P-530EZ. Accept a negative response to question, Did a Federal/State Government Or The Veteran's Employer Contribute To The Burial?, regarding prior or anticipated payment by a State or Federal agency in the absence of conflicting information of record. References: For more information on
unclaimed remains, see M21-1 Part XI, Subpart iii, 1.B.7, and
priority of payments received on or after July 7, 2014, see 38 CFR 3.1702(b).

XI.iii.1.C.6.b. Exceptions for State Plot or Interment Allowance

The prohibition against payment of benefits to or reimbursement for amounts paid by State agencies or political subdivisions does not apply to payment of the State plot or interment allowance, or for a State acting as the estate of a Veteran. Reference: For more information on plot or interment allowance for burial in a State Veterans cemetery or other cemetery, see
38 CFR 3.1707, and
M21-1, Part XI, Subpart iii, 1.B.5.c.

7. Death Resulting From Injury Sustained During the Course of Private Employment

Introduction

This topic contains information about death resulting from an injury sustained during the course of private employment, including

special treatment for burial allowance, and
when death resulted from injury sustained during the course of private employment.

Change Date

March 17, 2017

XI.iii.1.C.7.a. Special Treatment for Burial Allowance

If a claim for a burial allowance is filed in a case in which the Veteran's death resulted from injury or disability sustained in the course of private employment, liability for burial expenses may arise under workers' compensation or employers' liability laws.

XI.iii.1.C.7.b. When Death Resulted From Injury Sustained During the Course of Private Employment

Defer adjudication of the claim until it is established whether any amount has been or may be paid toward the Veteran's burial expenses under workers' compensation or employers' liability laws. Use the table below to determine entitlement to VBA burial benefits when the Veteran's death occurred during private employment.

If the employer is liable or reimburses for an amount ...	Then ...
less than the cost of burial funeral plot-interment, or transportation costs incurred	pay the burial allowance. *Note: The burial allowance may be paid to the extent that it does not exceed the difference between the employer’s liability and the total eligible burial benefits payable. Example*: The Veteran is eligible for the NSC burial allowance. The employer’s liability is $100. VA can only pay $848 for the NSC burial allowance.
exceeding the cost of burial funeral plot-interment, or transportation costs incurred	disallow the claim.

Reference: For more information on payment of the plot or interment allowance by a Veteran's employer, see 38 CFR 3.1711.

Source: VA M21-1 Adjudication Procedures Manual, M21-1, Part XI, Subpart iii, Chapter 1, Section C (U.S. government work, reproduced for reference). Browse all sections →