Michigan Veteran Benefits: Complete Guide for 2026
Michigan provides 13 documented state-level benefits for disabled veterans across 9 categories. Notable programs include a homestead property tax exemption worth up to $4,000, Children of Veterans Tuition Grant, income tax relief ($500 exemption amount (not tax savings — actual tax savings is $500 × state rate)). MI also provides hunting and fishing license benefits, additional benefits, small business benefits, state parks and recreation benefits. 4 of these benefits require Permanent & Total (P&T) disability status. Below is a detailed breakdown of every verified benefit available to disabled veterans in Michigan as of 2026.
Key Takeaways for MI Veterans
- Michigan offers 13 documented state-specific veteran benefits as of 2026
- 100% Disabled Veteran Homestead Property Tax Exemption: worth up to $4,000/year
- Education: Children of Veterans Tuition Grant
- Disabled Veteran Income Tax Exemption ($500): $500 exemption amount (not tax savings — actual tax savings is $500 × state rate)
- Vehicle benefits: Disabled Veteran License Plate, Vehicle Registration Fee Waiver (100% P&T)
- Free Hunting & Fishing Licenses
13
State Benefits
9
Categories
50+
Federal Benefits
415+
Discounts
See exactly what Michigan benefits add up to for you.
Get StartedMichigan State-Specific Benefits
Michigan Education Benefits (1)
Children of Veterans Tuition Grant
Undergraduate tuition assistance at Michigan public colleges and universities for children of veterans who died while on active federal duty or who have been awarded a total and permanent disability rating from the VA.
Michigan Employment Benefits (1)
Veteran Employment Preference
Veterans and their spouses receive preference for initial employment with the State of Michigan. Michigan Works! Veteran Employment Services provide career and training assistance. State has removed barriers for veterans entering licensed professions.
Michigan Hunting & Fishing (1)
Free Hunting & Fishing Licenses
Free hunting and fishing licenses for Michigan residents who are totally and permanently disabled or individually unemployable as determined by the VA. Must carry documented proof of disabled status while afield.
Michigan Income Tax Benefits (2)
Disabled Veteran Income Tax Exemption ($500)
$500 qualified disabled veteran exemption on Michigan individual income tax for the 2025 tax year. Available in addition to other military pay exemptions.
Military Pay & Pension Income Tax Exemption
Military pay for active-duty and retired personnel, military pensions, military disability retirement pay, and social security benefits are all exempt from Michigan state income tax.
Michigan Other Benefits (2)
Michigan Income Tax Benefits
Retirement pay exempt
Michigan Other Veteran Benefits
Hunting/fishing reduced
Michigan Property Tax Exemptions (2)
Michigan Property Tax Exemption
100% P&T: full principal residence exemption
100% Disabled Veteran Homestead Property Tax Exemption
Complete property tax exemption on homestead for veterans rated 100% permanently and totally disabled, individually unemployable (IU), or who received federal specially adapted housing grants. No annual renewal required (as of 2025). Also available to unremarried surviving spouses.
Michigan Small Business Benefits (1)
Michigan SDVOB Pricing Preference
Michigan offers a pricing preference to qualified service-disabled veteran-owned businesses on state contracts (Public Act 91 of 2005) and targets 5% of state spending to them (PA 133 of 2008). Michigan self-certifies at bid time — provide a DD-214, VA rating letter, and ownership proof; NVBDC certification is also accepted.
Michigan State Parks & Recreation (1)
Free Lifetime State Park Access
Free entry to all Michigan state parks for veterans and active-duty service members. Veterans who are 100% permanently and totally disabled, Medal of Honor recipients, and ex-prisoners of war receive free Recreation Passport entry with appropriate specialty license plate.
Michigan Vehicle Benefits (2)
Disabled Veteran License Plate
Disabled veteran license plates available to Michigan veterans with a 50%+ service-connected disability rating. PA 149 of 2024 (effective April 2, 2025) expanded eligibility from total-and-permanent disability to 50%+. The DV plate application is exempt from the standard service fee. Note: the DV plate itself does not include a registration fee waiver — see the separate Registration Fee Waiver benefit for 100% P&T veterans.
Vehicle Registration Fee Waiver (100% P&T)
Free vehicle registration for one passenger vehicle for veterans rated 100% permanent and total (P&T) service-connected disability or receiving Total Disability Individual Unemployability (TDIU) at 100%. Under MCL 257.801, the registration tax is waived entirely. This benefit is separate from the DV license plate (which is available at 50%+).
How Michigan Benefits Stack With Federal VA Compensation
Michigan state benefits are separate from and stack on top of your federal VA disability compensation. The federal compensation rate table below shows what you receive from the VA — your MI state benefits add to that total. For a 100%-rated veteran in MI, this means federal compensation plus the 100% Disabled Veteran Homestead Property Tax Exemption (up to $4,000/year) and 12 other state benefits — all at no additional cost. Some MI benefits are available to all veterans regardless of disability percentage, while others require a rating of up to 100%. 4 benefits in MI specifically require Permanent & Total (P&T) disability status. To see your personalized combined federal-plus-Michigan benefits package, create a free account.
2026 Federal Compensation Rates (Veteran Alone)
These federal rates apply to all Michigan veterans with service-connected disabilities. Michigan state benefits are received in addition to these amounts.
Compare Property Tax Exemptions
See how Michigan's property tax exemptions compare to other veteran-friendly states:
Frequently Asked Questions About Michigan Veteran Benefits
What veteran benefits does Michigan offer in 2026?
Michigan offers 13 state-specific veteran benefits across 9 categories, such as 100% Disabled Veteran Homestead Property Tax Exemption, Disabled Veteran Income Tax Exemption ($500), Vehicle Registration Fee Waiver (100% P&T). These cover education benefits, employment benefits, hunting and fishing license benefits, income tax benefits, and more — all in addition to federal VA disability compensation and healthcare.
Does Michigan offer property tax exemptions for disabled veterans?
Yes. Michigan offers 2 property tax benefits for disabled veterans. Veterans rated 100% disabled or with Permanent & Total (P&T) status may qualify for a full property tax exemption. Some exemptions are available at any disability rating. The 100% Disabled Veteran Homestead Property Tax Exemption can be worth up to $4,000 per year depending on assessed home value. Contact your county assessor for filing instructions.
What education benefits are available for veterans in Michigan?
Michigan provides 1 education benefit, including Children of Veterans Tuition Grant — some extend to dependents and spouses. These can be combined with federal programs like the GI Bill and Vocational Rehabilitation (VR&E Chapter 31) to reduce or eliminate education costs.
Is military retirement pay taxable in Michigan?
Federal VA disability compensation is tax-free nationwide. Beyond that, Michigan offers 2 additional income tax benefits: the Disabled Veteran Income Tax Exemption ($500) and the Military Pay & Pension Income Tax Exemption. These may further reduce your MI state tax burden on military retirement pay or veteran-related income.
Does Michigan offer vehicle-related benefits for disabled veterans?
Yes. Michigan provides 2 vehicle-related benefits: Disabled Veteran License Plate, Vehicle Registration Fee Waiver (100% P&T). Eligibility varies by disability rating and benefit type.
How do I apply for Michigan veteran benefits?
Most Michigan benefits require proof of your VA disability rating, available through VA.gov or your eBenefits account. Some programs require Permanent & Total (P&T) status. Certain benefits require a rating of 100% or higher. Contact your local MI Department of Veterans Affairs or county veterans service office for application help.
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Benefits by VA Disability Rating
Your disability rating determines which federal and Michigan state benefits you qualify for: