DVA Financial Hardship Support: How to Claim the Help You Need When Money Gets Tight
Falling behind on bills while waiting for a DVA outcome? You're not alone. Many veterans face severe financial pressure due to service-related illness, injury or delays in compensation—yet few know that DVA financial hardship support may be available under the MRCA. This guide is here to help younger veterans understand how to access income support and hardship provisions when they need it most. Let’s break down what you need to know to secure the support you’re entitled to.
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What Is DVA Financial Hardship Support?
DVA financial hardship support helps veterans manage essential costs—like housing, food and medical care—when immediate needs clash with income support or compensation delays. It’s designed to protect veterans from being left behind during difficult times.
Under the Military Rehabilitation and Compensation Act (MRCA), financial hardship applies when your income or assets disqualify you from receiving a service pension or income support supplement, even though accessing those assets would cause more harm than good. DVA recognises that some assets can’t reasonably be sold or used, and that forcing their use may worsen your situation.
In these cases, DVA may exclude unrealisable assets from means testing—but only if you apply. Veterans must lodge a written request for consideration under the hardship rules, supported by full financial documentation.
When Does Financial Hardship Support Apply?
You may be eligible if:
You receive (or have applied for) a service pension, income support supplement, or DVA age pension.
You are in Australia at the time of applying.
You are in severe financial hardship, meaning your liquid assets are below the maximum fortnightly pension rate.
What Is a Crisis Payment?
In more urgent situations, DVA may also offer a Crisis Payment—a one-off, non-taxable payment to help you re-establish in a new residence or cope with extreme disruption. You may be eligible if you are experiencing one of the following:
You’ve had to leave home due to extreme circumstances
You’ve remained in the family home after domestic or family violence, and the perpetrator has left or been removed
You’ve recently left prison or psychiatric confinement
To qualify for a crisis payment, you must also meet the financial hardship rules—DVA will assess your liquid assets on the day you apply. These must fall below:
The maximum fortnightly income support payment (if you’re single)
Twice that amount (if you’re part of a couple)
Whether you're applying for hardship support or a crisis payment, the goal is the same: to provide support that reflects your real financial circumstances—not just what’s on paper.
Eligibility Criteria for Severe Financial Hardship
To access financial hardship provisions under the MRCA, veterans must meet a clear set of eligibility criteria. These rules ensure support is directed to those facing genuine financial strain, particularly where assets appear sufficient on paper but can’t realistically be sold or used.
You may be eligible if you currently receive, or are entitled to, a service pension or income support supplement. But if your assets are stopping you from accessing those payments, you’ll need to demonstrate that selling or drawing on them would cause severe financial hardship.
This generally applies when:
Your income or assets sit near or just above the usual test limits.
You hold jointly owned property, business shares or other holdings that cannot reasonably be expected to be sold or used to generate funds.
Selling those assets would compromise your long-term financial security or wellbeing.
Every claim is reviewed individually by the DVA. As outlined in the Asset Exclusion Guidelines, even if your asset value exceeds the usual threshold, hardship status may still apply depending on your circumstances.
To qualify, veterans must clearly explain why the assets are unrealisable and how their situation limits access or use.
How to Apply for Financial Hardship Support
Hardship support could provide much-needed relief if you're experiencing financial stress while waiting on a DVA outcome. However, this support is not automatic—you’ll need to follow a step-by-step process to apply.
Step-by-Step: Applying for Financial Hardship Support
Speak with a DVA claim specialist: Connect with a DVA delegate or a trusted professional like Veterans First Consulting. They can assess your situation, confirm your eligibility, and guide you through the required paperwork.
Submit a written request: You must lodge a written request asking for the hardship rules to apply to your income support or pension claim. Your request should include:
A clear explanation of your financial position
Details on why your assets cannot be sold or used without causing harm
Information on how this limits your ability to cover daily essentials
Prepare and include supporting documents: DVA will assess your current financial circumstances, so it’s important to provide:
Recent income statements
A breakdown of your asset holdings
Any debts or financial obligations that affect your ability to access funds
Lodge the application: Submit your complete application through your DVA delegate or have your representative lodge it on your behalf.
If your needs are urgent: You may also be eligible for a Crisis Payment while your long-term claim is being assessed.
Keep in mind that hardship-related claims can take several months to process. As explained in our guide to the DVA claims timeframe, delays are common—especially without expert support. Reaching out early can help ensure your claim is complete, accurate, and positioned for a faster outcome.
Payment Types and Rates Under Financial Hardship
Financial hardship support isn’t a bonus—it’s there to help veterans stay financially secure during difficult times. If your application is approved, the type and amount of support you receive will depend on your income, assets and overall financial circumstances.
Payments You May Be Eligible For
Income Support Supplement: A partial or full supplement, calculated based on your current income and asset levels. DVA may adjust the payment amount if hardship is recognised.
Asset Exemptions: In some cases, DVA may exclude specific assets—such as jointly owned property or business shares—from the means test if they cannot reasonably be sold or accessed without causing hardship.
Crisis Payment: For urgent situations, a one-off payment may be available to cover immediate living expenses while a longer-term claim is assessed.
These forms of support can help you manage essential costs while you wait for more permanent decisions. If you're unsure how these payments interact with your entitlements, our DVA payout calculator can help clarify your options.
When to Seek Help from a Specialist
Applying for DVA financial hardship support can feel overwhelming—especially when it's tied to other entitlements like permanent impairment or SRDP. That’s why many veterans choose to work with professionals who understand the system from the inside out.
Why Professional Support Matters
At Veterans First Consulting, we help you:
Avoid delays caused by missing forms or incomplete documentation
Disclose assets correctly, including explaining why they can’t reasonably be accessed or sold
Strengthen your claim with the proper supporting evidence tailored to hardship rules.
Navigate multiple claims—such as hardship support alongside ongoing compensation or medical claims
Hardship support often comes at a time when stress is already high. Trying to manage everything alone can increase the chance of errors or missed entitlements.
If you're not sure where to start, our Comprehensive Guide to Veterans' Benefits is a helpful resource. But when it comes to preparing and lodging a hardship application as part of a broader DVA strategy, personalised support can make all the difference.
We’re here to guide you—clearly, confidently and without the confusion—so you can receive the support you deserve.
FAQs: DVA Financial Hardship
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The decision is expected to take several weeks to months. DVA must determine eligibility on a case-by-case basis. Claims are faster when the claimant provides full and clear documents up front.
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DVA looks at all your financial and property assets, including those in joint names. If you cannot sell or reasonably be expected to sell an asset, or if it’s used as security for borrowing, you may still qualify under the financial hardship rules. This includes holdings with no commercial application or those not accessible without a severe impact.
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You may receive a payment under the hardship rules, including a full or partial income support pension. The payment rates depend on your income, rate of service pension, and whether DVA excludes some assets from the test.
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In some cases, DVA may provide extra support, like a Crisis Payment. This is a short-term solution while your longer-term claim is processed. It helps veterans and their spouses during times of urgent need.
Get the DVA Financial Hardship Support You Deserve
Financial hardship can escalate quickly, especially when you're waiting on a DVA decision. Acting early is essential. Hardship provisions under MRCA help veterans cover basic needs during difficult times, but accessing them requires a clear, well-prepared claim and supporting evidence. Since hardship support operates separately from compensation pathways like permanent impairment or SRDP, professional guidance can make the process smoother and more effective. Don’t wait until things get worse—start your claim today and get the support you're entitled to.
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