# 38 CFR § 21.268: Employment adjustment allowance

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-38-21.268

## Section

- **Citation:** 38 CFR § 21.268
- **Heading:** Employment adjustment allowance
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 38—Pensions, Bonuses, and Veterans' Relief > CHAPTER I—DEPARTMENT OF VETERANS AFFAIRS > PART 21—VETERAN READINESS AND EMPLOYMENT AND EDUCATION > Subpart A—Veteran Readiness and Employment > Monetary Assistance Services

## Text

(a) General. A veteran who completes a period of rehabilitation and reaches the point of employability will be paid an employment adjustment allowance for a period of two months at the full-time subsistence allowance rate for the type of program the veteran was last pursuing. (See § 21.190(d))
(Authority: 38 U.S.C. 3108(a))
(b) Reelection of subsistence allowance. A veteran who has elected payment at the Chapter 30 educational assistance allowance rate may be paid an employment adjustment allowance only if he or she reelects subsistence allowance to become effective no later than the day following completion of the period of rehabilitation to the point of employability.
(Authority: 38 U.S.C. 3108(f))
(c) Special programs. An employment adjustment allowance will be paid at the institutional rate of subsistence allowance for veterans in any of the following programs:
(1) On-job training at no or nominal pay in a Federal agency;
(2) Training in the home program;
(3) Independent instructor program;
(4) Cooperative program; or
(5) Self-employment program.
(d) Combination program. A veteran who has pursued a combination program will be paid an employment adjustment allowance at the full-time rate for the type of training the veteran was actually pursuing at the completion of the period of rehabilitation to the point of employability.
(e) Subsequent payments of employment adjustment allowance. If a veteran has ever received an employment adjustment allowance following rehabilitation to the point of employability, he or she may, nevertheless, receive it again when completing an additional rehabilitation program to the point of employability if:
(1) The prior determination of rehabilitation to the point of employability is set aside; and
(2) The veteran is reinducted into a new vocational rehabilitation program as provided in § 21.282.
(f) Special situations. Effective August 6, 2013, a veteran who has been displaced as the result of a natural or other disaster while being paid an employment adjustment allowance may receive up to an additional two months of employment adjustment allowance, if satisfactorily following a program of employment services.
(Authority: 38 U.S.C. 3108(a)(2))
(g) Employment adjustment allowance not charged against entitlement. An employment adjustment allowance will not be charged against the veteran's basic entitlement.
(Authority: 38 U.S.C. 3108(a))
[49 FR 40814, Oct. 18, 1984, as amended at 54 FR 4284, Jan. 30, 1989; 57 FR 57108, Dec. 3, 1992; 79 FR 15921, Mar. 24, 2014]

## Nearby sections

- [38 CFR § 21.1 § 21.1 Training and rehabilitation for veterans with service-connected disabilities.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.1.md)
- [38 CFR § 21.21 § 21.21 Election of benefits under education programs administered by the Department of Veterans Affairs.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.21.md)
- [38 CFR § 21.22 § 21.22 Nonduplication—Federal programs.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.22.md)
- [38 CFR § 21.30 § 21.30 Claims.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.30.md)
- [38 CFR § 21.31 § 21.31 Informal claim.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.31.md)
- [38 CFR § 21.32 § 21.32 Notification by VA of necessary information or evidence when a claim is filed; time for claimant response and VA action.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.32.md)
- [38 CFR § 21.33 § 21.33 VA has a duty to assist claimants in obtaining evidence.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.33.md)
- [38 CFR § 21.35 § 21.35 Definitions.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.35.md)
- [38 CFR § 21.40 § 21.40 Basic entitlement to vocational rehabilitation benefits and services.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.40.md)
- [38 CFR § 21.41 § 21.41 Basic period of eligibility.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.41.md)
- [38 CFR § 21.42 § 21.42 Deferral or extension of the basic period of eligibility.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.42.md)
- [38 CFR § 21.44 § 21.44 Extension of the basic period of eligibility for a veteran with a serious employment handicap.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.44.md)
- [38 CFR § 21.45 § 21.45 Extending the period of eligibility for a program of independent living beyond basic period of eligibility.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.45.md)
- [38 CFR § 21.46 § 21.46 Veteran ordered to active duty; extension of basic period of eligibility.](https://www.frixlaw.com/law-library/statutes/ecfr-38-21.46.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-38-21.268. Check the current official text before relying on it. Not legal advice.
