What does the Veterans Health Administration do?

Updates published annually

The Veterans Health Administration (VHA) is a subdivision of the US Department of Veterans Affairs responsible for providing comprehensive healthcare services to military veterans. The agency operates a nationwide system of medical centers, outpatient clinics, and specialized care facilities, offering services ranging from primary care to specialized treatments for conditions such as PTSD and traumatic brain injuries. It also conducts research and provides training for healthcare professionals. It was established in 1930.

In FY 2024,

$124B

was spent by the Veterans Health Administration

In FY 2024,

38.1%

of Dept. of Veterans Affairs spending was by the Veterans Health Administration

How much does the Veterans Health Administration spend?

The Veterans Health Administration spent a net total of $123.8 billion in fiscal year (FY) 2024. This was 38.1% of the $324.9 billion spent by the Department of Veterans Affairs, which itself was 4.8% of all federal spending. The VHA ranked first among VA subdivisions in net spending.

Net spending is the difference between agency spending and any financial accounts generating funds from the agency’s own activities, like fees or rent. When these funds offset all spending, net spending appears negative. Some agencies tend to operate with positive net spending while others will register negative net spending sometimes or often.

The Veterans Health Administration ranked first among Department of Veterans Affairs divisions in net spending in 2024.

VA net spending by division, FY 2024

Like the overall federal budget, agency spending may shift over time due to population growth, changes in policy and programs, and emerging problems to address. Adjusting for inflation, the Veterans Health Administration’s federal spending has increased from $24.2 billion in 1980 to $123.8 billion in 2024.

The Veterans Health Administration’s federal spending in FY 2024 was higher than in FY 1980.

Yearly federal net spending by VHA, adjusted for inflation (2024 dollars), FYs 1980–2024

Since 1980, the Veterans Health Administration's spending has increased 412%, while overall spending has increased 193.7%.

As a percentage of the overall federal budget, a positive number means agency net spending made up some positive share of total federal spending; a negative number means that net generated funds offset a portion of total spending. VHA spending grew more than overall federal spending since 1980, which means that its share of the federal budget increased. In 2024, VHA accounted for 1.8% of overall federal spending.

Major legislation, internal or global economic conditions, and acute events like the COVID-19 pandemic can affect spending year to year. For example, the federal budget fluctuated during the pandemic, rising from $5.3 trillion (in 2023 dollars) in 2019 to $7.7 trillion in 2020 and $7.8 trillion in 2021.

The Veterans Health Administration’s share of federal spending in FY 2024 was higher than in FY 1980.

Net spending by VHA as a share of federal spending, FYs 1980–2024

Most federal spending can be categorized as direct or indirect. Direct spending refers to money the federal government spends on budget items such as federal programs, employee salaries, and debt interest. Indirect spending refers to federal transfers to state and local governments.

In FY 2024, the Veterans Health Administration transferred 1.6% of its total spending to states and local governments.

The chart below outlines all net VHA spending.

How did the Veterans Health Administration spend its budget in 2024?

Federal government net spending isolated to VHA, FY 2024

How many people work for the Veterans Health Administration?

Some 427,915 of the 2.31 million total civilian federal employees work for the Veterans Health Administration as of September 2024. This is 56% more people than the division staffed in 2010.

The number of federal employees working for the Veterans Health Administration has increased 56% since 2010.

Number of federal employees working for VHA, September 2010–2024

The Veterans Health Administration accounts for 18.5% of the overall federal workforce. As the number of federal employees has changed, so too has the way the workforce is organized, with resources allocated to agencies depending on government priorities. The division constituted a larger share of the overall federal workforce in September 2024 compared to 2010 (13%).

While the number of employees on an agency’s payroll contributes to that agency’s expenditures, some agencies have relatively few employees compared to their budget or vice versa, giving them an outsized share of either the budget or the workforce. According to the most recent data, the Veterans Health Administration's share of the workforce (18.5%) is larger than its share of the budget (1.8%).

Who leads the Veterans Health Administration?

The VHA is led by the Under Secretary for Health. This individual is appointed by the President of the United States and confirmed by the Senate. The Under Secretary for Health reports to the Secretary of Veterans Affairs. There is no fixed term for this position.

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Methodology

USAFacts standardizes data, in areas such as time and demographics, to make it easier to understand and compare.

Page sources

USAFacts endeavors to share the most up-to-date information available. We sourced the data on this page directly from government agencies; however, the intervals at which agencies publish updated data vary.

Office of Personnel Management
FedScope
Office of Management and Budget and US Department of the Treasury
Budget of the US Government and Monthly Treasury Statement