Overview
The Executive Office of Veterans Services (EOVS) continues to increase the utilization of Electronic Funds Transfer (EFT) — otherwise known as direct deposit— for EOVS annuity payments, which are distributed annually in August. The EOVS Annuity is provided to Massachusetts residents who are 100% service-connected disabled veterans, as well as surviving spouses and parents of veterans who died from service-related injuries. EOVS partners with the Massachusetts State Treasurer’s Office and financial institutions to facilitate direct deposit transactions. The annuity serves approximately 23,000 recipients statewide, including more than 13,000 recipients over the age of 60, who represent 57% of all beneficiaries.
Payment via physical checks created barriers for many veterans and annuity recipients, By depositing funds directly into recipients’ bank accounts, the initiative reduces administrative burdens and improves access to benefits, particularly for older adults who may face mobility, transportation, or health-related challenges. Because more than half of Chapter 115 Annuity recipients are over the age of 60, EOVS recognized that reliance on paper checks may create disproportionate challenges for older adults, including delayed delivery, lost mail, transportation barriers, and difficulties accessing financial institutions. This change supports positive aging by increasing financial security, reducing barriers to accessing earned benefits, and enabling older veterans to more easily and independently manage their finances.
In accordance with the Massachusetts Comptroller’s initiative to expand EFT access, EOVS, through its Benefits and Finance Department, is working to streamline communications with nearly 800 annuity recipients who do not currently utilize EFT, just over 50% of whom are over the age of 60. Additionally, EOVS is proactively identifying and addressing recipients with outdated EFT information through collaboration with the Treasurer’s Office. These efforts are expected to improve the timeliness and reliability of annuity payments while enhancing both financial security and reducing barriers to benefit access for older veterans and their families, consistent with the goals of EO642.
Additionally, EOVS conducted direct outreach to annuity recipients who have been receiving benefits for more than 20 years. Ninety-nine percent of these recipients were over the age of 60. This outreach provided EOVS with an opportunity to build trust with annuitants and ensure they knew how to contact the agency regarding changes to their personal or banking information.
Objective
The desired outcome of this initiative is to improve financial accessibility, security, and independence for older veterans and annuity recipients by reducing barriers to receiving a critical state benefit.
EOVS seeks to ensure that veterans and annuity recipients receive their benefits more quickly, reliably, and conveniently. Ultimately, the reform helps older adults remain connected to essential resources while preserving autonomy and reducing stress associated with navigating benefit delivery systems.
Accomplishments
EOVS has increased the number of annuity recipients by more than 1,000 since last year while expanding outreach efforts to recipients who do not utilize EFT and those with outdated banking information. These efforts have improved EOVS's ability to maintain accurate records, facilitate timely payments, and strengthen engagement with older annuity recipients, who comprise the majority of beneficiaries.
Reflection
What worked well?
Improved workflows within the Annuity Team have allowed staff to reprioritize direct communication with recipients, ensuring they know how to contact the team when assistance is needed. Targeted outreach to recipients with missing or outdated banking information is also expected to increase future EFT enrollment.
What lessons were learned or barriers overcome?
A key lesson learned is that modernization efforts must be paired with direct outreach and relationship-building. While EFT improves convenience and security, maintaining accurate contact and banking information requires ongoing communication with recipients. Through proactive outreach, EOVS was able to identify outdated information, address potential payment issues before they occurred, and provide recipients with information on protecting their personal and financial information.
ReiMAgine Aging 2030 Goal Alignment
- Goal 1: Economic Opportunity & Security
Contact and Resources
Contact: Patrick George, Director of Benefits, Patrick.george2@mass.gov
Resources: How to Apply For Veteran Annuity Benefits