Economic Research Service 

www.ers.usda.gov

Nearly 4 million veterans reside in rural (nonmetropolitan) America. 

They are a rapidly aging and increasingly diverse group of men and women 

who still comprise over 10 percent of rural adults despite consistently declining numbers. Today, as in years past, a disproportionate share of men and 

women serving in the military grew up in rural counties and most return home 

after completing tours of duty. Thus, rural Americans are disproportionately 

represented in the veteran population, comprising 19 percent of all U.S. veterans compared with 16 percent of the general population.

Many veterans return home with serious health-related challenges, both 

physical and psychological. Over 20 percent of rural, working-age veterans 

report disability status compared with 11 percent of nonveterans. Improving 

access to high-quality medical care in rural areas is an ongoing Federal 

policy concern that draws special attention from the Department of Veterans 

Affairs, including the 2007 establishment of its Offi ce of Rural Health (U.S. 

Department of Veterans Affairs, 2012). This brief focuses on the changing demographic and socioeconomic profi le of rural veterans, especially on 

features of the veteran population that distinguish them from nonveterans. 

Findings show the potentially positive economic impact of veterans, both 

young and old, who choose to live in rural communities. As younger veterans replace older ones, the demographic profi le of this group of Americans 

is changing in ways that affect how rural programs and policies can best be 

tailored to meet their needs. 

United States Department of Agriculture

Rural 

Veterans

at a 

Glance

Economic Brief Number 25

November 2013
Rural Veterans at a Glance

Rural Veterans Are Much Older, on Average, 

Than Nonveterans

Close to 20 percent of American men served in the military during World War II, compared to less than 1 percent today. While the participation rates of women differ because of 

their lower numbers, it is not surprising that nearly half of rural veterans were age 65 or older 

in 2011, compared with 18 percent of rural nonveterans. For many years, a form of “natural 

decrease” has taken place among both rural and urban veterans as the number of veterans 

dying far exceeds the number of people transitioning out of the military into veteran status. 

Outmigration of rural veterans and the periodic reclassifi cation of rural populations to urban 

status also contribute to reducing the rural veteran population.

• Veterans comprise nearly 11 percent of the U.S. rural population (defi ned here 

as residents of nonmetropolitan counties—see box, “Defi nitions”). However, veteran shares differ dramatically by age, ranging from less than 3 percent of 18- to 

34-year-olds up to 25 percent of those age 65 and older. 

• The number of veterans living in rural areas declined from 6.6 million in 1992 to 

3.9 million in 2011. The drawdown in the active military population since 1990, 

from 3 million to roughly 1.4 million, and natural decrease due to the aging of 

the population means this trend will continue for many years. National population 

projections imply that there may be as many as one-third fewer rural veterans by 

2030 (DVA, 2013).

Veterans make up 3 percent of rural young adults, 25 percent of rural retirees

Percent

0

10

20

30

40

50

60

18 to 34 35 to 44 45 to 54 55 to 64 65 or older

Age distribution 

of rural veterans

Age distribution 

of rural nonveterans

Percent of age group 

who are veterans

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau’s Current 

Population Survey, March Supplement, 2012.

A rapidly aging rural veteran population decreased in size over the last 20 years1

Million Percent

1Rural (nonmetropolitan) definitions changed in the Current Population Survey in 1993 and 2003.

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau's Current 

Population Survey, March Supplements.

0

10

20

30

40

50

0

2

4

6

8

1992 94 96 98 2000 02 04 06 08 10

Number of 

rural veterans

Percent of rural veterans 

ages 65 or older

2
Rural Veterans at a Glance

Women and Minorities Make Up an Increasing 

Share of Rural Veterans

The demographic profi le of rural veterans is shifting as small cohorts of new veterans 

replace much larger, older cohorts. Since the change from a conscription-based military to 

an all-volunteer force in 1973, the presence of women in the military grew from less than 2 

percent of active duty personnel to more than 14 percent. As a result, the share of veterans 

who are women is steadily increasing—in rural counties the share more than doubled between 

1992 and 2011 from 3 to 7 percent. The racial-ethnic diversity of rural veterans has increased 

in a similar fashion over the same time period, from 6 to 10 percent. Nonetheless, rural 

minorities remain signifi cantly under-represented compared with their share of the nonveteran 

rural population (20 percent).

• Over 40 percent of rural female veterans served during Gulf Wars I and II, compared with less than 5 percent of rural male veterans. Thus, a growing female presence among rural veterans is likely to continue for several years. 

• Largely because they are much younger than male veterans, on average, rural 

female veterans are less likely to be married, more likely to be members of racialethnic minorities, and more likely to possess college degrees.

• The military has shown increasing diversity in more recent service periods, leading 

to a more racially and ethnically diverse rural veteran population overall. Among 

rural veterans in 2011, racial/ethnic minorities made up 4 percent of WWII veterans, 5 percent of Korean War veterans, 8 percent of Vietnam-Era veterans, and 16 

percent of Gulf War I and II veterans. 

Despite increasing diversity, rural minority groups remain under-represented in the

military, especially Hispanics

Percent

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau's Current 

Population Survey, March Supplement, 2011.

0

2

4

6

8

African American Hispanic Native American Other minority

Percent of rural veterans Percent of all rural adults

Younger veterans are more likely to be female and/or members of minority groups

Percent of all rural veterans

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau's Current 

Population Survey, March Supplements. various years.

0

2

4

6

8

10

12

14

Females

Racial-ethnic minorities

1992 94 96 98 2000 02 04 06 08 10

3
Rural Veterans at a Glance

• Minorities remain under-represented in the rural veteran population largely due to 

the low enlistment of Hispanic men and women relative to their increasing numbers 

in the overall rural population (up to almost 7 percent of rural residents). Rapid 

population growth in the 1980s and 1990s among rural Hispanics occurred largely 

in new destination communities outside the Southwest and was led by young-adult 

job seekers, mostly foreign-born. Such newcomers tended to be relatively mobile at 

fi rst and less inclined to volunteer for the military, especially if they were undocumented residents. However, for quite some time, they have been aging into familyformation years, settling into permanent residence, and raising children who may 

be more inclined to consider military service.

Veterans Are Positioned To Contribute Economically 

to Rural Communities 

Veterans returning home from active duty, as well as those who move to rural communities as newcomers, add to the population base and increase the demand for goods and 

services. The position of so many new veterans in or near the family-formation stage of life 

bolsters their impact on future population. In addition, veterans receive more education, on 

average, and bring back myriad leadership, technical, and entrepreneurial skills. These advantages are refl ected in higher income levels and positions in high-skill industries for veterans 

compared to nonveterans. A community’s supply of high-skill workers is a critical element 

to rural business location decisions (McGranahan, 1998). Veterans are well situated to take 

on leadership roles in rural communities, especially when they return to hometowns and take 

advantage of family and social connections (von Reichert et al., 2013). 

• The current military recruitment standard requiring a high school diploma or 

equivalent (in most cases) explains the much lower high school dropout percentage 

among rural veterans—9 percent compared with 15 percent among nonveterans. 

Less than 2 percent of Gulf War I and II veterans living in rural counties lack a high 

school diploma. This important educational advantage is even more signifi cant for 

younger veterans near the start of their careers.

• Over 53 percent of veterans living in rural counties in 2011 had obtained additional 

education after high school, including 21 percent who gained a bachelor’s degree 

or higher. Among Gulf War I and II veterans, college attendance rates exceeded 68 

percent compared with 47 percent among rural nonveterans age 25 or older. 

• Median personal income of rural veterans was $29,000 in 2011, compared to 

$19,800 for rural nonveterans. The same economic advantage is seen in rural 

poverty rates of 6 percent for veterans compared to 15 percent for nonveterans. As 

with education differences, the gaps were wider for younger rural residents. Among 

those age 18-34, 8 percent of rural veterans were poor compared with 22 percent 

of nonveterans.

Rural veterans more likely to graduate from high school and obtain college degrees

Percent of population age 25 and older

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau’s Current 

Population Survey, March Supplement, 2011.

5

15

25

35

45

Less than high

school

High school

graduate

Some college or

associate's degree

Bachelor's degree

or higher

Percent of rural veterans Percent of all rural adults

4
Rural Veterans at a Glance

Rural Veterans Are More Likely To Work 

in High-Skill Industries 

Transitioning into the workforce can be daunting for veterans regardless of where 

they live, but may be more diffi cult in rural areas with fewer jobs that match skill levels. 

Nonetheless, aside from higher rates of disabilities, employment challenges facing recent veterans, such as length of unemployment during initial job searches or underemployment, are 

similar to those faced by all new civilian labor force entrants, and the practical skills recent 

veterans have acquired are often superior to those of their nonveteran peers. As a result, the 

positive economic impacts veterans are likely making in rural counties, once they fi nd work 

and start their careers, can clearly be seen in employment differences by industry. Rural 

veterans were much more likely than nonveterans to be employed in higher skilled, higher 

paying industries in 2011.

• Veterans are less likely to participate in the labor force than the rest of the rural 

population, but this is largely due to the much higher percentage of older, retired 

veterans. A higher disability rate among veterans contributes as well. Among rural 

working-age adults, veteran and nonveteran unemployment rates were both close 

to 8 percent in 2011. 

• Similar to nonveteran job trends, veterans’ unemployment reached its highest rate 

in the last 20 years (12 percent) during the 2009 recessionary peak.

• Employment levels for rural veterans were higher in manufacturing, transportation and utilities, professional and business services (including information and 

fi nancial sectors), and public administration. Education and skill levels required for 

jobs in these industries are higher, on average, as are incomes compared with the 

average job in sectors such as wholesale and retail trade. 

• Hospitals and schools are major employers in rural counties. Together with leisure 

and hospitality services (hotels, restaurants, etc.), they employed over 30 percent of 

nonveteran workers in 2011, many with low education and work experience. Only 

17 percent of veterans worked in these service industries.

• Just over 6 percent of rural veterans worked in agriculture (including fi shing, forestry, and hunting). This share is slightly higher than rural nonveterans (just under 

5 percent), mostly because of age differences. Among Gulf War I and II veterans 

living in rural counties, only 2 percent worked in agriculture in 2011.

Rural veterans work in higher paying industries

Percent of population age 18 and older working in industry

Note: Agriculture includes fishing, forestry, and hunting; professional and business includes information 

and financial services. Not all industry categories are included.

Source: USDA, Economic Research Service, using data from the U.S. Census Bureau's Current 

Population Survey, March Supplement, 2011.

Percent of rural veterans Percent of all rural adults

0 5 10 15 20 25

Agriculture

Construction

Manufacturing

Wholesale and retail

Transportation and utilities

Professional and business

Education and health

Leisure and hospitality

Public administration

5
Rural Veterans at a Glance

Looking to the Future

Many veterans face challenges related to time away from work, family, and home, as 

well as physical and psychological trauma. In addition, veterans choosing to live in rural areas 

often face limited job opportunities in relation to urban areas and bear higher costs accessing 

services. Federal and State programs serving the special needs of rural veterans are likely to 

be affected by the changing demographic makeup of veterans. For instance, as young, more 

diverse men and women replace an older, retired veteran population, programs focused on 

the needs of young families and new members of the workforce may be in higher demand.

At the same time, veterans possess high education and skill levels and are well situated 

to contribute economically to often struggling rural communities. They are relatively advantaged for several reasons, including high military recruitment standards, military training, and 

leadership experience while deployed. Given the potential advantages they offer, rural community recruitment of recent veterans may be an attractive addition to popular development 

programs that have targeted retirees for many years. Any effort to recruit new veterans would 

likely have higher odds of success today than in coming years, given the persistent decline in 

new veteran populations in recent decades. 

The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national 

origin, age, disability, and where applicable, sex, marital status, familial status, parental status, religion, sexual orientation, genetic information, political beliefs, reprisal, or because all or part of an individual’s income is derived from any public assistance program. (Not all 

prohibited bases apply to all programs.) Persons with disabilities who require alternative means for communication of program information 

(Braille, large print, audiotape, etc.) should contact USDA’s TARGET Center at (202) 720-2600 (voice and TDD). To fi le a complaint of 

discrimination, write to USDA, Director, Offi ce of Civil Rights, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410, or call 

(800) 795-3272 (voice) or (202) 720-6382 (TDD). USDA is an equal opportunity provider and employer.

References

McGranahan, David A. 1998. Local Problems Facing Manufacturers: Results of the ERS Rural 

Manufacturing Survey. AIB 736-03. U.S. Department of Agriculture, Economic Research Service. 

http://ageconsearch.umn.edu/bitstream/33765/1/ai987363.pdf.

U.S. Department of Veterans Affairs, National Center for Veterans Analysis and Statistics. 2012. 

Characteristics of Rural Veterans, 2010. July. www1.va.gov/vetdata/docs/SpecialReports/Rural_

Veterans_ACS2010_FINAL.pdf

U.S. Department of Veterans Affairs, Offi ce of the Actuary. 2013. Veteran Population Projections: 

FY2010 to FY2040. April. www.va.gov/vetdata/docs/quickfacts/Population_slideshow.pdf

von Reichert, Christiane, John Cromartie, and Ryan Arthun. 2013. “Impacts of Return Migration on 

Rural U.S. Communities,” Rural Sociology, forthcoming.

Data Sources 

This report draws upon data from the Census Bureau’s Current Population Survey (CPS) March 

Supplements for 1993-2012, the CPS annual monthly surveys for 2011, and the American 

Community Survey (ACS) 5-year estimates for 2007-2011. Reference is also made to current 

statistics on military personnel and veteran population projections published by the Department of 

Defense and the U.S. Department of Veterans Affairs.

Defi nitions

Veterans—men and women who previously served on active duty in the U.S. Armed Forces and 

who were civilians at the time they were surveyed. Reservists and National Guard members who 

were never called up for active duty are not included. Veterans are grouped according to the most 

recent wartime period during which they served, or “other” if they served at other times: 

• World War II, 1941-46 • Korean War, 1950-54 • Vietnam Era, 1964-75

• Gulf War I, 1990-2001 • Gulf War II, 2001-present

Rural—nonmetropolitan (nonmetro) counties as currently defi ned by the U.S. Offi ce of 

Management and Budget, based on the 2010 decennial census. In this report, the terms “rural,” 

“rural counties” and “rural areas” are all used to refer to nonmetro. For more on these defi nitions, 

see www.ers.usda.gov/briefi ng/rurality/newdefi nitions/.

ERS Website and Contact Person

Information on rural America can be found on the ERS website at www.ers.usda.gov/emphases/

rural/. For more information, contact Tracey Farrigan at tfarrigan@ers.usda.gov or 202-694-5489.

6