[ARTICLE] 6
[CIK] 0000808244
[NAME] SMITH BARNEY VARIABLE ACCOUNT FUNDS
[SERIES]
   [NUMBER] 3
   [NAME] U.S. GOVERNMENT
<TABLE>
<S>                             <C>
[PERIOD-TYPE]                   YEAR
[FISCAL-YEAR-END]                          DEC-31-1996
[PERIOD-END]                               DEC-31-1996
[INVESTMENTS-AT-COST]                        2,762,157
[INVESTMENTS-AT-VALUE]                       2,845,626
[RECEIVABLES]                                   26,267
[ASSETS-OTHER]                                  14,800
[OTHER-ITEMS-ASSETS]                                 0
[TOTAL-ASSETS]                               2,886,693
[PAYABLE-FOR-SECURITIES]                             0
[SENIOR-LONG-TERM-DEBT]                              0
[OTHER-ITEMS-LIABILITIES]                       10,513
[TOTAL-LIABILITIES]                             10,513
[SENIOR-EQUITY]                                      0
[PAID-IN-CAPITAL-COMMON]                     2,685,189
[SHARES-COMMON-STOCK]                          222,969
[SHARES-COMMON-PRIOR]                          355,506
[ACCUMULATED-NII-CURRENT]                      249,354
[OVERDISTRIBUTION-NII]                             717
[ACCUMULATED-NET-GAINS]                        106,805
[OVERDISTRIBUTION-GAINS]                             0
[ACCUM-APPREC-OR-DEPREC]                        83,469
[NET-ASSETS]                                 2,876,180
[DIVIDEND-INCOME]                                    0
[INTEREST-INCOME]                              288,212
[OTHER-INCOME]                                       0
[EXPENSES-NET]                                  38,858
[NET-INVESTMENT-INCOME]                        249,354
[REALIZED-GAINS-CURRENT]                       145,254
[APPREC-INCREASE-CURRENT]                    (288,879)
[NET-CHANGE-FROM-OPS]                          105,729
[EQUALIZATION]                                       0
[DISTRIBUTIONS-OF-INCOME]                      248,660
[DISTRIBUTIONS-OF-GAINS]                             0
[DISTRIBUTIONS-OTHER]                                0
[NUMBER-OF-SHARES-SOLD]                          6,349
[NUMBER-OF-SHARES-REDEEMED]                    158,102
[SHARES-REINVESTED]                             19,216
[NET-CHANGE-IN-ASSETS]                     (1,979,347)
[ACCUMULATED-NII-PRIOR]                        313,405
[ACCUMULATED-GAINS-PRIOR]                            0
[OVERDISTRIB-NII-PRIOR]                             23
[OVERDIST-NET-GAINS-PRIOR]                           0
[GROSS-ADVISORY-FEES]                           17,828
[INTEREST-EXPENSE]                              21,030
[GROSS-EXPENSE]                                 38,858
[AVERAGE-NET-ASSETS]                         3,957,221
[PER-SHARE-NAV-BEGIN]                            13.66
[PER-SHARE-NII]                                  01.22
[PER-SHARE-GAIN-APPREC]                        (00.76)
[PER-SHARE-DIVIDEND]                                 0
[PER-SHARE-DISTRIBUTIONS]                        01.22
[RETURNS-OF-CAPITAL]                                 0
[PER-SHARE-NAV-END]                              12.90
[EXPENSE-RATIO]                                  00.98
[AVG-DEBT-OUTSTANDING]                               0
[AVG-DEBT-PER-SHARE]                                 0
</TABLE>