The Garage Is a Business.
What disabled veterans building for Aedes need to know about their benefits and tax position.
Disclaimer: This page is for informational purposes only and does not constitute legal, tax, or financial advice. Always consult a qualified tax professional and, for VA-specific questions, a VA-accredited attorney or VSO before making decisions affecting your benefits or tax obligations.
Your VA Disability Compensation Is Protected.
VA disability compensation is not means-tested. The VA sets your rating based on the severity of your service-connected condition — not on your ability to earn income. You can work. You can earn. Your rating stays the same. Your monthly VA compensation does not change. This is federal law, not an exception.
⚠ The one situation requiring individual attention: TDIU
If you receive Total Disability based on Individual Unemployability (TDIU), different rules apply. Earned income above the federal poverty threshold may trigger a VA review. If you are on TDIU, consult a VA-accredited attorney before committing to any contractor income. Do not rely on this page alone — get guidance specific to your situation.
For all other disabled veterans: your VA benefits are not at risk. The misconception that working reduces VA compensation is one of the most costly myths in veteran financial life.
Your Garage Is a Business Location. Treat It Like One.
When you build drones for the Aedes network, you are an independent contractor — a small business. The U.S. tax code was written to encourage exactly this kind of economic activity. The deductions below are legitimate, commonly missed, and worth asking a qualified CPA about.
Home Workshop / Dedicated Space Deduction
A space used regularly and exclusively for your Aedes builds — a garage, spare room, or basement — qualifies as a home business location (IRS Form 8829). A portion of your rent or mortgage, utilities, insurance, and home repairs becomes deductible proportional to the space used.
The simplified method: $5 per square foot, up to 300 sq ft — a straight $1,500 deduction with no receipts required.
Ask your CPA about: Form 8829, the regular and exclusive use test, and which method produces the better result for your situation.
Equipment — Deductible in Full, Year One
Every piece of equipment purchased for Aedes building is a legitimate business expense: 3D printers, soldering stations, multimeters, hand tools, workbenches, computers used for build documentation.
Under Section 179, you can deduct the full purchase price of qualifying equipment in the year you buy it — no multi-year depreciation required.
Ask your CPA about: Section 179 expensing, bonus depreciation, and documentation requirements.
Materials and Supplies
Every spool of filament, component, fastener, wire, and connector purchased to build Aedes systems is a deductible cost of goods sold. Keep receipts. A simple spreadsheet or free accounting app (Wave, QuickBooks Self-Employed) makes this straightforward.
Vehicle Mileage
Trips to purchase supplies, deliver completed units to a QA hub, or attend Aedes-related training are deductible business miles at the IRS standard mileage rate. Alternatively, deduct actual vehicle expenses proportional to business use.
Ask your CPA about: mileage log requirements and which method — standard rate vs. actual expenses — is better for your situation.
Internet and Phone
The business-use portion of your internet and cell phone is deductible. If you use your phone 40% for Aedes-related work, 40% of your monthly bill is a business expense.
The Qualified Business Income (QBI) Deduction
Under Section 199A, eligible self-employed individuals can deduct up to 20% of qualified business income from their taxable income. For most Aedes builders, this deduction is straightforward to claim.
SEP-IRA — Tax-Deferred Retirement Savings
Self-employed individuals can contribute up to 25% of net self-employment income to a SEP-IRA — deducted from taxable income now, growing tax-deferred. A builder earning $20,000 net from Aedes could contribute up to $5,000 before other deductions apply.
Ask your CPA about: SEP-IRA vs. Solo 401(k), contribution limits, and how to open an account.
State-Level Benefits
Florida and Texas: No state income tax — all Aedes builder income is state-tax-free.
Many states offer disabled veteran property tax exemptions that reduce housing costs — which interact favorably with home office deduction calculations. Your state rules vary. Ask your tax professional what applies.
What This Looks Like in Practice
Illustrative example — Florida, dedicated 400 sq ft garage workspace. Your numbers will differ.
Result: taxable federal income substantially reduced from $24,000. No Florida state income tax. VA disability compensation: unchanged. Rating: unchanged.
Get the Right Help
For VA-Specific Questions
- VA-accredited attorney or claims agent — search at va.gov
- Local VSO (VFW, American Legion, DAV, AMVETS) — free claims assistance
- VA Benefits hotline: 1-800-827-1000
For Tax Questions
- CPA or Enrolled Agent with self-employment experience
- VITA (free IRS-sponsored prep) — find at irs.gov/vita
- Military OneSource — free financial counseling for qualifying veterans
The DoD trained you to work on these systems.
Aedes is asking you to build them.
Your VA disability compensation was earned through service. It is protected by law. A certified Aedes builder with a dedicated garage workspace is a small business — with real deductions, real income, and a real federal contracting pathway.
Apply as a Veteran Builder →Veteran builders receive priority vetting, accelerated trust-level progression, and priority consideration for QA hub operator roles.
This page is for informational purposes only and does not constitute legal, tax, or financial advice. Tax laws change. Individual circumstances vary. Always consult a qualified tax professional and, for VA-specific questions, a VA-accredited attorney or accredited claims agent before making decisions affecting your benefits or tax obligations.
Aedes Manufacturing Network is a MilkyWayEconomy venture. milkywayeconomy.com