Enlarge AP file photo In this Nov. 8, 2007 photo, wounded soldiers involved in physical therapy wait for President Bush to visit a physical therapy lab for wounded soldiers at the Center For The Intrepid at the Brooke Army Medical Center in San Antonio. WASHINGTON  The federal government is spending more money on veterans than at any time in modern history, surpassing the tidal wave of spending following World War II and the demilitarizing of millions of troops. Expenditures hit $82 billion in 2007, because of the rising cost of health care, the expense of caring for an aging population of mostly Vietnam War veterans and a new crop of severely wounded troops from the wars in Iraq and Afghanistan. That exceeds the $80 billion in inflation-adjusted dollars spent in 1947 after most of the 16.1 million Americans serving in World War II left the service, according to a Congressional Research Service report submitted to Congress last month. An 11% hike in spending to $91 billion is slated for this fiscal year, and the Department of Veterans Affairs has proposed $94 billion for 2009. And still more is needed, says U.S. Sen. Patty Murray, D-Wash., who is seeking another $3.3 billion for the 2009 budget proposal. "While we are spending more than in previous years, we are still not meeting many of the health care and benefits needs of our veterans," Murray says. Last month's passage of a new G.I. Bill will add $100 billion in education benefits for veterans over the next 10 years, the Congressional Budget Office says. Republican presidential candidate John McCain and his Democratic opponent Barack Obama clashed over the bill last month. McCain opposed it, saying its increased education benefits might encourage troops to leave the military. Obama backed the bill, saying it would boost the number of people interested in serving. Also, medical costs could climb because of unanticipated long-term problems from wounds such as traumatic brain injuries, which remain little understood, says Adrian Atizado, assistant legislative director with the Disabled American Veterans. Annual costs for a severe head injury can reach $400,000, according to a RAND Corp. study released this year. About 1.6 million Americans have served in Iraq and Afghanistan. About 325,000 of those veterans use VA health care, records show. There are 5.5 million veterans of all ages now receiving VA health care and 2.9 million receiving compensation. Those populations overlap and the VA does not have a current figure on total number of veterans served. Costs soared in 1947 because of a massive exodus of troops from the military, all entitled to education, training and loan guarantee benefits under the then-new G.I. Bill, the report says. Actual dollars spent in 1947 were $8.4 billion, the report says. Then, health care was only 12% of the veterans budget, says Dan Tucker, deputy assistant secretary for budget at the Department of Veterans Affairs. Now health care costs make up 44% of the budget. Costs fell precipitously after 1947, surging slightly in 1975-76 because of Vietnam-era veterans, the report says. Roughly a third of the nation's 23.5 million veterans served in Vietnam. Guidelines: You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. Read more