Treasurer Scott Morrison has announced $350 million to support former soldiers and their families including upgrading the archaic computer system to get veterans' claims handled faster.
The package, to be announced in Tuesday's budget, is set to include spending on mental health, suicide prevention and programs to help personnel transition to civilian life, according to Seven News.
The funding will include more than $30 million for non-liability mental health services to ex-servicemen and women who will no longer have to prove their mental health condition is linked to their service before receiving treatment.
There will also be a $133 million for a gold card for survivors of nuclear testing, which Senator Nick Xenaphon told Seven News was "righting a terrible wrong."
Veterans Affairs Minister Dan Tehan said veterans' claims would also be handled faster with a long overdue upgrade of the department's computer systems.
More than $160 million has been earmarked for new technology, according to Seven News.
"This is ensuring that claims times come down in the department of Veterans Affairs," Mr Tehan said.
"If an eligible person requires treatment, it will be paid for."
The government will also spend $10 million on suicide prevention programs, which will include a pilot program that provides case management for veterans after they are discharged from hospital.
Soldier On chief executive John Bale said it appeared the packaged would allow veterans to get help more quickly, and would also open up more services to their families.
"It means that people are now going to access mental health services more quickly and therefore have a greater chance of returning back to a happier, healthier life," he told AAP.
He said many soldiers struggled to adapt to normal life after returning from conflict and many were driven to self-harm, which hadn't been helped by a lack of access to government funded support until now.
But he said the government needed to work more with community groups that provided a support network to veterans.
"We're hoping the next phase of this is working out how to improve the support given to the community sector that is on the ground, often providing services in conjunction with the department of veteran affairs," he said.
Opposition spokeswoman Amanda Rishworth supports the increased funding for mental health issues, but wants to ensure it is new money.
"The government must rule out funding any new programs through cut to services elsewhere," she said in a statement.
She also urged the government upgrade the DVA's computer system to make it easier for veterans.
Readers seeking support and information about suicide prevention can contact Lifeline on 13 11 14.
Suicide Call Back Service 1300 659 467.
