In 1888, Colonel George W. Steele, Indiana’s congressional representative, successfully convinced his colleagues in Washington, D.C., of the need for a Soldier's Home in Grant County.

Subsequently, the 31-acre (13 ha) Marion Branch of the National Home opened in 1889 to provide shelter and comfort for the region's veterans.

For most of its history, the cemetery at the Marion Home has quietly and efficiently cared for the needs of the nation's veterans with few significant changes.

Additional land was transferred from the Veterans Health Administration twice in the cemetery's history.

As of 2004, over 8,000 men and women have been buried in Marion National Cemetery, including Medal of Honor recipients Henry Hyde, Nicholas Irwin and Jeremiah Kuder.