What You Need to Know About Veterans Disability Settlement

The VA program compensates for disability on the basis of loss of earning capacity. This system is different from workers' compensation plans.

Jim received a $100,000 lump sum settlement. The VA will annually adjust the lump sum for one year. This will decrease his Pension benefit. He can only reapply after the annualized amount has been paid to him.

Compensation

Veterans and their families may be eligible for compensation from the government for injuries sustained during their military service. These benefits could be the form of disability or pension. There are a few important points to be aware of when you are considering the possibility of a personal injury lawsuit or settlement for disabled veterans disability attorneys.

If a veteran with a disability receives a settlement or a jury award against the party responsible for their injuries, and also has an VA disability claim, then the amount of the settlement or Veterans Disability award may be garnished off their VA payments. However, there are some limitations on this kind of garnishment. First the court must have filed a petition seeking apportionment of the disability pay. Then only a portion, usually between 20 and 50 percent of the monthly amount could be garnished.

It is also important to note that compensation is based not on the actual earnings of a veteran but rather on an amount. This means that the higher a veteran's disability score is, the more they receive in compensation. Children and spouses of a disabled veteran who died due to service-related illness or injuries are eligible for a specific benefit known as Dependency Insurance Compensation (DIC).

There are many misconceptions about the impact that benefits from veterans' retirement along with disability pay and other benefits from the Department of Veterans Affairs have on divorce money issues. These myths can make divorce even more difficult for both veterans and their families.

Pensions

Veterans Disability Pension is a tax free monetary benefit that provides veterans suffering from disabilities that were incurred or aggravated by military service. The benefit is also available to spouses who survived and children with dependents. The pension rate is determined by Congress and based on the amount of disability, the level of disability, as well as whether there are any dependents. The VA has specific regulations on how assets are analyzed to determine eligibility for the Pension benefit. The VA will disregard the veteran's home, vehicle and personal effects. However, the remaining assets that are not exempted by the veteran must not exceed $80.000 to prove financial need.

It is common knowledge that courts can garnish VA disability payments to meet court-ordered child support or the obligation to pay spousal maintenance. It is important to realize that this isn't the case.

The courts can only garnish the pension of a veteran when they have waived their military retirement pay in order to get compensation for disability. 38 U.S.C. The SS5301 (a) is the law that governs this.

This is not the case for CRSC and TDSC since these programs were specifically designed to provide a greater level of income for disabled veterans. It is important to note, too, that a veteran's personal injury settlement could affect their eligibility for aid and attendance.

SSI

Veterans with a permanent disability but have no income may be eligible for Supplemental Security Intake (SSI). This is a need-based program. The applicant must have a low income and assets to be eligible for SSI. Some people may also be eligible for an VA monthly pension. The amount will depend on the duration of their service as well as the wartime period as well as a disability rating.

Most veterans aren't eligible for both Pension and Compensation benefits at the same time. If a person receives a disability payment and a pension from the VA but it does not pay a Supplemental Security income benefit.

The VA is required to send your monthly report of military retirement, CRDP or CRSC to the Social Security Administration (SSA). This is almost always a cause for an increase in your SSI benefit. SSA may also benefit from the VA waiver of benefits in order to determine your SSI income.

If a judge orders the veteran to pay support as ordered by the court and the court has the authority to go directly to the VA and request that the military retirement slashed to pay for this purpose. This can happen in divorce cases where the retiree waives their retirement benefits as a military retiree in exchange for VA disability payments. The U.S. Supreme Court ruled recently in the case Howell that such a practice was against federal law.

Medicaid

Veterans with disabilities that are related to their service might be eligible for Medicare and Medicaid. He must prove that he's in the look-back period, which is five years. He must also present documents to prove his citizenship. He cannot transfer assets without an amount that is fair market value but he can keep his primary residence and one vehicle. He can also keep up to $1,500 cash or the face value of a life insurance policy.

In divorce proceedings the judge could decide to consider the veteran's VA Disability payments as income when calculating child support and maintenance following the divorce. The reason for veterans disability this is that numerous court decisions have confirmed the legality of family courts to use these payments to calculate support. These include rulings from Florida (Allen v. Allen), Mississippi (Steiner v. Steiner), and Wisconsin (In Re the marriage of Wojcik).

The amount of the VA disability compensation is contingent upon the degree of the condition that is service-connected. It is based on a chart that rates the severity of the condition. It can vary between 10 percent and 100 percent. Higher ratings will bring more money. Veterans could also be eligible for additional compensation for aid and attendance expenses or a monthly payment that is not based on a schedule and not on the extent of their disability.