How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's 58-year-old client is permanently disabled due to his military service. He gets a monthly pension from the Department of Veterans Affairs.

He would like to know if a jury verdict will impact his VA benefits. It will not. However, veterans Disability Law firms it will affect his other sources of income.

Do I have the right to receive compensation for an accident?

If you've served in the military but are now permanently disabled as a result of injuries or illnesses, you could be eligible for a veterans Disability law firms disability settlement. This settlement could help you get compensation for medical bills, lost wages and other costs resulting from your injury or illness. The type of settlement you are eligible for will depend on whether or not your injury or illness is a result of a service connection, the VA benefits you qualify for, as well as the cost to treat your accident or injury.

For example, Jim is a 58-year veteran who was diagnosed with permanent disabilities based on two years of service in the Vietnam War. Jim does not have enough space for work to qualify for Social Security Disability benefits, however, he is able to claim the VA Pension which offers free medical treatment and cash dependent on the amount of money he needs. He would like to find out if a personal injury settlement will affect his ability to receive this benefit.

The answer will depend on whether the settlement is in the form of either a lump sum or structured settlement. Structured settlements involve the payment of over time instead of one single payment. The amount paid by defendant is calculated to offset the existing VA benefits. A lump sum settlement can impact any existing VA benefits as the VA will annually assess and count it income. In either case, if excess assets are left over after the twelve month period after the settlement is annually recalculated, Jim could reapply for the pension benefit, but only if his assets fall lower than a threshold with which the VA is able to agree establishes financial need.

Do I require an attorney?

Many service members, spouses and former spouses are concerned about VA disability benefits and their impact on financial issues in divorce. Some people think, for instance, that the Department of Veterans Affairs compensation payments can be divided like military retirements in divorce cases, or that they're "off limits" when calculating child support and Alimony. These misconceptions can lead to financial errors that can have grave consequences.

It is possible to submit an application for disability benefits by yourself However, most disabled veterans will require the help of a professional lawyer. A veteran's disability lawyer can look over your medical records and gather the necessary evidence to present a convincing case before the VA. The lawyer will also be able to submit any appeals you require to secure the benefits you deserve.

Most VA disability lawyers don't charge for consultations. The government will also pay the lawyer directly from the award of retroactive benefits. This is a benefit of the Equal Access to Justice Act. The fee agreement should clearly state the proportion of retroactive benefits that will be paid to your lawyer. A fee agreement could say for instance that the government would pay the attorney up 20% of retroactive benefits. Any additional amounts will be your responsibility.

Can I Garnish My VA Benefits?

The VA provides monthly compensation to disabled veterans. The purpose of the payments is to help offset the impact of illnesses, injuries or disabilities that have been sustained or worsened during the veteran's service. Like all incomes, veterans disability benefits are subject to garnishment.

Garnishment allows a court order that an employer or government agency stop money from the wages of a person who is in the process of paying an amount and then pay it directly to the creditor. In the event of divorce, garnishment could be used to pay for spousal support or child support.

However, there are a few situations in which a veteran's disability benefits are able to be repaid. The most frequent is the veteran who renounced his military retirement in order to receive disability compensation. In these instances, the portion of pension that is devoted to disability payments can be garnished to meet family support obligations.

In other circumstances, Veterans disability law Firms veteran’s benefits can also be garnished to cover medical expenses or federal student loans that are over due. In these cases the court may be able to go straight to the VA to get the required information. It is crucial for disabled veterans to find a competent lawyer to ensure that their disability benefits are not taken away. This will stop them from having to rely on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge aid to veterans and their families. However, they come with their own set of complications. For example, if a veteran gets divorced and is awarded a VA disability settlement, they must be aware of what effect this will have on their benefits.

In this regard, the main question is whether or not disability benefits are considered assets that can be split in a divorce. The issue has been resolved in a variety of ways. A Colorado court of appeals ruling decided that VA disability payments were not property and could not be divided this manner. The U.S. Supreme Court ruled in Howell, that garnishing a veteran’s VA disability payments for Alimony was against the USFSPA.

Another concern that is related to this issue is how disability benefits are treated in the context of child support and maintenance. The USFSPA and the Supreme Court both forbid states from claiming disability benefits as income for these purposes. However, certain states have chosen to take an alternative approach. Colorado for instance takes all income sources together to determine the amount required to support a spouse. The state then adds disability benefits in order to account for their tax-free status.

It is also crucial that veterans understand how divorce will affect their disability compensation and how their ex spouses can garnish their compensation. By being aware of these issues, vets can safeguard their benefits and avoid the unintended consequences.