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 the workers' compensation programs.

Jim received a lump sum settlement. The VA will annually adjust the lump sum for one year. This will decrease his Pension benefit. He will only be eligible to apply for his pension benefit once the annualized amount has been returned to him.

Compensation

Veterans and their families may be eligible for compensation from the government for injuries sustained during the military. These benefits could be in the form of a disability or pension payment. There are a few key things to think about when considering a personal injury suit or settlement for disabled veterans.

If a veteran who has disabilities receives an award or settlement against the person who is at fault for their injuries, and also has an VA disability claim and the amount of the settlement or award can be garnished off the VA payments. This kind of garnishment comes with certain limitations. First, a court petition must be filed to apportion the funds. Only a small portion of between 20% and 50 percent of the monthly pay may be garnished.

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

There are a lot of misconceptions about the impact that the benefits of retirement for veterans along with disability pay and other compensations from the Department of veterans disability lawyers Affairs have on divorce money issues. These misconceptions can cause a difficult divorce even more difficult for veterans and their families.

Pension

Veterans Disability Pension is a tax-free monetary benefit that pays out to veterans suffering from disabilities that were incurred or aggravated by military service. It is also available to survivors of spouses and dependent children. Congress determines the pension rate that is based on disability level, severity of disability, and dependents. The VA has specific regulations on how assets are calculated to determine eligibility for the pension benefit. The VA will not consider the veteran's vehicle, home and personal belongings. However the remaining non-exempt assets of the veteran must be less than $80.000 to demonstrate financial need.

It is a common misconception that courts can garnish VA disability payments to satisfy court-ordered child support or the obligation to pay spousal maintenance. However, it is important to recognize that this isn't the case.

The courts are only able to take away a veteran's pension if they have waived their military retirement pay in order to obtain the compensation they deserve for the disability. 38 U.S.C. (a) SS5301 (a) is the law that governs this.

This is not the case with CRSC and TDSC These programs were specifically designed to provide a greater amount of income to disabled veterans disability lawsuits. It is also important to keep in mind that any personal injury settlement for veterans could limit their eligibility for Aid and Attendance.

SSI

If a veteran is not earning earned income and has an ongoing disability, they may qualify for Supplemental Security Income (SSI). This program is based upon need. SSI is only available to people with a low income and assets. Some are also eligible for a monthly pension payment from the VA. The amount is contingent on the duration of their service as well as the wartime period as well as a disability rating.

The majority of veterans are not eligible for both Compensation and Pension benefits simultaneously. If a person gets an income from disability and pension benefits 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 will nearly always increase your SSI benefit. SSA may also benefit from the VA waiver of benefits to calculate your SSI income.

If a judge requires a veteran to pay support as ordered by the court the court can send the order directly to the VA and have the military retirement funds seized to pay for this reason. This could be the case in divorce cases where the retired person waives their retirement benefits as a military retiree in exchange for VA disability benefits. The U.S. Supreme Court recently declared in the case of Howell that this practice violated federal law.

Medicaid

A veteran with a disability that is related to service could be eligible for Medicare and Medicaid benefits. He must prove that he's in the look-back period of five years. Also, he must provide documentation to prove his citizenship status. He cannot transfer his assets without a fair market value, however, he is allowed to keep one car and his primary residence. He can also keep up to $1,500 in cash or the face value of an insurance policy that covers life.

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

The amount of VA disability benefits is contingent on the degree of the service-connected illness. It is calculated based on a schedule that ranks the severity the condition. It can range between 10 percent to 100 percent. Higher ratings will result in more money. Veterans could be eligible for additional compensation to cover the cost of aid and attendance costs, or a specific monthly payment, which is based not on a specific schedule however, but on the severity of their disability.