What You Need to Know About Veterans Disability Settlement

The VA program compensates disabled persons due to loss of earning ability. This system is different from workers' compensation.

Jim received a lump-sum settlement of $100,000. The VA will annualize the lump sum for a year. This will be offset by his Pension benefit. He is only eligible to apply again after the annualized amount has been returned to him.

Compensation

Veterans and their families may be entitled to compensation from the government for injuries incurred during military service. These benefits can be in the form of a pension or disability payment. When considering a personal-injury lawsuit or settlement on behalf of a disabled veteran there are a few important points to keep in mind.

If a veteran suffering from disability is awarded a settlement or jury award against the party who was at fault for their injuries and has an VA disability claim and is awarded a settlement or award, the amount of that settlement or award could be taken from the VA payments. This kind of garnishment comes with certain restrictions. First, the court must have filed a petition seeking apportionment of disability pay. Only a small portion that is usually between 20% and 50% of the monthly amount may be garnished.

It is important to note that compensation is based not on the actual earnings of a veteran, however, on the percentage. This means that the higher a veteran's disability rating, the more they will receive in compensation. Family members of survivors of disabled veterans who die of service connected illness or injuries are eligible for a specific benefit known as Dependency Indemnity Compensation (DIC).

There are a lot of misconceptions about the effect that veterans disability Law Firms' retirement benefits as well as disability payments and other compensation from the Department of Veterans Affairs have on divorce money issues. These misconceptions can make divorces more difficult for veterans and their families.

Pension

Veterans Disability Pension (VDP) is a tax free monetary benefit given to veterans with disabilities that were acquired or worsened through their military service. It is also available to surviving spouses and dependent children. The pension rate is set by Congress and is determined by the amount of disability, the level of disability, as well as if there are dependents. The VA has regulations that specify how assets are calculated in order to determine eligibility for pension benefits. Generally, the veteran's house as well as personal possessions and vehicle are excluded, whereas the remaining assets of the veteran that are not exempt must be less than $80,000 to show financial need.

A common misconception is that courts could garnish VA disability payments to meet court-ordered child or support obligations for spouses. It is vital to recognize that this isn't the case.

The courts are only able to garnish the pension of a veteran if they have waived their military retired pay to be compensated for disability. The statute that governs this is 38 U.S.C SS5301(a).

This is not the case with CRSC and TDSC, as these programs were specifically designed to provide a greater level of income for disabled veterans. It is also important to note that the settlement of a personal injury claim for a veteran may reduce their eligibility for aid and attendance.

SSI

Veterans who have an ongoing disability and have no income might be eligible for Supplemental Security Intake (SSI). This program is based on need. SSI is only available to those with a low income and assets. Certain people could also be eligible for the VA monthly pension. The amount is determined by duration of service, the wartime period and disability rating.

Most veterans disability law firm aren't eligible for both Pension and Compensation benefits simultaneously. If a person is a recipient of an existing pension and is receiving an income from the VA, the VA will not pay an additional Supplemental Security Income benefit to that person.

The VA must submit to the Social Security Administration your monthly military retirement, CRDP, or CRSC. This is almost always a cause for an increase in your SSI benefit. SSA can also use the VA waiver of benefits to calculate your SSI income.

If a judge orders a veteran to pay court-ordered support, the court can go directly to the VA and have the military retirement garnished for that reason. This could be the case in divorce proceedings when the retiree has to give up his military retired pay for VA disability payments. The U.S. Supreme Court ruled in the recent case Howell that this procedure was in violation of federal laws.

Medicaid

A veteran who has a disability that is related to service could be eligible for Medicare and Medicaid benefits. He must prove he has been able to meet the five year look-back period. The applicant must also submit documents to prove his citizenship. He cannot transfer his assets without a fair value but he is able to keep one vehicle and his primary residence. He is allowed to keep up to $1500 in cash or the face value of a life insurance policy.

In a divorce, a judge can decide to consider the veteran's VA Disability payments as income when calculating child support and maintenance after the divorce. The reason for this is that several court cases have affirmed the authority of family courts to use these payments to calculate support. These include rulings from Florida, Mississippi (Steiner v. Steiner), Wisconsin (In Re the marriage of Wojcik) and other states.

The amount of the VA disability compensation is contingent upon the degree of the service-connected condition. It is based upon a schedule that rates the severity of the condition. It could vary from 10 percent up to 100 percent and higher scores bringing the most money. It is also possible for a veteran to receive additional compensation for aid and attendance expenses, or for special monthly payments that are not based upon a schedule but upon the degree of the disability.