What You Need to Know About Veterans Disability Settlement

The VA program pays compensation for disability based upon loss of earning capacity. This system is different from the workers’ comp programs.

Jim received a $100,000 lump sum settlement. The VA will increase each year the lump sum over a period of one year. This will offset his Pension benefit. He will only be eligible to apply again for his pension benefit after the annualized amount is returned to him.

Compensation

veterans disability lawsuit and their families may be entitled to compensation from the government for injuries sustained during the military. These benefits could come in the form of a pension or disability payment. There are a few essential aspects to consider when considering a personal injury suit or settlement for a disabled veteran.

For instance in the event that disabled veterans disability case receive an award in their case against an at-fault party, which causes them harm, and also has an VA disability compensation claim, the amount of the settlement or jury award can be garnished from their VA payments. But, there are some limitations to this type of garnishment. First the court must have filed a petition for the apportionment of the disability compensation. Only a small portion of between 20 and 50% of the monthly salary may be garnished.

It is also important to know that compensation is based not on the actual earnings of a veteran, instead, it is based on a percentage. The higher the veteran’s disability rating the more compensation they will receive. The spouses and dependent children of a deceased veteran from a service-related injury or illness are eligible for a particular compensation known as Dependency Indemnity Compensation.

There are a myriad of misconceptions regarding the impact of veterans’ pensions, disability payments and other compensations offered by the Department of Veterans Affairs on money issues during divorce. These misconceptions can cause a difficult divorce even more difficult for veterans and their family members.

Pensions

veterans disability attorney Disability Pension (VDP) is an untaxed monetary benefit for veterans with disabilities that developed or worsened during their service in the military. The benefit is also available to spouses who survived as well as children who have dependents. Congress determines the pension amount and it is determined by the level of disability, the degree of disability and dependents. The VA has specific rules regarding the way assets are calculated to determine eligibility for the Pension benefit. In general, the veteran’s home as well as personal possessions and vehicle are disregarded, while the remaining non-exempt assets of the veteran must not exceed $80,000 to show financial need.

There is a common misconception that courts could garnish VA disability payments in order to fulfill court-ordered child or spouse support obligations. However, it is important to understand that this is not the situation.

The courts are only able to take away the pensions of veterans disability law if they have waived military retired pay in order to get compensation for disability. 38 U.S.C. (a) SS5301 (a) is the law that governs this.

It is important to know that this does not apply to CRSC or TDSC pay, as these programs are specifically designed to provide a higher level of income for disabled veterans. It is important to keep in mind that a personal injury settlement could reduce their eligibility for aid and attendance.

SSI

Veterans with a permanent disability and no income may be eligible for Supplemental Security Intake (SSI). This program is based on the need. A person must have a low income and assets to be eligible for SSI. Some people are also eligible for a monthly pension payment from the VA. The amount is determined by the length of service, wartime time and disability rating.

The majority of veterans aren’t eligible for both a Pension and Compensation benefit at the same time. If a person is a recipient of pension benefits and is receiving an income from the VA and is eligible for a disability payment, the VA will not pay a Supplemental Security Income benefit to that person.

The VA has to report to the Social Security Administration your monthly military retirement, CRDP, or CRSC. This almost always causes an increase in your SSI benefit. The SSA can also calculate your SSI income based on the VA waiver benefits.

If a judge directs a veteran to pay support ordered by the court, the court may go directly to the VA and request that the military retirement funds seized to pay for this reason. This could be the case in divorce proceedings when the retiree is required to waive his retirement benefits to receive VA disability payments. The U.S. Supreme Court ruled recently in the case of Howell that this practice was against federal law.

Medicaid

Veterans with disabilities that are related to their service could be eligible for Medicare and Medicaid. He must prove he has completed the five-year look-back time. Also, he must present documents that confirm his citizenship. He cannot transfer his assets without a fair value however, Veterans Disability Settlement he is allowed to keep one car and his primary residence. He can also keep up to $1500 cash or the face value of a life insurance policy.

In a divorce the judge can decide to consider the veteran’s VA Disability payments as income when calculating child support and maintenance following the divorce. This is because of the numerous court rulings that have confirmed the rights of family courts to consider these payments as income for support calculations. These include rulings from Florida (Allen v. Allen), Mississippi (Steiner v. Steiner), and Wisconsin (In Re Marriage of Wojcik).

The amount of the VA disability compensation depends on the severity of the condition that is service-connected. It is based on a schedule that ranks the severity the condition. It could range from 10 percent and 100 percent. Higher ratings will bring more money. Veterans could also be eligible for compensation to cover attendance and aid costs, or a specific monthly payment, which is based not on a schedule, but rather the severity of their disability.