How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, 58 years old, is permanently disabled because of his service in the military. He receives a monthly pension benefit from the Department of Veterans Affairs.

He would like to know how an award from a jury will impact his VA benefits. It won't. It will, however, affect the other sources of income he earns.

Can I claim compensation for an accident?

You could be eligible for a settlement if you served in the military but are now permanently disabled as a result of injuries or asystechnik.com illnesses. This settlement can assist in compensating you for medical expenses, lost income and other costs that resulted from your injury or sickness. The kind of settlement you can get depends on whether or not your health condition is non-service connected, which VA benefits you are eligible for, and what your accident or injury will cost to treat.

Jim is a 58 year old Vietnam veteran was diagnosed with permanent disabilities due to his two years of service. He does not have enough work space to be eligible for Social Security Disability benefits, however, he is able to claim a VA Pension that provides free medical care and cash based on his financial need. He wants to determine if a personal accident settlement would affect his eligibility to receive this benefit.

The answer is contingent upon whether the settlement is a lump-sum or a structured one. Structured settlements consist of payments over time instead of one payment. The amount paid by defendant is calculated to offset existing VA benefits. A lump sum settlement will impact any existing VA benefits since the VA will annually evaluate and consider it as income. If Jim has extra assets after the settlement is annually adjusted the applicant can apply again to be eligible for the pension benefit. However his assets must be below a threshold the VA has determined to be a financial necessity.

Do I require an Attorney?

Many spouses, service members, and former spouses are concerned about VA disability payments and their impact on financial issues in divorce. Some people think that the Department of Veterans Affairs' compensation payments can be divided like a military pension in a divorce or that they are "off limits" in the calculation of child support and alimony. These misconceptions can lead to financial mistakes that have serious repercussions.

While it is possible to do an initial claim for disability benefits by yourself, the majority of disabled st john veterans disability lawsuit require the assistance of a skilled lawyer. A veteran's disability lawyer can look over your medical records and gather the necessary evidence to prove your argument before the VA. The lawyer can also help to submit any appeals you require to receive the benefits you deserve.

The majority of VA disability lawyers don't charge for consultations. Additionally the lawyer will usually be paid by the government directly from the retroactive past-due benefits. This is a benefit of the Equal Access to Justice Act. The proportion of retroactive past-due benefits your lawyer will be paid must be specified in your fee agreement. A fee agreement could stipulate that, for example, the government will provide the attorney with 20% of retroactive benefits. You will be accountable for any additional amounts.

Can I Garnish My VA Benefits?

When a disabled veteran receives compensation from the VA, it comes in the form of monthly payments. 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. The veterans disability benefits are subject to garnishment, just like other incomes.

Garnishment is a court-ordered procedure that an employer or government agency deduct funds from the paycheck of a person who has an obligation and pay it directly to a creditor. In the event of divorce, garnishment could be used to pay spousal or child support or child support.

There are situations where a veteran's benefits can be encashable. The most common scenario involves those who have renounced their military retirement in order to claim disability compensation. In these scenarios, the portion of pension that is devoted to disability compensation can be garnished in order to meet family support obligations.

In other cases it is possible for a veteran's benefits to be withdrawn to cover medical expenses or past-due federal student loans. In these situations the court could go directly to the VA to obtain the information they require. It is essential for a disabled veteran to retain a knowledgeable lawyer to ensure that their disability benefits aren't removed. This can prevent them from having to rely on payday lenders or private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge help to veterans and their families. However they also come with their own set complications. For example when a veteran is divorced and asystechnik.com is awarded a VA disability settlement, they should know how this will affect the benefits they receive.

In this case, the main question is whether disability benefits are considered assets which can be divided during a divorce. This question has been answered in two ways. One is through a Colorado court of appeals decision, Vimeo.Com which found that VA disability payments are not property, and therefore cannot be divided in this way. Another method is a U.S. Supreme Court ruling in Howell that ruled that garnishing a veteran's VA disability payments to pay for an alimony payment is a violation of the Uniformed Services Former Spouses Protection Act (USFSPA).

Another issue that is related to this topic is the treatment of disability benefits to children for maintenance and support. Both the USFSPA as well as the Supreme Court, prohibit states from counting disability benefits as income. However, certain states have chosen to take different approaches. Colorado is one example. It adds all income sources together to determine the amount required to support a spouse. It then adds disability benefits in order to take into account their tax-free status.

Finally, it is important for veterans to know how their disability compensation will be affected when they get divorced and how their spouses who divorced them can garnish their compensation. By being informed about these issues, veterans can protect their income and avoid the unintended consequences.