What You Need to Know About Veterans Disability Settlement

The VA program provides compensation for disability based on loss of earning capacity. This program is distinct from workers' compensation programs.

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 will only be eligible to reapply for his Pension benefit once the annualized amount has been returned to him.

Compensation

veterans disability law firms and their families could be entitled to compensation from the government for injuries they suffered while serving in the military. These benefits could be in the form of a disability or pension payment. If you're thinking about a personal injury lawsuit or settlement on behalf of a disabled veteran there are some key points to keep in mind.

For instance when a disabled veteran receives an award in their case against an at-fault party, which causes them harm, and they also have an VA disability compensation claim The amount of the settlement or jury award can be taken from their VA payments. This kind of garnishment is subject to some restrictions. First you must file a court petition to be filed for the apportionment. Then only a portion of between 20 and 50% of the monthly amount can be garnished.

Another thing to remember is that the compensation is calculated based on a percentage the veteran's disability and not based on actual earnings earned from a job. The higher the disability rating the more money they'll get. The dependent children and spouses of a veteran who died from injury or illness related to service are eligible for a specific indemnity called Dependency Compensation.

There are many misconceptions regarding the impact of veterans' pensions or disability payments, as well as other compensations from the Department of Veterans Affairs on finances during divorce. These misconceptions can make a divorce even more difficult for veterans and their families.

Pensions

Veterans Disability Pension is a tax-free monetary benefit that pays out to veterans with disabilities that have been incurred or aggravated by military service. It is also available to the surviving spouses and dependent children. The pension rate is established by Congress and is based on amount of disability, the extent of disability, and whether there are dependents. The VA has specific rules on how assets are evaluated to determine the eligibility of pension benefits. In general, the veteran's home personal effects, personal belongings and a vehicle are not considered, and the veteran's remaining non-exempt assets must be less than $80,000 to demonstrate financial need.

A common misconception is that the courts could garnish VA disability payments to meet court-ordered child or spouse support obligations. It is important to note that this is not true.

The courts can only garnish the veteran's pension when they have waived military retired pay to obtain compensation for disability. 38 U.S.C. SS5301 (a) is the statute that governs this.

This is not the case with CRSC and TDSC, as these programs were specifically designed to provide a better amount of income to disabled veterans. It is important to keep in mind that a personal injury settlement can affect their eligibility for aid and attendance.

SSI

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

Most veterans are not qualified for both a pension and Compensation benefit at the same time. If a person receives an amount for disability and pension benefits from the VA the VA will not pay a Supplemental Social Security income benefit.

The VA is required to submit your monthly military retirement, CRDP or CRSC to the Social Security Administration (SSA). 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 veteran is ordered to pay for support in a court order and the court is able to go directly to VA to garnish the military retirement. This is a possibility in divorce cases when the retiree is required to waive his retirement benefits from the military to pay VA disability benefits. The U.S. Supreme Court recently ruled in the case of Howell that this practice violated federal law.

Medicaid

Veterans with disabilities related to their service might be eligible for Medicare and Medicaid. He must prove that he has been able to meet the five year look-back period. Additionally, he has to present documents that confirm his citizenship. He cannot transfer his assets without a fair market value, however, he is allowed to keep one car and his primary residence. He is also able to keep the cash equivalent of up to $1500 or the face value of a life insurance policy.

In a divorce the judge could decide that the veteran's VA disability benefits can be considered income for purposes of the calculation of post-divorce child support and maintenance. This is because of the numerous court rulings that have confirmed the rights of family courts to use these payments as income in support calculations. These include rulings from Florida (Allen v. Allen), Mississippi (Steiner v. Steiner), and Wisconsin (In re Marriage of Wojcik).

The VA disability compensation is determined by the severity of the condition. It is determined by a schedule that ranks the severity the condition. It can range between 10 percent and 100 percent. Higher ratings will yield more money. It is also possible for veterans to receive additional compensation for aid and attendance expenses, or for special monthly compensation that is not based on a calendar but on the severity of the disability.