How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, 58 years old, is permanently disabled as a result 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 affect his VA benefits. It won't. However, it could have an impact on his other sources of income.

Can I claim compensation for an accident?

If you've been in the military and are now permanently disabled as a result of injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement will help pay you for medical expenses, lost income and other expenses that resulted from your illness or injury. The type of settlement that you will receive will depend on whether your injury or illness is related to service, what VA benefits you qualify for, and the cost to treat your injury or accident.

Jim, a 58 year veteran of the Vietnam war, was diagnosed as having permanent disabilities due to his two years of service. Jim 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 cash and medical treatment for free according to his financial need. He wants to be aware of how a personal injury lawsuit could affect his eligibility to receive this benefit.

The answer depends on whether the settlement is in the form of one lump sum or a structured settlement. Structured settlements are the ones that are paid over a long period of time rather than as a single payment and the amount received by the defendant is calculated to offset any existing VA benefits. However, a lump sum payout is likely to impact any benefits already in place because the VA considers it to be income and will annually calculate it. If Jim has excess assets after the settlement is annually adjusted the applicant can apply again to receive the Pension benefit. However, his assets must be under a limit that the VA has set to establish financial necessity.

Do I Need to Hire an attorney?

Many spouses, military personnel and former spouses are concerned about VA disability payments and their impact on money issues in divorce. There are many other reasons, but some people think that the Department of Veterans Affairs' compensation payments are able to be divided like a military pension in divorce or are "off limits" in the calculation of child support and alimony. These misconceptions could lead to financial mistakes which can have serious consequences.

While it is possible to submit an initial claim for disability benefits on your own, the majority of disabled veterans benefit from the assistance of a professional lawyer. An experienced veteran's disability lawyer can review your medical documents and gather the required evidence to present a strong case to the VA. The lawyer will also be able to submit any appeals you need to get the benefits you're entitled to.

The majority of VA disability lawyers don't charge for consultations. In addition that the lawyer will normally be paid by the government directly from your retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. Your fee agreement should clearly specify the percentage of retroactive benefits that will be paid to your lawyer. For example the fee agreement could stipulate that the government will pay the lawyer up to 20% of retroactive benefits or award. Any additional amounts are your the responsibility of the attorney.

Can I Garnish My VA Benefits?

When a disabled veteran receives compensation from the VA the compensation is paid in the form of monthly payments. These payments are designed to alleviate some of the effects of disabilities, diseases or injuries incurred during or aggravated by a veteran's military service. Like all income, the keene veterans disability law firm disability benefits can be subject to garnishment.

Garnishment can be a legal proceeding that allows a judge to order an employer or government agency to take money from the pay of an employee who owes money and transfer them directly to an individual creditor. In the event of a divorce the garnishment could be used for child or spousal maintenance.

There are some situations where the benefits of a veteran can be garnished. Most often, vimeo.com it is the case of a veteran who waived his military retirement to receive disability compensation. In these situations, the amount of pension allocated to disability payments can be garnished for family support obligations.

In other cases it is possible for a veteran's benefits to be garnished to pay for medical expenses or past-due federal student loans. In these instances, a court can go directly to the VA for the information they require. It is important for a disabled veteran to work with a reputable attorney to ensure that their disability benefits are not removed. This can help them avoid having to depend on payday loans and private loans. lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements are a tremendous help to veterans as well as their families. However, they come with certain complications. If a veteran is divorced and receives an VA settlement then they must be aware of the impact this could have to their benefits.

One of the major issues in this regard is whether disability payments are considered divisible assets in a divorce. This issue has been addressed in a variety of ways. A Colorado court of appeals ruling found that VA disability payments were not property and could not be divided in this way. Another option is a U.S. Supreme Court ruling in Howell which ruled that garnishing a veteran's VA disability benefits to pay the payment of alimony is in violation of the Uniformed Services Former Spouses Protection Act (USFSPA).

Another concern related to this topic is how the disability benefits are treated in the context of child maintenance and support. The USFSPA and the Supreme Court both forbid states from counting disability benefits as income to be used for this purpose. However, some states have adopted different approaches. For instance, Colorado adds up all sources of income to determine the amount in support a spouse will need and then adds up the disability benefits to take into account that they are tax free.

Finally, it is important for veterans to understand how their disability compensation will be affected if they become divorced and how their spouses who divorced them can garnish their compensation. If they are aware of these issues, veterans can ensure the security of their compensation and avoid unwanted consequences.