How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's 58-year-old client is permanently disabled as a result of his time in the military. He gets a monthly pension from the Department of Veterans Affairs.

He would like to find out if a verdict from a jury will impact his VA benefits. The answer is not. But it will have an impact on his other sources of income.

Do I have the right to receive compensation in the event of an accident?

You may be eligible for a settlement if you were in the military but are now permanently disabled because of injuries or illnesses. This settlement can allow you to get compensation for medical bills, lost wages, and other costs resulting from your injury or illness. The type of settlement that you could receive will depend on whether your injury or illness is a result of a service connection, the VA benefits you are eligible for, as well as the cost to treat your injury or accident.

For instance, Jim is a 58-year old veteran who was diagnosed with permanent disabilities based on two years of service during the Vietnam War. He does not have enough working space to qualify for Social Security disability benefits but the VA Pension benefit, which offers medical care and cash based on financial need. He would like to learn how a personal injury settlement will affect his eligibility to be eligible for this benefit.

The answer depends on whether the settlement is in the form of an unintentional lump sum or a structured settlement. Structured settlements are payments made over a time frame rather than as a single payment and the amount paid by the defendant is calculated to offset any existing VA benefits. A lump sum payment will impact any existing VA benefits because the VA will annually evaluate and consider it to be income. In either case, if excess assets are left over after the 12 month period when the settlement has been annualized Jim could apply again for the Pension benefit but only if his assets fall below a certain threshold that the VA is able to agree establishes financial need.

Do I have to hire an attorney?

Many service members, spouses and former spouses are confused about VA disability compensation and its impact on money issues in divorce cases. There are many other reasons, but some people think that the Department of Veterans Affairs' compensation payments can be divided like a military pension a divorce or that they are "off limits" when it comes to calculation of child support and alimony. These misconceptions can lead to financial errors that have serious consequences.

It is possible to file an application for disability benefits by yourself, but most disabled veterans will require the help of a professional lawyer. An experienced veteran's disability lawyer can examine your medical documents and gather the necessary evidence to present a strong argument to the VA. The lawyer can also file any appeals that you may need in order to receive the benefits you are entitled to.

The majority of VA disability lawyers do not 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. The fee agreement should clearly define the proportion of retroactive benefits that will be paid to your lawyer. A fee agreement could stipulate that, for example, the government will pay the attorney 20 percent of retroactive benefits. The attorney is responsible for any additional sums.

Can I Garnish My VA Benefits?

If a disabled veteran is granted compensation from the VA the compensation is paid in the form of monthly payments. The payments are meant to help offset the effects of disability, illness, or injuries sustained during or aggravated by a veteran's military service. The benefits for circle pines veterans disability attorney with disabilities are subject to garnishment just like other incomes.

Garnishment is a legal action that permits a court to require an employer or government agency to omit funds from the pay of someone who owes money and transfer them directly to an individual creditor. In the event of a divorce garnishment can be used to pay child or spousal support.

There are situations where a veteran's benefits can be garnished. The most frequent scenario involves Holly Springs veterans disability lawyer who have waived their military retirement in order to claim disability compensation. In these situations, the portion of the pension that is attributed to disability benefits may be garnished for family support obligations.

In other situations, veteran's benefit may be garnished to cover medical expenses or federal student loans that are past due. In these instances the court might be able to the VA to get the required information. A disabled veteran should seek out an experienced attorney to protect their disability benefits. This will stop them from relying on payday lenders or private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements are a tremendous help to veterans and their families. However they also come with specific complications. If a veteran gets divorced and receives a VA settlement and is eligible, they should be aware of what this might do to the benefits they receive.

In this context one of the major issues is whether disability payments are considered assets that could be divided in a divorce. The question has been answered in two ways. One is through the Colorado court of appeals decision that found that VA disability payments are not property and therefore cannot be divided in this way. Another option is the U.S. Supreme Court ruling in Howell that held that garnishing the veteran's VA disability payments 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 to determine child maintenance and support. The USFSPA and the Supreme Court both forbid states from counting disability payments as income for these purposes. However, some states have adopted the opposite approach. Colorado for instance, takes all income sources together to determine the amount needed to support a spouse. It then adds disability payments to account for their tax-free status.

It is also vital that veterans understand the impact divorce has on their disability compensation and how their spouses who divorced can slash their income. By knowing about these issues, greensburg veterans disability lawsuit can ensure the security of their benefits and avoid unintended consequences.