How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, a 58-year-old man, is permanently disabled as a result of his military service. He receives a monthly pension benefit from the Department of davie veterans disability lawsuit Affairs.

He wants to know how an award from a jury will impact his VA benefits. The answer is that it will not. It will, however, have an impact on his other sources of income.

Can I Receive Compensation for an accident?

If you've served in the military and are permanently disabled because of injuries or Vimeo illnesses, you could be eligible for a veteran disability settlement. This settlement will allow you to receive compensation for your medical expenses, lost wages, and other expenses resulting from your illness or injury. The type of settlement you'll get will depend on whether the condition is service-connected or non-service connected, which VA benefits you are eligible for, Vimeo and how much your injury or accident will cost to treat.

For instance, Jim is a 58-year old veteran who was diagnosed with permanent disabilities from two years of service during the Vietnam War. He doesn't have enough work space to qualify for Social Security Disability benefits, but he has an VA Pension that offers free medical care and cash according to his financial need. He wants to know how a personal injury lawsuit will affect his eligibility to get 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 the ones that are paid over a long period of time rather than in a single payment and the amount received by the defendant is calculated to offset any existing VA benefits. A lump sum payment can affect any existing VA benefits as the VA will annualize and consider it as income. In any event, if extra assets are left after the twelve-month period when the settlement is annualized Jim could reapply for the pension benefit, but only if his assets fall lower than a threshold with which the VA agrees establishes financial need.

Do I need to hire an attorney?

Many service members, spouses and former spouses have concerns about VA disability payments and their impact on money issues in divorce. Some people think, for instance, that the Department of Veterans Affairs compensation payments can be split like a military retirement in a divorce case or that they're "off limits" when it comes to calculating child support and Alimony. These misconceptions can lead to serious financial mistakes.

While it is possible to make an initial claim for disability benefits by yourself, the majority of disabled veterans can benefit from the help of a qualified lawyer. A qualified veteran's disability lawyer will examine your medical documents and gather the required evidence needed to build a strong argument to the VA. The lawyer can also help to make 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 typically be paid by the government directly from your retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. The amount of retroactive past due benefits your lawyer will be paid should be outlined in your fee agreement. For example your fee agreement may provide that the government can pay the lawyer up to 20% of the retroactive benefits or give. The attorney is responsible for any additional amounts.

Can I Garnish My VA Benefits?

The VA pays a monthly amount of compensation to disabled veterans. The purpose of the payments is to alleviate some of the consequences of illnesses, disabilities or injuries sustained or aggravated by a veteran's military service. Like other income sources, veterans disability benefits are subject to garnishment.

Garnishment is a legal process that allows a judge to make an order to an employer or government agency to deduct funds from the pay of someone who owes money and Vimeo send them directly to an individual creditor. In the event of divorce, garnishment can be used for child or spousal maintenance.

There are a few situations in which a veteran's disability benefits could be refunded. The most common scenario is that of a veteran who renounced his military retirement to receive disability compensation. In these instances the portion of the pension allocated to disability payments can be garnished to pay family support obligations.

In other instances, a veteran’s benefits can also be seized to pay medical expenses or federal student loans that are over due. In these instances the court could go directly to the VA to obtain the information they need. It is important for disabled veterans to hire a knowledgeable attorney to ensure that their disability benefits are not taken away. This can help them avoid being forced to rely on private loans and payday lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge help for veterans and their families, but they're not without their own set of issues. For example when a veteran is divorced and receives a VA disability settlement, they should be aware of how this will affect their benefits.

In this case, a major question is whether or not disability payments count as assets that can be divided in a divorce. This question has been addressed in two ways. One method is the Colorado court of appeals decision which concluded that VA disability payments are not property, and therefore cannot be divided in this way. The U.S. Supreme Court ruled in Howell, that garnishing a veteran’s VA disability payments to pay an alimony payment was a violation of USFSPA.

Another concern relating to this topic is the treatment of disability benefits for child maintenance and support. Both the USFSPA as well as the Supreme Court, prohibit states from claiming disability benefits as income. Some states have an alternative approach. Colorado, for example, takes all income sources together to determine the amount required to support a spouse. The state then adds on disability payments in order to account for their tax-free status.

It is also essential that veterans know how divorce will affect their disability benefits and how their spouses who divorced could take advantage of their compensation. By being aware of these issues, vets can ensure their compensation and avoid the unintended consequences.