What You Need to Know About Veterans Disability Settlement

The VA program pays for disability due to loss of earning capacity. This system is different from the workers' compensation programs.

Jim received a lump-sum settlement of $100,000. The VA will annually increase the lump sum over one year. This will decrease his Pension benefit. He will be able to apply for his pension benefit after the annualized amount has been returned to him.

Compensation

Veterans and their families could be entitled to compensation from the government for injuries they suffered while serving in the military. These benefits can be either the form of a disability or pension. If you are considering a personal injury lawsuit or settlement on behalf of a disabled veteran there are some important aspects to remember.

If a veteran with an impairment receives an award or settlement against the party who was at fault for their injuries and also has an VA disability claim and the amount of that settlement or award can be taken out of the VA payments. However, there are some restrictions on this type of garnishment. First, the court must have submitted a petition to apportionment of the disability pay. Then, only a portion of the monthly salary can be garnished, usually between 20 and 50 percent.

Another thing to keep in mind is that the compensation is determined by a percentage of the disabled veteran's condition and not on the actual earnings earned from an employment. The higher the disability rating, the more the compensation they'll receive. The dependent children and spouses of a veteran who passed away due to injury or illness caused by service are eligible for a special compensation known as Dependency Indemnity Compensation.

There are many myths regarding the impact of veterans' pensions and disability benefits, as well as other compensations provided by the Department of Veterans Affairs on money issues in divorce. These misconceptions can cause divorces to be even more difficult for veterans and their families.

Pension

Veterans Disability Pension is a tax-free financial benefit that provides veterans suffering from disabilities that were incurred or worsened during military service. The benefit is also available to spouses who survived and children with dependents. The pension rate is determined by Congress and is determined by the amount of disability, the extent of disability, as well as whether there are any dependents. The VA has regulations that specify how assets are calculated in order to determine eligibility for pension benefits. The VA will not take into consideration the veteran's home, vehicle and personal belongings. However, the remaining non-exempt assets of a veteran must be less than $80.000 to prove financial need.

It is a common misconception that courts are able to garnish VA disability payments to meet court-ordered child support or veterans disability spousal maintenance obligations. However, it's important to recognize that this is not the case.

The courts can only garnish a veteran's pension if they have waived their military retired pay in order to get an amount of compensation for a disability. 38 U.S.C. Section SS5301 (a) is the statute that governs this.

This is not the case for CRSC and TDSC, as these programs were specifically designed to provide a better amount of income to disabled veterans disability law firm. It is important to know, too, that a veteran’s personal injury settlement could 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 is a needs-based program. SSI is only available to people with low incomes and assets. Some individuals can also receive pension benefits that are paid monthly by the VA. The amount depends on their service and war time period as well as disability rating.

Most veterans do not qualify for both pension and compensation benefits at the same time. If a person receives the disability payment as well as pension benefits from the VA but it does not pay a Supplemental Social Security income benefit.

The VA is required to send your monthly report of military retirement, CRDP or CRSC to the Social Security Administration (SSA). This will nearly always increase your SSI benefit. SSA can also use the VA waiver of benefits to calculate your SSI income.

If a judge orders that a veteran pay court-ordered support and the court has the authority to go directly to the VA and have the military retirement slashed for that reason. This can be the case in divorce situations where the retiree is required to waive their military retired benefits in exchange for VA disability benefits. The U.S. Supreme Court recently declared in the case of Howell that this practice violated federal law.

Medicaid

Veterans with disabilities resulting from their service might be eligible for Medicare and Medicaid. He must prove that he has the look-back period of five years. Also, he must present documents that show his citizenship. He is not able to transfer his assets without a fair price, but he is able to keep one vehicle and his primary residence. He is able to keep up $1500 in cash or the face amount of a life insurance policy.

In a divorce the judge could decide that the veteran's VA disability benefits can be considered income for the purposes of calculation of post-divorce child custody and maintenance. The reason is that numerous court decisions have confirmed the right of family courts to make use of these payments to calculate support. These include decisions from Florida (Allen v. Allen), Mississippi (Steiner v. Steiner), and Wisconsin (In re the marriage of Wojcik).

The VA disability payment is based on the severity of the condition. It is determined by an index that ranks the severity of the condition. It can be between 10 percent to 100 percent. Higher ratings will bring more money. Veterans could also be eligible for additional compensation for aid and attendance expenses or a monthly payment that is based not on a set schedule, but rather the severity of their disability.